Sep 26 2023
Global demand for fossil fuels will likely peak before the end of the decade due to rapid progress on solar power and electric vehicles, the International Energy Agency said Sept. 26, while softening its contentious message that no new oil and gas projects should be approved into order to achieve net-zero emissions by 2050. The scenario foresees oil demand falling from 100 million b/d to 77 million b/d by 2030 while natural gas demand would slide from 4,150 Bcm in 2022 to 3,400 Bcm. By 2050, oil and gas demand would have slumped by 24 million b/d and by 900 Bcm, respectively. First published in May 2020 setting out the IEA's first pathway to limit global warming to 1.5 C by 2050, the IEA's landmark Net Zero roadmap surprised many, calling for a halt to spending on new oil and gas projects. The controversial report drew the ire of major oil and gas producers, emboldened a new wave of more confrontational anti-fossil fuel protests around the world, and triggered a spate of legal challenges to new oil projects by environmental groups, citing the IEA's net-zero pathway. Saudi energy minister Prince Abdulaziz bin Salman notably referred to the initial net-zero scenario as "a sequel of [the] 'La La Land' movie" and as recently as Sept. 14, OPEC's secretary general accused the agency of ideologically driven fearmongering that would destabilize the world economy. The IEA gave no examples of "long-lead-time" upstream projects and its executive director Fatih Birol appeared to downplay the new wording in comments to the press. "Our position that there is no need for investment in new coal, oil, and gas has not changed," Birol said when asked to explain the definition of long-lead-time projects. "This is subject to a big push for clean energy to reduce fossil fuel demand. If we are successful ... in replacing fossil fuels ... then we don't need new oil and gas fields or coal mines." In October 2022, the IEA said that growing policy action to curb the use of fossil fuels had accelerated the expected peak and decline of oil, gas and coal in the global energy mix despite the near-term energy supply crunch in the wake of Russia's war in Ukraine. Predicting higher growth rates for renewables and electric vehicles, sectors key to the transition to low-carbon energy, the IEA sees global oil demand peaking in the mid-2020s just above pre-pandemic levels of 98 million b/d 2019, before dropping to 93 million b/d in 2030. Stranded asset risk Birol reiterated, however, that spending on existing oil and gas fields is still required to facilitate a managed decline in production volumes in the coming years but renewed a warning over potential stranded upstream assets as a result. "Even with no new climate policies set by governments and with current market trends, then fossil fuel use will peak before 2030 and start to decline," Birol said. "Oil and gas companies need to think very carefully because those large-scale fossil investments not only pose a risk for our climate but they also pose a business economic risk." Despite progress on boosting renewable power, overall demand for oil, natural gas and coal all need to be replaced by cleaner energy at a faster rate in order to hit net-zero by 2050, the IEA said, with fossil fuel demand 25% lower by 2030. The surge in clean energy investment in the NZE Scenario -- from $1.8 trillion in 2023 to $4.5 trillion in the early 2030s -- drives sharp declines in fossil fuel demand. "Nonetheless, continued investment is required in some existing oil and gas assets and already approved projects. Sequencing the increase in clean energy investment and the decline of fossil fuel supply investment is vital if damaging price spikes or supply gluts are to be avoided," the report said. Under the new scenario, a rapid drop in oil and natural gas demand would likely see global oil prices dropping from $98/b in 2022 to $42/b by 2030 before drifting down slowly toward $25/b in 2050, the IEA said. In 2021, the IEA estimated that under its NZE model oil prices would drop to around $35/b by 2030. Renewables success Despite an uptick in oil and gas spending triggered by Russia's invasion of Ukraine, many governments are adopting more clean energy policies in the wake of the coronavirus pandemic, which has hastened the energy transition, the IEA said. The IEA said that the electricity sector is poised to emerge as the "new oil" of the global energy system, stressing the importance of electricity security in the future. One of the key pathways to reaching net zero by 2050 will be the tripling of renewables capacity to 11,000 GW by 2030. Global biofuel production, however, is not progressing fast enough for the global energy sector to reach net-zero emissions of CO2 by 2050, the IEA said. Modern liquid biofuel demand, including gasoline, diesel, marine and aviation fuels made from biogenic sources, increases threefold before peaking around 2040. Overall, the share of fossil fuels in total energy supply would drop below two-thirds by 2030 and to less than one-fifth in 2050 under the scenario. Coal demand declines by 45%, and oil and natural gas by around 20% to 2030. Analysts at S&P Global Commodity Insights estimate that global oil demand -- including biofuels -- will remain at around 31% of the global energy mix through 2030, while renewable energy sources will grow 6%-8%/year to make up 13% of total energy demand at the end of the decade, up from 8% in 2022. Global oil and biofuel demand will peak at around 110.3 million b/d in 2031, according to S&P Global's reference case scenario.
