energy

Weak climate deal would jeopardise new development goals – experts – TRFN

LONDON, May 15 (Thomson Reuters Foundation) – The world's chances of achieving new international development goals will be slim without more ambitious action to curb climate change, researchers said.

Dr. Ulric 'Neville' Trotz

Pakistan, for example, is unlikely to be able to end poverty by 2030 if accelerating climate change brings worse weather disasters, water scarcity and other problems, a new report from the UK-based Climate and Development Knowledge Network said.

But if global warming is held to 2 degrees Celsius – the aim of negotiations toward a new U.N. climate deal at the end of the year in Paris – Pakistan would have only a “low” risk of failing to eradicate poverty, the report said.

Planned new sustainable development goals (SDGs) aimed at ending poverty, improving gender equality, and giving access to water and clean power have a much higher chance of being achieved if action to limit climate change is ambitious, the report's authors said.

But if weaker efforts on climate change put the world on track for a 3 to 5 degree Celsius temperature rise, Asia and sub-Saharan Africa could see poverty rates 80 percent to 140 percent higher, the report found.

If the new sustainable development goals, expected to be agreed in New York in September, have strong targets, they could lift ambition in the year-end climate deal, the report said.

“There's a simple message: Climate action is developmental action,” said Ulric “Neville” Trotz, a science advisor at the Caribbean Community Centre for Climate Change in Belize.

Countries need to fully incorporate climate action into national development plans, he added.

The report, by a team of economic policy and development experts, is one of the first attempts to put rough numbers on how the two new global deals due this year on climate change and sustainable development might interact.

States are negotiating over a proposal for 17 new sustainable development goals, backed by 169 targets, focused on everything from reducing inequality, hunger and climate change to managing forests and oceans better and promoting sustainable economic growth.

At the climate negotiations in December, leaders will aim to put in place an agreement, which would take effect in 2020, to curb carbon emissions and help poorer countries adapt to climate change and adopt a cleaner development path.

ZERO POVERTY, ZERO EMISSIONS

There are huge areas of overlap, experts say, not least because climate change impacts – such as water insecurity and more weather-related disasters – can cut harvests and incomes, and lead to children leaving school, as well as forcing governments to divert development funds to disaster relief.

“There's a simple message: Climate action is developmental action,” said Ulric “Neville” Trotz, a science advisor at the Caribbean Community Centre for Climate Change in Belize.

Investing in cleaner, cheaper energy could not only cut climate risks but also improve health and provide the power needed to spur economic growth, the researchers said.

Many Caribbean islands, for example, rely on expensive imported fossil fuels, making their economies uncompetitive.

They are also extremely vulnerable to climate-related impacts, such as sea-level rise and stronger storms, said economist Anil Markandya, one of the report's authors.

“Unless we change the architecture of our energy sector, we might as well forget development under the SDGs,” Trotz said.

Funding that change would require international support, such as from the new Green Climate Fund (GCF), he added.

Andrea Ledward, head of climate and environment for Britain's Department of International Development and a GCF board member, told a launch event for the report there is a need to “break down the firewall” between funding for climate and development projects because the two areas are so closely tied.

Rich nations have committed to mobilise by 2020 an annual $100 billion in climate finance that is “new and additional” to existing funding.

Jonathan Reeves of the International Institute for Environment and Development said that while climate and development funding streams could be merged, the accounting must be kept separate to ensure the money is “new and additional”.

He warned that the least-developed countries have the most to lose if efforts to address climate change fail.

“If your country is going to be submerged within a couple of generations by sea-level rise, you're not even going to be thinking about achieving the SDGs,” he said.

Ilmi Granoff, a researcher with the Overseas Development Institute in London, said public support for an ambitious climate deal and strong sustainable development targets could be won by focusing on a new, understandable aim for all countries: “zero poverty and zero emissions within a generation”. (Reporting by Laurie Goering; editing by Megan Rowling) More

 

UNEP Report Proposes Pooling Facilities as Solution to Micro-grid Financing

April 2015: The UN Environment Programme (UNEP) has launched a study on mini-grids that proposes ‘Mini-grid Pooling Facilities (MPFs)’ as a solution to overcoming key investment barriers. Presenting mini-grids as a critical solution for improving energy access globally, the study examines the challenges of associated investment risks and transaction costs, and proposes addressing these through project and capital pooling.

The report, titled ‘Increasing Private Capital Investment into Energy Access: The Case for Mini-grid Pooling Facilities’: provides an overview of mini-grids, including ownership models; identifies and examines two key investment barriers, namely risks to investment in emerging markets and project costs in developing economies; assesses the benefits and drawbacks of project pooling facilities; and explores MPF structures and stakeholders.


