Sep 05 2022
California lawmakers approved key elements of Governor Gavin Newsom's climate agenda as time wound down on the Aug. 31 deadline. The last-minute push included a bevy of bills related to climate protection and energy reliability. Legislators passed a provision that allows PG&E to extend operations of its Diablo Canyon nuclear power plant, a bill that creates interim targets for the state's 100% clean power goal, and a bill that prohibits oil and gas producers from using captured carbon for enhanced oil recovery. Meanwhile, operators of the New York grid are warning state leaders that the state is unlikely to meet the state's 2040 decarbonization goals. According to a draft report, the New York Independent System Operator found that the targets would require massive deployment of unproven technologies such as hydrogen and small modular nuclear reactors.
Europe's drive to reduce the influence of natural gas on power price formation could be a net positive for future renewable energy investments in the bloc. Emergency interventions proposed by EU President Ursula von der Leyen look likely to involve revenue caps for non-gas generation, notably wind and solar assets, requiring generators to pay back surplus revenue over a Contract for Difference-style strike price. While removing some of today's exorbitant upside for non-gas generators, the potential for longer-term CfD security at healthy prices should improve transparency of earnings and drive an increase in PPA activity.
The replacement of coal- and gas-fired power generation with renewables is one of the key proposed pathways for Indonesia to meet its net-zero 2060 goal, according to an analysis of the Southeast Asian country's energy transition by the International Energy Agency and the Ministry of Energy and Mineral Resources. Indonesia is also in a position to capture more of the clean energy value chain as export revenues from critical minerals like nickel and tin are set to be greater in 2030 than its largest ever export revenues from coal, the analysis showed. In its 2060 net-zero roadmap, "renewables capacity increasingly replaces unabated coal and natural gas, whose combined generation share falls from nearly 80% in 2021 to 65% in 2030 and essentially zero in 2060," the IEA said. – Rocco Canonica
Americas
SPGlobal.com
Musk sees continued oil and gas role, plays down EV battery metal sourcing issue
Solar power exceeding 20 GW gives much less reliability boost to Texas grid: consultant
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MIT claims battery breakthrough at one-sixth the cost of Li-Ion
NYISO report warns that New York set to miss ambitious climate targets
Newsom's climate crisis agenda faces crunch time in California legislature
EMEA
SPGlobal.com
European renewables certificates reach all-time high
INTERVIEW: Ardmore sees incentives for fuel-saving retrofits with new EU ETS rules
Europe facing prolonged energy crisis, requires 'very quick' shift to alternatives: Shell CEO
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EC's President Von der Leyen prepares for Sept 14 power market reform statement
Topsoe commits to 500 MW/year Danish solid oxide electrolyzer factory
APAC
SPGlobal.com
Indian ban on carbon credit exports could damage global market: industry players
INTERVIEW: Carbon credit bans to become more common, but short-lived: CIX
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Singapore to allow use of Verra carbon credits to meet local emissions targets
Renewables growth, coal decommissioning key to Indonesia's net-zero 2060 goal: IEA
India's Reliance to convert conventional hydrogen to renewable by 2025: Chairman
Chart of the week:
Quote of the week:
"At least 95 GW of this capacity will consist of new generation projects and/or modifications to existing plants, and still may not be sufficient to fully meet CLCPA requirements while maintaining the reliable electricity supply that New York consumers have come to rely on. The sheer scale of resources needed to satisfy system reliability and policy requirements within the next 20 years is unprecedented." -- NYISO draft report
Price: $8.55/mt CO2
Platts' CNC nature-based carbon credit assessment has fallen 47% since hitting $16.01/mt CO2 in January