An affordable and largely CO2-free European power supply by 2050 can only be realised with renewables as the main energy source and a well-connected electricity grid across the EU. A report by Connect Energy Economic finds wind and solar power could cover nearly 50% of Europe’s power demand, if the grid becomes flexible enough to handle intermittency challenges.
Energy-related carbon dioxide emissions in the United States will decline in most years through the mid-2030s but then start to rise slightly from the mid-2030s through 2050, according to the US Energy Information Administration (EIA). In its AEO2021 Reference case, the EIA projects that by 2050, energy-related emissions will be 5% higher than 2020 levels.
Excelon Corp will split into two publicly traded companies. The plan is to carve out its six regulated electric and gas units as Exelon Utilities (RemainCo) and separate it from Exelon Generation (SpinCo) – set to become the largest clean energy provider in the United States with 31 GW generating assets.
German construction firm Bilfinger and the infrastructure finance arm of Munich Re have both withdrawn from work related to the construction of the Nord Stream 2 pipeline through the Baltic Sea, due to looming US sanctions. Bilfinger had been contracted to deliver and operate process control systems and supply a gas-fired heat and power unit.
Exports of liquefied natural gas from the US will exceed gas exports by pipeline in the first and fourth quarter of 2021, as well as in 2022 on an annual basis. Monthly US LNG exports reached a record of 9.4 Bcf/d in November and of 9.8 Bcf/d in December 2020 and January 2021, according to shipping data, and are forecast to average 9.7 Bcf/d in February.
Volkswagen has sold more electric cars worldwide than Tesla for the first time ever, as electrification of transport accelerates in Europe, the US and China. The brands of the VW group, which include Porsche and Audi, sold 192,000 fully electric cars or plug-in hybrid vehicles in the fourth quarter, compared to Tesla's 181,000 e-vehicles sold.
The Electric Reliability Council of Texas (ERCOT) has narrowly avoided a cascade of power failures thanks to a small surplus of gas supply near some peaking power plants. Natural gas fuels more than 40,000 MW generating capacity in Texas during peak periods, but the latest cold freeze disrupted production and made pipeline compressors trip.
The German gas industry calls for the construction of Nord Stream 2 to be finalised this year to enhance competition amongst gas importers and ensure energy prices remain low. „If we didn't have it, we would be talking about several billion Euros of additional [cost] burdens,” said Timm Kehler, head of the lobby group Zukunft Gas.
The European Union‘s 2030 emissions target of a 55% reduction over 1990 levels has made it the undisputed global leader in climate ambition. But the bloc is falling short of its goal, Wood Mackenzie warns, unless the rollout of electric vehicles and renewable build-out gets accelerated along with coal power plants retirements.
News in Brief
Enel’s Q1 investment up 8.8%
May 7 – Italy’s state-dominated utility Enel has stepped up investment in renewables and power transmission grids in the first quarter by 8.8% to €2,035 million in a further shift to green energy. Revenues fell by -14.4% to €17,107 million over the same period, largely due to losses in thermal generation and trading activities in Italy and Spain as well as lower volumes of electricity sold into the Spanish end-user market.
Germany advances Net Zero target to 2045
May 6 – The German government has pulled forward the date for Net Zero emissions to 2045 in a move designed to accelerate and intensify efforts to reduce emissions from the transport and power sector. The new target is to curb emissions by 65% by 2030 (up from the previous 55% goal) and reach a 88% reduction by 2040, followed by Net Zero five years later.
Cummins Q1 revenues up 22%
May 5 – Cummins today posed a 22% rise in first quarter revenues to $6.1 billion. Sales in North America increased 7% while international revenues surged 45% largely due to strong new product sales in China and India. Based on latest developments, Cummins raised its full year 2021 revenue guidance to 20-24%, a considerable rise from previous 8 - 12% forecasts.
Actis vows to help Egypt divest Siemens-built CCGT
May 4 – Egypt’s sovereign wealth fund is cooperating with the private equity firm Actis to sell a 25-year concession to operate three 4.8 GW combined-cycle power plants built by Siemens under a €6 billion contract. The three CCGTs are owned by the Egyptian Electricity Holding, and Actis CEO Ayman Soliman promised to help selling one of the three plants.
RIX launches mobile hydrogen system
April 30 – California-based RIX Industries has launched an industry-first mobile hydrogen generation unit, part of its M2H2-Series of scalable Methanol-to-Hydrogen systems. Able to generate hydrogen onboard and on demand, the system is applicable for ships and remote small-scale production of the green fuel with the aim of replacing diesel for power generation. The M2H2 systems, combined with fuel cells, can produce electricity without any NOx, SOx, or particulate matter and Net Zero CO2 emission with renewable methanol.
US gas future hit 7-year high
April 28 – US natural gas futures have increased over 2% to a seven-week high as LNG exports go from strength to strength, while domestic production eased off slightly. Moreover, a return of colder-than-average weather has pushed up gas demand for heating significantly so that utilities had to withdraw gas from storage, which is rather unusual in April.