On risks, the study notes that mini-grids in emerging markets present a complex risk profile. In addition to discussing perceived risks, such as political or fuel cost volatility, the study examines risks to investment in mini-grids during the development, construction and operation phases, as well as across phases. The study also identifies high transaction costs in developing countries in the areas of project identification, evaluation and diligence, and platform development.


According to some estimates, achieving universal electricity access by 2030 will require mini-grids to serve over 65% of off-grid populations globally. Arguing for the need to develop new financing models to reach such levels of deployment, the report presents MPF as conceptual framework for private-sector financing that pools projects and capital to support the development of mini-grids internationally. According to the study, MPFs can diversify risk and increase capital requirements by strategic selection of projects into portfolios.


The report suggests that MPFs can also help: lower transaction costs through centralizing fixed expenses; decrease technology costs; attract previously unavailable capital; and leverage philanthropic investment, among others. The study stresses the need for developers, investors and researchers to work jointly, conducting proper analyses and determining the appropriate structures for each working context. [UNEP Publications Webpage] [Publication: Increasing Private Capital Investment into Energy Access] More

 

 

 

It’s time to talk about what’s next

http://youtu.be/d6z4yDu3gco

It’s time to talk about what’s next.”

This statement also applies to the Cayman Islands, in fact is is more crucial to a Small Island Developing States (SIDS) than anywhere else. “It is time for Caymanians (Americans) to think boldly about… what it will take to move our country to a very different place, one where outcomes that are truly sustainable, equitable, and democratic are commonplace.’

Caymanians ask yourselves

‘Do we want cheaper energy generated by solar and wind’?

Ask ‘how will climate change affect us?’

Ask ‘how will sea level rise affect us?’

Ask ‘how will Cuba opening to US citizens affect us?’

These are questions that very few people or organizations in these islands are asking.

Those are the words of academic and author Gar Alperovitz, founder of the Democracy Collaborative, who—alongside veteran environmentalist Gus Speth—this week launched a new initiative called the “Next Systems Project” which seeks to address the interrelated threats of financial inequality, planetary climate disruption, and money-saturated democracies by advocating for deep, heretofore radical transformations of the current systems that govern the world’s economies, energy systems, and political institutions.

Branson urges students to lobby leaders for clean energy

Cayman could be ‘carbon neutral’ in six years, says entrepreneur

Sir Richard Branson told Cayman Islands students they need to lobby their government to go green. He said the island could save money and be “carbon neutral” within six years if leaders committed to clean energy.

Sir Richard Branson

Speaking at a forum for students at Camana Bay on Friday, Sir Richard sounded a dire warning for the world’s coral reefs, saying it may already be too late to save marine ecosystems from the impact of global warming.

But he said more could be done to move toward clean energy and lessen the impact of carbon emissions on the environment.

And he said young people would need to lead the campaign for more environmentally friendly policies from their governments.

“If a group of you, just the people here, put placards above your head and went to the government, you’ve got a force to be reckoned with,” he said.

“The Cayman Islands could be carbon neutral in five or six years and save themselves a lot of money, but it needs absolute determination from the government to get you there.”

Sir Richard acknowledged it is difficult to get governments to think beyond the short term. But he said he is optimistic that international leaders would put the necessary policies in place to achieve total clean energy across the globe within the next 50 years.

The billionaire businessman, who owns his own Caribbean island powered completely from renewable sources, believes the energy revolution can start in the region.

He has launched a “10-island challenge,” starting in Aruba, to assist small islands in moving toward 100 percent renewable energy.

“It would be great if we could get the Cayman Islands to join and make it the 11-island challenge,” he said.

“I’ll be bending the arm of your prime minister [sic] later today to see if we can get him on board.”

Sir Richard believes the Caribbean can be a hot house of innovation in the clean energy sector, and he told the students there would be many opportunities for scientists and entrepreneurs to tackle the world’s problems.

“If we move forward to when you are 50 or 60, I hope the world will be powered completely by clean energy. It is definitely doable,” he added. More

 

Caribbean Energy Summit 2015: US Announce Investments in Energy Security for Caribbean Countries During First-Ever DC Summit

The Obama administration recently hosted the first Caribbean Energy Security Summit to support the region's improved governance, access to finance and increased donor coordination for the energy sector.

Vice President Joe Biden has led the issue of Caribbean energy security and said the Obama administration considers the topic as a primary issue.

“This is extremely important to us. It's overwhelmingly in the interest of the United States of America that we get it right, and that this relationship changes for the better across the board,” Biden said.