Global demand for fossil fuels will likely peak before the end of the decade due to rapid progress on solar power and electric vehicles, the International Energy Agency said Sept. 26, while softening its contentious message that no new oil and gas projects should be approved into order to achieve net-zero emissions by 2050. The scenario foresees oil demand falling from 100 million b/d to 77 million b/d by 2030 while natural gas demand would slide from 4,150 Bcm in 2022 to 3,400 Bcm. By 2050, oil and gas demand would have slumped by 24 million b/d and by 900 Bcm, respectively. First published in May 2020 setting out the IEA's first pathway to limit global warming to 1.5 C by 2050, the IEA's landmark Net Zero roadmap surprised many, calling for a halt to spending on new oil and gas projects. The controversial report drew the ire of major oil and gas producers, emboldened a new wave of more confrontational anti-fossil fuel protests around the world, and triggered a spate of legal challenges to new oil projects by environmental groups, citing the IEA's net-zero pathway. Saudi energy minister Prince Abdulaziz bin Salman notably referred to the initial net-zero scenario as "a sequel of [the] 'La La Land' movie" and as recently as Sept. 14, OPEC's secretary general accused the agency of ideologically driven fearmongering that would destabilize the world economy. The IEA gave no examples of "long-lead-time" upstream projects and its executive director Fatih Birol appeared to downplay the new wording in comments to the press. "Our position that there is no need for investment in new coal, oil, and gas has not changed," Birol said when asked to explain the definition of long-lead-time projects. "This is subject to a big push for clean energy to reduce fossil fuel demand. If we are successful ... in replacing fossil fuels ... then we don't need new oil and gas fields or coal mines." In October 2022, the IEA said that growing policy action to curb the use of fossil fuels had accelerated the expected peak and decline of oil, gas and coal in the global energy mix despite the near-term energy supply crunch in the wake of Russia's war in Ukraine. Predicting higher growth rates for renewables and electric vehicles, sectors key to the transition to low-carbon energy, the IEA sees global oil demand peaking in the mid-2020s just above pre-pandemic levels of 98 million b/d 2019, before dropping to 93 million b/d in 2030. Stranded asset risk Birol reiterated, however, that spending on existing oil and gas fields is still required to facilitate a managed decline in production volumes in the coming years but renewed a warning over potential stranded upstream assets as a result. "Even with no new climate policies set by governments and with current market trends, then fossil fuel use will peak before 2030 and start to decline," Birol said. "Oil and gas companies need to think very carefully because those large-scale fossil investments not only pose a risk for our climate but they also pose a business economic risk." Despite progress on boosting renewable power, overall demand for oil, natural gas and coal all need to be replaced by cleaner energy at a faster rate in order to hit net-zero by 2050, the IEA said, with fossil fuel demand 25% lower by 2030. The surge in clean energy investment in the NZE Scenario -- from $1.8 trillion in 2023 to $4.5 trillion in the early 2030s -- drives sharp declines in fossil fuel demand. "Nonetheless, continued investment is required in some existing oil and gas assets and already approved projects. Sequencing the increase in clean energy investment and the decline of fossil fuel supply investment is vital if damaging price spikes or supply gluts are to be avoided," the report said. Under the new scenario, a rapid drop in oil and natural gas demand would likely see global oil prices dropping from $98/b in 2022 to $42/b by 2030 before drifting down slowly toward $25/b in 2050, the IEA said. In 2021, the IEA estimated that under its NZE model oil prices would drop to around $35/b by 2030. Renewables success Despite an uptick in oil and gas spending triggered by Russia's invasion of Ukraine, many governments are adopting more clean energy policies in the wake of the coronavirus pandemic, which has hastened the energy transition, the IEA said. The IEA said that the electricity sector is poised to emerge as the "new oil" of the global energy system, stressing the importance of electricity security in the future. One of the key pathways to reaching net zero by 2050 will be the tripling of renewables capacity to 11,000 GW by 2030. Global biofuel production, however, is not progressing fast enough for the global energy sector to reach net-zero emissions of CO2 by 2050, the IEA said. Modern liquid biofuel demand, including gasoline, diesel, marine and