Zhongyu Gas bucks the trend
April 27 – Zhongyu Gas, a pioneer in the Chinese gas industry, has achieved remarkable growth during the pandemic. The Hong-Kong headquartered TSO recorded a turnover of approximately HK $8,544 million in 2020, up 4.9% year-on year, while profit attributable to owners of the group was HK $1,057 million, a staggering 145.7%. At the end of 2020, the turnover of Zhongyu’s value-added gas services segment recorded HK $636 million, a year-on-year increase of 54.2%. To date, Zhongyu Gas has 18,777 industrial customers and 3.96 million residential users.
Germany agrees higher renewable goals for 2022
April 26 – The German parliament has voted in favour of higher tender volumes for next year’s wind and solar PV installations. However, parliamentarians did not yet agree on a new renewable target for 2030, even though this has become necessary after the EU raises its overall emission reduction target to 55%.
Rolls-Royce to deliver 16V 8000 engines to Taiwan
April 23 – British engineering giant Rolls-Royce has delivered the first 16-cylinder engines of the MTU Series 8000 to a customer in Taiwan. The shipyard CSBC will install the two engines, capable to deliver 7,280 kilowatts of power each, in new patrol vessels for the Taiwanese Coast Guard. The 16V engines‘ „big brother“ - 20V 8000 has been the best-selling engine in its power class since its introduction around 20 years ago, Rolls-Royce noted.
Rolls-Royce to deliver 16V 8000 engines to Taiwan
April 23 – British engineering giant Rolls-Royce has delivered the first 16-cylinder engines of the MTU Series 8000 to a customer in Taiwan. The shipyard CSBC will install the two engines, capable to deliver 7,280 kilowatts of power each, in new patrol vessels for the Taiwanese Coast Guard. The 16V engines‘ „big brother“ - 20V 8000 has been the best-selling engine in its power class since its introduction around 20 years ago, Rolls-Royce noted.
GE to equip Verbund’s pump storage power plant
April 22 – GE Power Conversion has been selected to equip Verbund’s new fully-fed pump storage power plant Reißeck II+ in Kärnten, Austria. For the new 45 MW unit, GE will supply three MV7616 converters which are water cooled fully fed converters with an electrical voltage of 6.6kV each. In the wider Kärnten area, Verbund operates a total of 1,460 MW of hydropower plants that are often used for pump-water energy storage.
Fluxys takes stake in Brazilian TSO
April 21 – Belgian gas company Fluxyis, the operator of the Zeebrugge LNG import terminal and stakeholder in Dunkirk LNG and the TAP pipeline, has bought a minority stake in a Brazilian gas transmission system operator. The deal is for a stake in Transportadora Brasileira Gasoduto Bolívia-Brasil (TBG), the owner and operator of a 2,600-kilometres pipeline system that links the southern part of Brazil with neighbouring Bolivia. Fluxyis said the equity transfer was made via the US investment fund, EIG Global Energy Partners.
MHI launches 90MPa hydrogen booster pump
April 20 – Mitsubishi Heavy Industries (MHI) has developed an ultra-high pressure liquid hydrogen booster pump for hydrogen fuelling stations. With 90 megapascal (MPa), the new unit achieves considerably higher pressure than the earlier 40 MPa unit. It is located at MHI’s research & innovation center in Nagasaki District, Japan.
New EU target may force Germany to achieve 68% emissions cut
April 19 – European Union leaders’ decision to raise the bloc’s 2030 target for cutting emissions by “at least 55%” means that Germany needs to step up its efforts and may have to cut emissions by 62% to 68% over 1990 levels, researchers say. Policymakers in Berlin initially aimed for a 55% reduction by 2030 but this is now no longer enough to comply with stricter rules.
Trafigura co-sponsors MAN’s ammonia engine
April 16 – Trafigura, a global commodity trading house, has agreed to co-sponsor the development of MAN Energy Solutions ammonia-fuelled engine for maritime vessels. The ammonia engine is expected to be commercially available for large-scale ocean-going ships by 2024, followed by a retrofit package for existing maritime vessels by 2025. In the future, ammonia-fuelled engine are also meant to be used for power generation.
Tula dDSF helps curb NOx emissions by 74%
April 15 – Tula Technologies, a leader in propulsion technology, and Cummins have showcased the results of a study on the effectiveness of Tula’s diesel Dynamic Skip Fire (dDSF) in reducing nitrogen oxides (NOx) by 74% and carbon dioxide emissions by 5% on a Cummins X15 HD Efficiency Series diesel engine. In comparison with current engine technologies and modifications to the thermal management techniques, use of the dDSF system saved 20% in fuel and related costs.
Marubeni starts EPC works for Rabigh IPP
April 14 – Japan’s Marubeni Corp has been granted limited-recourse financing for the 300 MW Rabigh solar IPP project in Saudi Arabia’s Makkah Province. The loan was granted by Mizuho Bank, Al Rajhi Banking and Investment and Japan’s Bank for International Cooperation. EPC work on the project is scheduled to start in early May. All electricity from the Rabigh IPP will be sold to the Saudi Power Procurement Company (SPPC) for 25 years starting with the plant’s commissioning.