Biden added that the low oil prices have given little breathing room for governments, but there are alternatives. He mentioned renewable energy as an affordable source in addition to developing wind and solar energy.

“Meanwhile, we're in the midst of a seismic shift in the global economy: the ascendancy of the Americas as the epicenter of energy production in the world,” Biden said. “We have more oil and gas rigs running in the United States, than all the rest of the world combined. Mexico, Canada and the United States is the new epicenter of energy — not the Arabian Peninsula. It is the new epicenter of energy in the 21st century.”

The vice president called for an integrated North America to promote energy security since the U.S. wants Caribbean countries to “succeed as prosperous, secure, energy-independent neighbors — not a world apart, but an integral part of the hemisphere, where every nation is middle class, democratic and secure.”

Biden further stressed the purpose of the summit is not to “put up another solar panel or sign another gas contract” but to help countries establish protocol to attract private-sector investment. The vice president, however, acknowledged that countries have to confront corruption by having clear and transparent rules.

The U.S. created the Overseas Private Investment Corporation (OPIC), which will focus on developing energy projects for the Caribbean. Biden announced $90 million from the OPIC will be funded to Jamaica for wind projects.

The Caribbean Energy Security Summit is a “key component” to Biden's Caribbean Energy Security Initiative, which he announced in June 2014.

A joint statement on Monday had participating countries and regional and international organization agreeing for the Caribbean to make “necessary and specific reforms” that include efforts for sustainable and clean energy technologies. The participants also stated their commitment to exchange data and energy information.

The Jan. 26 summit from Washington, D.C. included governments from Antigua and Barbuda, Aruba, Bahamas, Barbados, Belize, Canada, Colombia, Curacao, Dominica, Dominican Republic, France, Germany, Grenada, Guyana, Haiti, Jamaica, Mexico, New Zealand, Spain, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines, Suriname, Trinidad and Tobago and the United Kingdom. The Caribbean Community (CARICOM) Secretariat, Caribbean Development Bank, European Union, Inter-American Development Bank Group, International Renewable Energy Agency, Organization of American States and the World Bank Group also participated. More

 

Israel’s looming gas empire requires a final solution in Gaza

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“The destruction which I have seen coming here is beyond description,” said UN secretary-general, Ban Ki Moon, after his October tour of the Gaza Strip.

Operation Protective Edge, Israel’s military incursion into Gaza this past summer, wrought an unprecedented level of devastation on the tiny strip of land inhabited by 1.8 million people. The operation had damaged or destroyed over 100,000 homes, affecting more than 600,000 Palestinians – a third of the population.

Mowing the grass

“Basically the town is unliveable,” said Mayor Mohammed al-Kafarna about Beit Hanoun. “There is no power, water or communications. There are not basics for life.” One major sewage pipe serving nearly half a million people had been severed, sending huge quantities of raw sewage into the sea and on fields.

In 2012, a UN report warned that Gaza “will not be liveable by 2020”. The following year, Israel’s tightening of its blockade prompted Filippo Grande, commissioner-general of the UN Works and Relief Agency (UNWRA), to say that “Gaza is quickly becoming uninhabitable.”

Israel’s massive bombardment of Gaza this summer has fast-tracked that outcome. This is no accident. While Israeli officials will not admit it, this strategic goal can be surmised from the statements of those close to key officials in Netanyahu’s administration. More

Dismantling Gaza

“The only durable solution,” wrote Martin Sherman in the Jerusalem Post during the summer onslaught, “requires dismantling Gaza, humanitarian relocation of the non-belligerent Arab population, and extension of Israeli sovereignty over the region”: a recipe for ethnic cleansing and colonisation. He complained that the elected Israeli government is constrained by an unelected “left-wing” political discourse wedded to “the two-state concept and the land-for-peace doctrine,” both of which must be rejected.

For Sherman, the current strategy of periodically “mowing the grass” – “a new round of fighting every time the Palestinian violence reaches levels Israel finds unacceptable” – must be replaced by a final solution: “The grass needs to be uprooted – once and for all.”

Sherman is no pariah. On the contrary, his ideas increasingly represent the thinking of senior Israeli cabinet officials. As founding director of the Israel Institute for Strategic Studies (IISS), an initiative dedicated to laying “the foundations of a new assertive Zionist-compliant paradigm,” Sherman’s platform is endorsed by the following key Israeli leaders: Yaakov Amidror, Israel’s national security adviser until 2013; Uzi Landau, minister of tourism and ex-minister for energy; and Moshe Ya’alon, vice prime minister and incumbent defence minister.

