Corporate power purchase agreements (CPPAs) are on the rise in Taiwan, underlined by the world’s largest CPPA deal over 920 MW between Ørsted and Taiwan Semiconductor Manufacturing Company (TSMC). Energy-intensive industries prefer CPPA as it allows them buying electricity in bulk for cheap, rather than from the state supplier.
Wholesale power prices will increasingly hinge on zero marginal cost generators, such as variable renewables, which undermine the profitability of thermal power units. Cornwall Insight proposes to guarantee each generator at least their floor price for each MWh produced. The value would be determined in a competitive tender.
The latest round of Germany's green energy tenders has spurred a run on combined solar and storage, while onshore wind energy tenders were undersubscribed yet again. The German regulator initiated an ‘innovation auction’ for 650 MW projects that combine fluctuating onshore wind or solar PV with biomass and energy storage.
Striving to jump-start Australia’s economy, Prime Minister Scott Morrison has tabled a National Gas Development Plan, promising over $28 million to develop five gas basins and another $10.9 million on priority pipelines. Subsidies for gas-fired power are also on the cards as the PM aims for a “gas-led manufacturing recovery.”
Angela Merkel is under growing pressure to end her support for the German-Russian Nord Stream 2 pipeline project. Leading CDU party members and the Green party want the German Chancellor to halt construction after the poisoning of Russian opposition leader Alexei Navalny, especially because economists say the pipeline is “unnecessary” for ensuring supply security.
Northern Powergrid has become the UK’s first distribution network operator to release a strategy paper on how it can contribute to the country’s ‘green recovery’. The TSO, serving 8 million customers in the North East and Yorkshire, submitted its 2023-28 business plan in line with Ofgem’s ED2 price control regulatory period.