aviation fuels made from biogenic sources, increases threefold before peaking around 2040. Overall, the share of fossil fuels in total energy supply would drop below two-thirds by 2030 and to less than one-fifth in 2050 under the scenario. Coal demand declines by 45%, and oil and natural gas by around 20% to 2030. Analysts at S&P Global Commodity Insights estimate that global oil demand -- including biofuels -- will remain at around 31% of the global energy mix through 2030, while renewable energy sources will grow 6%-8%/year to make up 13% of total energy demand at the end of the decade, up from 8% in 2022. Global oil and biofuel demand will peak at around 110.3 million b/d in 2031, according to S&P Global's reference case scenario.
Sep 26 2023
Africa will remain a major importer of refined products in the foreseeable future due to the lack of new refining projects on the continent, Anibor Kragha, Executive Secretary of the African Refiners and Distributors Association (ARDA), told S&P Global Commodity Insights Sept. 21. "Because our demand in Africa is going to grow so much, we're still going to have a shortfall," he said. Major refining projects due to come on stream include the Dangote refinery in Nigeria with a planned capacity of 650,000 b/d and Cabinda in Angola with capacity of 60,000 b/d. Kragha said he expected phase one of the Dangote refinery to come on stream in the first quarter of 2024 at the latest and phase one of the Cabinda refinery by the end of 2024. "So that would definitely be a boon for energy security for the continent because we would definitely reduce the imports to the continent, but we still need more refining capacity," he said. Devakumar Edwin, a senior Dangote executive who is overseeing the refinery, told S&P Global in a recent interview that it would start up in October at 370,000 b/d and begin ramping up to full capacity in Q4 2023. Kragha said ARDA also supported other projects, including the Tema refinery in Ghana coming back on stream to further help security of supply in the region. Total African refined product imports have been stable at around 2.3 million b/d in recent months, according to S&P Global Commodities at Sea data. Beyond refining capacity, Kragha said there needed to be a strategic discussion on storage and distribution assets in Africa, and which projects should receive investment. "As a perfect example, if you have a deepwater port in Africa that is 14 meters depth or larger, you save $15/mt on importing products because you can bring larger vessels in. When you start to look at countries like Nigeria with huge imports you start to see where you can make savings," Kragha said. He pointed to refineries closing in South Africa at a time when neighboring Namibia has discovered major crude reserves as indicative of issues that need to be addressed in conversations about strategy. Cleaner fuels African officials are also looking to include cleaner fuels in development plans for future processing capacity. Kragha said that ways to do this include improving fuel standards, ensuring environmental, social and corporate governance is included in development plans, and making financing contingent on this. "The bright spots we have are places like Cote D'Ivoire, places like North Africa, like Egypt that are trying to actually, one, maintain production capacity, and more importantly, to upgrade facilities to produce cleaner fuel," he said. ARDA has established a refining and specifications working group, which worked with the Societe Ivoirienne de Raffinage (SIR) refinery in Cote d'Ivoire. "We've done a baseline study of the carbon emissions of the refinery and identified projects to reduce the carbon footprint of the refinery by 29%...those are the kind of things that we're trying to promote to demonstrate opportunities for decarbonization, particularly of Scope 1 emissions within refineries on the continent," Kragha said. Investment priorities Securing long-term investment is a key element in achieving cleaner fuel production. ARDA is planning to include a one-day investment forum in its ARDA Week in Cape Town in April 2024, to bring together developers of projects across the continent with financiers. Western investors are set to play a role in this, despite a previous trend for Western companies to exit African projects, particularly onshore crude assets, as part of plans to accelerate their transition to cleaner fuels. Russia's invasion of Ukraine has increased the importance of energy security, leading some companies to turn back to Africa as a potential alternative to Russia. "There's interest now, but let's take advantage of that to ensure that we get the right projects, and we get the right level of support for a unique inclusive energy transition road map for Africa and then match that with a