Colonisation

These connections reveal critical elements of Israel’s security strategy. Amidror, for instance, has long advocated that Israel directly occupy Gaza “for many years,” to prevent a situation where “Hamas is strengthened into an entity similar to Hezbollah.”

His successor, Yossi Cohen, who presided with Ya’alon over Operation Protective Edge and who has previously served as deputy head of Shin Bet (Israel’s domestic security agency), told Israeli Army Radio that the operation had successfully created conditions that would facilitate the Palestinian Authority’s (PA) return to power in Gaza at Hamas’ expense. Hamas needed to be “demilitarised”, he said.

Israeli foreign minister Avigdor Lieberman agreed: “As long as Hamas controls Gaza, we won’t be able to ensure the safety of Israel's citizens in the South and we won't be able to make a peace agreement.” Earlier during the latest invasion of Gaza, Lieberman recommended that Israel consider re-occupying Gaza to end rocket attacks.

Palestinian statehood: A threat to Israel’s energy hegemony?

Another Sherman endorser, Uzi Landau, who is currently minister of tourism, was minister for energy and water from 2009 to 2013. There he oversaw Israel’s resource policies, especially concerning gas discoveries and export options. In 2011, when the PA was bidding to secure formal UN recognition of Palestinian statehood, Landau told Israeli radio that Israel should unilaterally declare its sovereignty over the Jordan Valley, West Bank settlements, and all of Gaza to head off the bid. He had previously been dispatched by the foreign ministry to Chile, Colombia and Australia to lobby against the PA campaign.

Why would Landau, then energy and water minister, be sent to lobby against Palestinian statehood?

In recent years, Israel had made increasingly significant energy discoveries throwing light on the link. In December 2010, the Texas based energy company Noble energy announced that it had discovered 25 trillion cubic feet of gas in the offshore Leviathan field (downgraded more recently to 17 trillion). This followed the US Geological Survey’s (USGS) assessment earlier in the year of an estimated 122 trillion cubic feet of technically recoverable gas in the Levant basin, encompassing the waters of Israel, Syria, Lebanon, Cyprus and Gaza. This is “bigger than anything we have assessed in the United States,” said a USGS spokesperson at the time.

Landau’s advisers: Israel’s gas could deplete in decades

The new discoveries would turn Israel into a gas-export powerhouse, with potentially transformative implications across the region. But there were potential pitfalls.

In 2012, the chief scientists of Landau’s energy and water ministry warned the government that Israel did not have sufficient gas resources to sustain both exports and domestic demand. Citing a gap of “100 to 150 billion cubic metres between the demand projections that were presented to the committee and the most recent projections,” they said that Israel’s “gas reserves are likely to last even less than 40 years!”

By 2055, the chief scientists argued, even if Israel chose not to export any gas, it would entirely exhaust its offshore reserves. But if Israel exports significant quantities of gas, and if it turns out that much of its gas turns out to be not commercially extractable, then the breaking point could arrive decades earlier. “The more gas we use now, the sooner we'll need to start importing gas or oil or to find alternative technology.”

Landau and his colleagues obviously took the report seriously enough that, according to Ha'aretz, they excluded the report’s findings from the committee determining Israel’s gas export policy.

Threat of war

Complicating matters further, many of the recently discovered oil and gas resources Israel is claiming for itself are in disputed territorial waters where maritime boundaries are not clearly defined.

In the summer of 2010, Landau said that Israel would “not hesitate to use force” to protect its offshore gas discoveries. He was responding to claims that Leviathan’s deposits extend into Lebanon’s territorial waters.

Similarly, two offshore fields that Israel is already exploiting have been claimed by the Palestinian Authority to extend into Gaza's offshore territory – Mari-B, which is near depletion, and Noa North, both of which are being developed by Noble Energy.

Gaza’s gas: The key to peace?

In March 2014, just a few months before the IDF launched Operation Protective Edge in Gaza, the German Marshall Fund of the United States published a policy brief on Israel’s interests in Gaza’s gas fields by Simon Henderson, director of the Gulf and Energy Policy Program at the Washington Institute for Near East Policy (WINEP) in Washington DC. WINEP is notable for its influence amongst US foreign policymakers. Current and former WINEP members have had senior roles in successive US administrations, including Obama's, and its alumni have gone onto serve across various US government agencies on Middle East policy.

Henderon’s policy brief in particular pinpointed the Gaza Marine, where just over 1 trillion cubic feet of gas was discovered by BG Group in 2000. Gaza Marine could supply all of Palestinian power for up to 20 years. Although the election of Hamas in 2006 in Gaza left negotiations over the gas between Israel and the PA at a stalemate, according to Henderson: “In late 2011 and early 2012, there was renewed Israeli interest in devising a way to exploit the natural gas of Gaza Marine.”

International diplomatic interest further increased in 2013, with Quartet Middle East envoy Tony Blair and US secretary of state John Kerry seeing the Gaza Marine as integral to a potential peace package. In October 2013, Israeli officials conceded that the Israeli government was “very supportive” of the project. All this is corroborated by British Foreign Office files released under Freedom of Information.

Israel’s vision for the Gaza Marine includes a range of options. Apart from boosting PA revenues dramatically, “Using Gaza Marine gas may also reduce the need of Israel to consume its own natural gas to generate electricity for the Palestinians,” observed Henderson. “Such usage will also marginally lower Israel’s dependence on fields controlled by the Noble Energy/Delek group, which currently holds the licenses for the Tamar field and all the other Israeli fields likely to come on stream in the next few years.”

Gaza’s gas, Henderson continued, “would be available for transfer into Israel’s natural gas main network, feeding power stations and petrochemicals across the country.” The gas could also be used for Gaza’s power plant, or even to power the West Bank. In the latter case, “the Gaza Marine natural gas would be fed to an Israel power plant to generate electricity. That electricity would then be supplied to the West Bank.”

Gaza’s gas: The key to exports?

But there is another dimension to the strategic significance of the Gaza Marine: Israel’s gas ambitions. This was alluded to by Ariel Ezrahi, senior energy adviser in Tony Blair’s Office of the Quartet Representative in east Jerusalem, who noted that the biggest obstacle to Israel becoming a regional gas exporter is the opposition of domestic Arab populations in Jordan, Egypt, Turkey and elsewhere.

This opposition could, however, be overcome if Israel finds a way to integrate Gaza’s gas into the export equation, so that Arab publics find a way to see gas deals with Israel as acceptable: “… it would be wise for Israel to at least consider the contribution of the Palestinian dimension to these deals,” said Ezrahi. “I think it’s a mistake for Israel to rush into regional agreements without at least considering the Palestinian dimension and how it can contribute to Israeli interests.” Israel should use the Gaza Marine “as an asset as they strive to join the regional power grid, and as a bridge to the Arab world,” by selling Palestinian “gas to various markets,” or promoting a deal with the corporations developing Israel’s “Tamar and Leviathan [fields] that will allow for the sale of cheap gas to the [Palestinian] Authority.”

Hamas: The obstacle

For Israel, the existence of Hamas remains the chief obstacle to any of these scenarios. According to Simon Henderson: “The main challenge to Secretary Kerry’s vision is that the Gaza Marine natural gas field is offshore the Gaza Strip, controlled by Hamas, whose authority is not recognised by the PA, which is based in Ramallah. Additionally, the United States regards Hamas as a terrorist organisation and Washington is therefore legally constrained from cooperating with it.”

In other words, from the perspective of Israeli hawks and the entities of the Quartet – the US, EU, UN and Russia – the fundamental obstacle to both the proposed ‘peace package’ and Israel’s interests in becoming a regional energy hegemony, is the continued existence of Hamas in Gaza.

In 2007, incumbent defence minister Ya’alon advised in an influential policy paper that there was only one way to solve this problem: “It is clear that without an overall military operation to uproot Hamas control of Gaza, no drilling work can take place without the consent of the radical Islamic movement.” Ya’alon is yet another Israeli government official who endorses Martin Sherman’s IISS initiative.

Since then, successive Israeli military operations – including Operation Protective Edge – have aimed at degrading Hamas’ power in Gaza by making the entire civilian population of the strip pay the price. Through excessive military action to devastate Gaza’s critical infrastructure until much of the strip is virtually “uninhabitable,” Israel has successfully accelerated this process.

Strangulating Gaza

Under the new ceasefire agreement with Hamas after the operation, Israel had secured even more Draconian powers to enforce its ongoing siege of Gaza. This included a partial military re-occupation by maintaining a 100 metre buffer zone inside Gaza; a joint Israeli, UN and PA committee to supervise the process for goods being permitted into Gaza; tight monitoring of imports of construction materials, as well as their use inside Gaza, to guarantee they would not be used by Hamas to build ‘terror tunnels’ and weapons; and on the table for discussion, Israel’s top priority was to make the total demilitarisation of Gaza a precondition for reconstruction and rehabilitation.

Under this extraordinary scheme, Gaza will be under constant surveillance by Israeli drones, and the PA-UN supervisory committee will submit all details of homes needing rebuilding to an Israeli database for close monitoring and approval.

Against this context, the decision by the EU General Court to remove Hamas from a list of terrorist groups along with the European Parliament’s new resolution recognising “in principle… Palestinian statehood and the two-state solution,” takes on new meaning.