finance plan to support it so that the projects can get executed as and when required," he said. Part of plans for new financing include the Africa Energy Bank, which is backed by Afreximbank and has starting capital of $5 billion. Afreximbank and the African Petroleum Producers' Organization are seeking further financing for the bank from national oil companies, governments and sovereign wealth funds, particularly in rich Gulf states. Kragha sees this as an important way to ensure that projects that benefit Africa are developed, rather than projects that meet external countries' priorities. "When you're looking at energy transition, in Africa today, we talked about the need for LPG for clean cooking. That is more important to Africa right now than a hydrogen project. Not that we don't want hydrogen. But right now, if we have more than 4 million premature deaths every year because of poor access to clean cooking, let's address that," he said. Market instability in Africa is also an issue facing refiners and governments. In Nigeria domestic gasoline prices recently skyrocketed following the removal of costly subsidies on imported gasoline. Kragha said that removal of the subsidy means that it is now clear what real fuel consumption is in Nigeria, ending a booming illicit gasoline market in nearby countries like Togo, Benin and Niger where unscrupulous businesses allegedly sold subsidized Nigerian fuel. "There was definitely incentive arbitrage given that the pricing in Nigeria was significantly lower than in neighboring countries. Now that it's normalized...neighboring markets are having to face the reality that there's no cheap fuel supply anywhere," he said. Security impact A recent wave of military coups has raised security risks to oil production and refining in Africa. Kragha said he had not seen any impact on refining assets so far. "If a country is managing security of its supply, and it can do so with a functional refinery on the ground, I would hope that whatever the issues are politically, they try to ensure that we maintain the security of supply," he said. Since 2020 seven African countries have experienced military coups, including OPEC member Gabon. Beyond Africa, Russia's invasion of Ukraine is impacting African oil products markets. There has been an increase in Russian oil products supplies to Africa since restrictions on Russian products imports to the EU and price caps came into force as part of sanctions imposed on Russia. Kragha said that African imports are focused on sourcing products in the most cost-effective manner. "I don't know whether the [Russian] imports are going to go up, I can't foresee the future. But what I would say is right now, I believe it's the most expedient thing to secure as much supply as possible," he said.
Africa will remain a major importer of refined products in the foreseeable future due to the lack of new refining projects on the continent, Anibor Kragha, Executive Secretary of the African Refiners and Distributors Association (ARDA), told S&P Global Commodity Insights Sept. 21. "Because our demand in Africa is going to grow so much, we're still going to have a shortfall," he said. Major refining projects due to come on stream include the Dangote refinery in Nigeria with a planned capacity of 650,000 b/d and Cabinda in Angola with capacity of 60,000 b/d. Kragha said he expected phase one of the Dangote refinery to come on stream in the first quarter of 2024 at the latest and phase one of the Cabinda refinery by the end of 2024. "So that would definitely be a boon for energy security for the continent because we would definitely reduce the imports to the continent, but we still need more refining capacity," he said. Devakumar Edwin, a senior Dangote executive who is overseeing the refinery, told S&P Global in a recent interview that it would start up in October at 370,000 b/d and begin ramping up to full capacity in Q4 2023. Kragha said ARDA also supported other projects, including the Tema refinery in Ghana coming back on stream to further help security of supply in the region. Total African refined product imports have been stable at around 2.3 million b/d in recent months, according to S&P Global Commodities at Sea data. Beyond refining capacity, Kragha said there needed to be a strategic discussion on storage and distribution assets in Africa, and which projects should receive investment. "As a perfect example, if you have a deepwater port in Africa that is 14 meters depth or larger, you save $15/mt on importing products because you can bring larger vessels in. When you start to look at countries like Nigeria with huge imports you start to see where you can make savings," Kragha said. He pointed to refineries closing in South Africa at a time when neighboring Namibia has discovered major crude reserves