To move forward, what remains of the aborted Kerry-Quartet vision for ‘peace’ encompassing the exploitation of Gaza’s gas, requires Hamas’s military capabilities – already infinitesimal compared to Israeli’s $15.5 billion military budget – to be degraded to the point of being utterly negligible.

The EU’s latest measures appear designed to incentivize the Palestinians and Hamas to comply with this vision of a pliable, demilitarised Gaza as a step toward a ‘two-state’ solution dominated and controlled by Israel: the carrot. Israel’s threat and use of force to smash Gaza into an uninhabitable no-man’s land, in which the US and the EU are complicit through extensive trade and military aid to Israel, is the stick.

 

Disconnected: Hundreds live with no power in Grand Cayman

(CNS): A freedom of information request to the Electricity Regulatory Authority (ERA) has revealed that more than 640 CUC customers have been cut off by the power supplier, mostly as a result of non-payment of bills. Many of those cut off are families who have been living without electricity for 90 days or more.

The request, which was submitted by a CNS reader, asked for the details of residential customers who had been cut off because their bills were not paid. The statistics show hundreds of people, including children, across Grand Cayman have been without a power supply for more than three months, confirming fears that the number of people living in real poverty is increasingly significant.

The ERA said it was not able to break down all the statistics because CUC merely tracks non-voluntary disconnections, which may also be due to safety reasons and not always because customers failed to pay their bills.

The ERA also explained that CUC did not indicate whether these more long term cut offs were commercial or domestic. Although some businesses may indeed be involuntarily disconnected, the situation would not be for extended periods, as any commercial enterprise without power would not last for very long. It is fair to assume that the disconnections are predominantly residential.

The largest number of disconnections are in the capital, where 306 premises have been cut off for more than three months, as at 24 November. Another 119 customers in Bodden Town were disconnected by CUC and some 117 in West Bay. Meanwhile, another 29 people were cut off in North Side and a further 23 in East End. A spokesperson for the ERA explained that the missing 47 are accounts that have been written off as CUC believes they are abandoned premises.

In addition, the ERA was able to state that 273 residential consumers had been disconnected for a period of less than 90 days, but these figures are constantly changing and any number could have been reconnected to the supply while additional households could have been cut off.

However, on 24 November there were 51 households in Bodden Town, six in East End, 50 in George Town, Seven in North Side and 59 in West Bay without power that had been disconnected within the last 90 days.

CUC recently confirmed to CNS that the firm is now cutting off power suppy without warning to customers who fail to pay their bills within 30 days. More

 

 

 

World Resources Institute Publishes Renewable Energy Cost Comparison Factsheet

17 November 2014: The World Resources Institute (WRI) has launched a factsheet that enables better cost comparisons of electricity from renewables and fossil fuels by identifying key factors to consider, namely: type of user; supply options; and factors that impact additional costs and benefits, such as environmental risks or financial incentives.

The publication, titled ‘Understanding Renewable Energy Cost Parity,’ seeks to provide a simple, “go-to” resource for information on appropriate comparisons of renewable and “traditional” electricity supply options. The factsheet constitutes the first in a series of three publications that aim to support clarity and precision in cost analyses of renewable energy options made by decision makers in companies, residences, governments and advocacy organizations. In particular, the guide is intended for electricity buyers looking for financial savings, and electricity system planners, regulators and policy makers seeking economic and social benefits for end-users.

The publication argues that, in order for decision makers to know where and when renewable energy is the cheapest solution, they should establish: “with what should a renewable energy option be compared”; and “which factors need to be considered in determining cost parity.”

Among the publication’s key messages are that: for end-use consumers, on-site generation is cost-competitive when its average cost of energy is lower than or equal to the retail electricity price over the project’s lifetime; for large industrial and/or commercial consumers, power purchase agreements (PPAs) are cost-competitive when the price paid for generated electricity is lower than or equal to the retail electricity price over the project’s lifetime or contract; and, for utilities and other wholesale buyers, a renewable energy project is cost-competitive if its cost of energy and/or risk is lower than or equal to that of other technologies providing the same service during the same period of time.

The factsheet also argues for the need to take into account potential additional factors, including fluctuations in electricity prices, different time periods used in comparisons, assumptions and methodologies relating to levelized cost of energy (LCOE) calculations, technology-specific subsidies, possible PPAs, and costs of compliance with environmental regulations. [WRI Blog Post] [WRI Publication Webpage] [Publication: Understanding Renewable Energy Cost Parity] More

 

 

 

Scientists predict green energy revolution after incredible new graphene discoveries

A recently discovered form of carbon graphite – the material in pencil lead – has turned out to have a completely unexpected property which could revolutionise the development of green energy and electric cars.