as indicative of issues that need to be addressed in conversations about strategy. Cleaner fuels African officials are also looking to include cleaner fuels in development plans for future processing capacity. Kragha said that ways to do this include improving fuel standards, ensuring environmental, social and corporate governance is included in development plans, and making financing contingent on this. "The bright spots we have are places like Cote D'Ivoire, places like North Africa, like Egypt that are trying to actually, one, maintain production capacity, and more importantly, to upgrade facilities to produce cleaner fuel," he said. ARDA has established a refining and specifications working group, which worked with the Societe Ivoirienne de Raffinage (SIR) refinery in Cote d'Ivoire. "We've done a baseline study of the carbon emissions of the refinery and identified projects to reduce the carbon footprint of the refinery by 29%...those are the kind of things that we're trying to promote to demonstrate opportunities for decarbonization, particularly of Scope 1 emissions within refineries on the continent," Kragha said. Investment priorities Securing long-term investment is a key element in achieving cleaner fuel production. ARDA is planning to include a one-day investment forum in its ARDA Week in Cape Town in April 2024, to bring together developers of projects across the continent with financiers. Western investors are set to play a role in this, despite a previous trend for Western companies to exit African projects, particularly onshore crude assets, as part of plans to accelerate their transition to cleaner fuels. Russia's invasion of Ukraine has increased the importance of energy security, leading some companies to turn back to Africa as a potential alternative to Russia. "There's interest now, but let's take advantage of that to ensure that we get the right projects, and we get the right level of support for a unique inclusive energy transition road map for Africa and then match that with a finance plan to support it so that the projects can get executed as and when required," he said. Part of plans for new financing include the Africa Energy Bank, which is backed by Afreximbank and has starting capital of $5 billion. Afreximbank and the African Petroleum Producers' Organization are seeking further financing for the bank from national oil companies, governments and sovereign wealth funds, particularly in rich Gulf states. Kragha sees this as an important way to ensure that projects that benefit Africa are developed, rather than projects that meet external countries' priorities. "When you're looking at energy transition, in Africa today, we talked about the need for LPG for clean cooking. That is more important to Africa right now than a hydrogen project. Not that we don't want hydrogen. But right now, if we have more than 4 million premature deaths every year because of poor access to clean cooking, let's address that," he said. Market instability in Africa is also an issue facing refiners and governments. In Nigeria domestic gasoline prices recently skyrocketed following the removal of costly subsidies on imported gasoline. Kragha said that removal of the subsidy means that it is now clear what real fuel consumption is in Nigeria, ending a booming illicit gasoline market in nearby countries like Togo, Benin and Niger where unscrupulous businesses allegedly sold subsidized Nigerian fuel. "There was definitely incentive arbitrage given that the pricing in Nigeria was significantly lower than in neighboring countries. Now that it's normalized...neighboring markets are having to face the reality that there's no cheap fuel supply anywhere," he said. Security impact A recent wave of military coups has raised security risks to oil production and refining in Africa. Kragha said he had not seen any impact on refining assets so far. "If a country is managing security of its supply, and it can do so with a functional refinery on the ground, I would hope that whatever the issues are politically, they try to ensure that we maintain the security of supply," he said. Since 2020 seven African countries have experienced military coups, including OPEC member Gabon. Beyond Africa, Russia's invasion of Ukraine is impacting African oil products markets. There has been an increase in Russian oil products supplies to Africa since restrictions on Russian products imports to the EU and price caps came into force as part of sanctions imposed on Russia. Kragha said that African imports are focused on sourcing products in the most cost-effective manner. "I don't know whether the [Russian] imports are going to go up, I can't foresee the future. But what I would say is right now, I believe it's the most expedient thing to secure as much supply as possible," he said.
Join us for our Houston Energy Event co-organized with Refinitiv, an LSEG business. Immerse yourself in the world of Energy as we delve into natural gas capacity, global demand trends, and the economics of renewables and biodiesel markets. During our cocktail reception, engage with industry experts and network with local Houston energy colleagues. Join us in shaping the future of energy together.Secure your place today: https://okt.to/aOqBfw
Voluntary carbon markets are facing a critical moment in their short history. Questions about the integrity and effectiveness of many carbon projects have led to a sharp fall in prices and liquidity. However, a series of quality and transparency initiatives are being adopted to restore confidence in offsets.S&P Global Commodity Insights' experts Eklavya Gupte, Dana Agrotti and Silvia Favasuli discuss the road to recovery for the VCM as it seeks to rebuild credibility and trust.Related price assessments: Platts Household Devices Current Year CNHDD00 Platts Nature-based Avoidance Current Year ANBAA00 Platts Natural Carbon Capture Current Year ANCCA00And you can watch our latest videos explaining what determines the price of a carbon credit and the pricing structure in the VCMMore listening options:
Australia has long relied on resource-extraction industries to grow its economy. Recent policies now look to leverage the country’s geology to store CO2 via Carbon Capture and Storage (CCS) projects. Technical Research Director Frankie Hulbert joins EnergyCents with hosts Hill Vaden and Sam Humphreys to discuss Australia’s recent efforts to prioritize CCS exploration and development, and consider the country’s opportunity to emerge as a regional hub for emissions mitigation. Learn more about S&P Global Commodity Insights Upstream coverage at: https://www.spglobal.com/commodityinsights/en/ci/industry/oil-gas.html Join the conversation at energycents@spglobal.com
India has an ambitious target to double the steel production capacity by 2030 from current levels. While the steel industry gears up for this expansion, concerns of higher carbon emissions loom large amid India lacking a distinct roadmap for decarbonization and its carbon neutrality target set as far ahead as 2070. At the same time, Europe is gearing up to implement the Carbon Border Adjustment Mechanism (CBAM), which is expected to affect the sources and prices of steel imports.How is India going to be impacted by CBAM and how is India faring in its decarbonization journey? S&P Global Commodity Insights Senior Editor covering the Asia ferrous metals market, Rituparna Nath spoke with the Managing Editor for Asia Metals News Rohan Somwanshi, Managing Editor of the Global Compliance Carbon markets, Agamoni Ghosh and Senior Metals Analyst Paul Bartholomew to discuss these questions. Related content: How is Europe’s steel industry rising to the challenge of energy transitionWe want to hear about your podcast preferences so we can keep improving our shows. Take our podcast survey here and share your thoughts: https://www.surveylegend.com/s/4xyzMore listening options:
Low-carbon ammonia emerges from the shadows of hydrogen as a fuel source in its own right, bringing triple value as a feedstock, fuel and carrierS&P Global Commodity Insights Consulting presents a strategic report on the energy transition, focusing on low-carbon ammonia and hydrogen integration. Its versatility as a feedstock, fuel, and hydrogen carrier makes it a game-changer in decarbonizing challenging sectors like marine bunkering and power generation.This report explores the role of ammonia in the energy transition, requirements for a thriving energy ammonia market, key players, risk mitigation, and signposts to anticipate uncertainties. It provides valuable insights into ammonia's potential as an energy source and addresses crucial questions surrounding its implementation.Take the next step, request a quote for the full report here
Nuclear energy plants emit no carbon and can run twenty-four hours per day without relying on wind or sunlight. Recently big-name investors have put their celebrity – and money – behind innovations in Small Modular Reactors (SMRs) and fusion.North America Power Expert Steve Piper joins EnergyCents with hosts Hill Vaden and Sam Humphreys to discuss the changing views on nuclear electricity as the world embraces net-zero goals, and whether the renewed enthusiasm represents a nuclear renaissance. Learn more about S&P Market Intelligence at: https://www.spglobal.com/marketintelligence/enJoin the conversation at energycents@spglobal.com