Researchers have discovered that graphene allows positively charged hydrogen atoms or protons to pass through it despite being completely impermeable to all other gases, including hydrogen itself.

The implications of the discovery are immense as it could dramatically increase the efficiency of fuel cells, which generate electricity directly from hydrogen, the scientists said.

The breakthrough raises the prospect of extracting hydrogen fuel from air and burning it as a carbon-free source of energy in a fuel cell to produce electricity and water with no damaging waste products.

“In the atmosphere there is a certain amount of hydrogen and this hydrogen will end up on the other side [of graphene] in a reservoir. Then you can use this hydrogen-collected reservoir to burn it in the same fuel cell and make electricity,” said Professor Sir Andrei Geim of Manchester Univeristy.

Ever since its discovery 10 years ago, graphene has astonished scientists. It is the thinnest known material, a million times thinner than human hair, yet more than 200 times stronger than steel, as well as being the world’s best conductor of electricity.

Until now, being permeable to protons was not considered a practical possibility, but an international team of scientists led by Sir Andre, who shares the 2010 Nobel Prize for his work on graphene, has shown that the one-atom thick crystal acts like a chemical filter. It allows the free passage of protons but forms an impenetrable barrier to other atoms and molecules.

“There have been three or four scientific papers before about the theoretical predictions for how easy or how hard it would be for a proton to go through graphene and these calculations give numbers that take billions and billions of years for a proton to go through this same membrane,” Sir Andrei said.

“It’s just so dense an electronic field it just doesn’t let anything through. But it’s a question of numbers, no more than that. This makes a difference between billions of years and a reasonable time for permeation. There is no magic,” he said.

The study, published in the journal Nature, shows that graphene and a similar single-atom material called boron nitride allowed the build-up of protons on one side of a membrane, yet prevented anything else from crossing over into a collecting chamber.

In their scientific paper, the researchers speculate that there could be many applications in the field of hydrogen fuel cells and in technology for collecting hydrogen gas from the atmosphere, which would open up a new source of clean energy.

“It’s really the very first paper on the subject so what we’re doing is really to introduce the material for other experts to think about it,” Sir Andrei said.

“It was difficult not to speculate. If you can pump protons from a hydrogen-containing gas into a chamber that doesn’t contain anything, you start thinking how you can exploit this?” he said.

“One of the possibilities we can imagine, however futuristic, which has to be emphasised because everything has been shown on a small scale, is applying a small electric current across the membrane and pushing hydrogen though the graphene or boron nitrite membrane,” he explained.

“Essentially you pump your fuel from the atmosphere and get electricity out of this fuel, in principle. Before this paper, this wouldn’t even be speculation; it would be science fiction. At least our paper provides a guidance and proof that this kind of device is possible and doesn’t contradict to any known laws of nature,” Sir Andre added.

Graphene: potential uses

Graphene is tough, about 200 times stronger than steel, yet incredibly light. It is considered the first two-dimensional material because it forms sheets of crystal that are just one atom thick.

It is also an excellent conductor of electricity, so is useful for anything involving electronics, such as bendable mobile phones and cameras, and wearable electrical devices attached to clothing.

Medical applications include its possible use as a material for delivering drugs to damaged sites within the body, which could open new avenues for treating patients with brain conditions such as Parkinson’s disease or cancer.

Graphene is also being developed as a new material for membranes involved in separating liquids. It could be used to purify water in the developing world or to create more efficient desalination plants.

Scientists also believe that graphene’s high strength and low weight can be harnessed in the making of new composite materials and polymers for the transport industry, making travel safer and more fuel efficient.

Now, it seems, graphene might also be used to generate new forms of generating clean electricity using hydrogen fuel cells, and even as a technology for harvesting hydrogen fuel from air. More

 

Signs of stress must not be ignored, IEA warns in its new World Energy Outlook

Energy sector must tackle longer-term pressure points before they reach breaking point

Events of the last year have increased many of the long-term uncertainties facing the global energy sector, says the International Energy Agency’s (IEA) World Energy Outlook 2014 (WEO-2014). It warns against the risk that current events distract decision makers from recognising and tackling the longer-term signs of stress that are emerging in the energy system.