On this episode of Energy Evolution, our guests discuss the recent boom in jobs and manufacturing in the renewable energy sector in the United States. The one-year-old Inflation Reduction Act drives much of this growth, which is leading to significant cost savings projected for wind and solar developers using U.S.-made components.Today's guests include Matthew Rand, managing director, research and analytics, at Link Logistics, and Ben Beachy, manufacturing and industrial policy vice president, at the BlueGreen Alliance, a coalition of labor and environmental organizations.More listening options:
The hefty premiums paid by BP and TotalEnergies in Germany’s latest offshore wind auction reflect the value these companies place on diversification – but do the economics stack up?Competition for offshore concessions has been fierce, but the sector is also under extreme cost pressure from stressed supply chains and rising inflation.S&P Global Commodity Insights’ news editors Henry Edwardes-Evans, Andreas Franke and Alex Blackburne discuss these issues with S&P Global analyst director colleague Coralie Laurencin.Explore our interactive Renewable Energy Price calculatorRelated price assessment: WDETF00 - German Offshore Wind Renewable Capture PriceRelated stories: Germany sells four offshore wind concessions for $14 bil to BP, TotalEnergies Germany awards 1.8 GW offshore wind concessions for Eur784 million Offshore wind industry weighs consequences of 'seismic' German auctionMore listening options:
The market value of European wind and solar generation in August staged a modest rally month on month, but fell further when compared to 2022’s record highs, Platts Renewable Energy Price Explorer shows. Solar earnings saw the biggest recovery month-on-month with production on a seasonal descent, while the blustery start to August deflated wind values across Northern Europe. The Explorer shows the "capture price" renewable energy generators receive based on hourly output and pricing data on a monthly volume-weighted average basis. As such capture prices take account of the cannibalization effect caused by Europe's growing fleet of solar and wind farms and are a more accurate reflection of value than average day-ahead wholesale power prices. In August, wind and solar generated a combined 40 TWh across the five biggest markets tracked by Platts’ assessments. • In Germany, onshore wind daily capture prices ranged from Eur7/MWh to Eur163/MWh, the widest range across the twelve European capture price assessments by Platts for S&P Global Commodity Insights. • UK offshore wind capture rates recovered to 95% as wind supply faded. • Italian wind and solar capture prices remain highest with combined output lowest. Platts is part of S&P Global Commodity Insights.Click on a price for more info.For further information, see methodology or contact ci.support@spglobal.comThe dial chart shows monthly wind, solar, nuclear, gas and coal-fired generation across Europe's five biggest power markets. Click a segment for more detail.
Amid global efforts to decarbonize, US President Joe Biden's administration has set an ambitious goal to have 50% of all new vehicle sales in the US be electric by the end of this decade. However, making this shift will be heavily reliant on securing supply of battery metals. As countries around the globe are racing to electrify, Latin America, with its rich mineral reserves, is set to play a critical role.In the second episode of this special two-part series, S&P Global news and analytics experts Justine Coyne, Jared Anderson, Adriana Carvalho and Jay Hwang discuss Latin America and the role it can play in the US reaching its decarbonization goals.We want to hear about your podcast preferences so we can keep improving our shows. Take our podcast survey here and share your thoughts: https://www.surveylegend.com/s/4xyzMore listening options:
Amid global efforts to decarbonize, US President Joe Biden’s administration has set an ambitious goal to have 50% of all new vehicle sales in the US be electric by the end of this decade. However, making this shift will be heavily reliant on securing supply of battery metals. As countries around the globe are racing to electrify, Latin America, with its rich mineral reserves, is set to play a critical role.In the first episode of this special two-part series, S&P Global news and analytics experts Jared AndersonJustine CoyneAdriana Carvalho and Jay Hwang discuss the state of lithium and battery metals supply and pricing, power pricing impacts, and the outlook for the US reaching its goals. We want to hear about your podcast preferences so we can keep improving our shows. Take our podcast survey here and share your thoughts: https://www.surveylegend.com/s/4xyz