In the central scenario of WEO-2014, world primary energy demand is 37% higher in 2040, putting more pressure on the global energy system. But this pressure would be even greater if not for efficiency measures that play a vital role in holding back global demand growth. The scenario shows that world demand for two out of the three fossil fuels – coal and oil – essentially reaches a plateau by 2040, although, for both fuels, this global outcome is a result of very different trends across countries. At the same time, renewable energy technologies gain ground rapidly, helped by falling costs and subsidies (estimated at $120 billion in 2013). By 2040, world energy supply is divided into four almost equal parts: low-carbon sources (nuclear and renewables), oil, natural gas and coal.

In an in-depth focus on nuclear power, WEO-2014 sees installed capacity grow by 60% to 2040 in the central scenario, with the increase concentrated heavily in just four countries (China, India, Korea and Russia). Despite this, the share of nuclear power in the global power mix remains well below its historic peak. Nuclear power plays an important strategic role in enhancing energy security for some countries. It also avoids almost four years’ worth of global energy-related carbon-dioxide (CO2) emissions by 2040. However, nuclear power faces major challenges in competitive markets where there are significant market and regulatory risks, and public acceptance remains a critical issue worldwide. Many countries must also make important decisions regarding the almost 200 nuclear reactors due to be retired by 2040, and how to manage the growing volumes of spent nuclear fuel in the absence of permanent disposal facilities.

“As our global energy system grows and transforms, signs of stress continue to emerge,” said IEA Executive Director Maria van der Hoeven. “But renewables are expected to go from strength to strength, and it is incredible that we can now see a point where they become the world’s number one source of electricity generation.”

The report sees a positive outlook for renewables, as they are expected to account for nearly half of the global increase in power generation to 2040, and overtake coal as the leading source of electricity. Wind power accounts for the largest share of growth in renewables-based generation, followed by hydropower and solar technologies. However, as the share of wind and solar PV in the world’s power mix quadruples, their integration becomes more challenging both from a technical and market perspective.

World oil supply rises to 104 million barrels per day (mb/d) in 2040, but hinges critically on investments in the Middle East. As tight oil output in the United States levels off, and non-OPEC supply falls back in the 2020s, the Middle East becomes the major source of supply growth. Growth in world oil demand slows to a near halt by 2040: demand in many of today’s largest consumers either already being in long-term decline by 2040 (the United States, European Union and Japan) or having essentially reached a plateau (China, Russia and Brazil). China overtakes the United States as the largest oil consumer around 2030 but, as its demand growth slows, India emerges as a key driver of growth, as do sub-Saharan Africa, the Middle East and Southeast Asia.

“A well-supplied oil market in the short-term should not disguise the challenges that lie ahead, as the world is set to rely more heavily on a relatively small number of producing countries,” said IEA Chief Economist Fatih Birol. “The apparent breathing space provided by rising output in the Americas over the next decade provides little reassurance, given the long lead times of new upstream projects.”

Demand for gas is more than 50% higher in 2040, and it is the only fossil fuel still growing significantly at that time. The United States remains the largest global gas producer, although production levels off in the late-2030s as shale gas output starts to recede. East Africa emerges alongside Qatar, Australia, North America and others as an important source of liquefied natural gas (LNG), which is an increasingly important tool for gas security. A key uncertainty for gas outside of North America is whether it can be made available at prices that are low enough to be attractive for consumers and yet high enough to incentivise large investments in supply.

While coal is abundant and its supply relatively secure, its future use is constrained by measures to improve efficiency, tackle local pollution and reduce CO2 emissions. Coal demand is 15% higher in 2040 but growth slows to a near halt in the 2020s. Regional trends vary, with demand reaching a peak in China, dropping by one-third in the United States, but continuing to grow in India.

The global energy system continues to face a major energy poverty crisis. In sub-Saharan Africa (the regional focus of WEO-2014), two out of every three people do not have access to electricity, and this is acting as a severe constraint on economic and social development. Meanwhile, costly fossil-fuel consumption subsidies (estimated at $550 billion in 2013) are often intended to help increase energy access, but fail to help those that need it most and discourage investment in efficiency and renewables.

A critical “sign of stress” is the failure to transform the energy system quickly enough to stem the rise in energy-related CO2 emissions (which grow by one-fifth to 2040) and put the world on a path consistent with a long-term global temperature increase of 2°C. In the central scenario, the entire carbon budget allowed under a 2°C climate trajectory is consumed by 2040, highlighting the need for a comprehensive and ambitious agreement at the COP21 meeting in Paris in 2015.

The World Energy Outlook is for sale at the IEA bookshop. Journalists who would like more information should contact ieapressoffice@iea.org.

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About the IEA

The International Energy Agency is an autonomous organisation that works to ensure reliable, affordable and clean energy for its 29 member countries and beyond. Founded in response to the 1973/4 oil crisis, the IEA’s initial role was to help countries co-ordinate a collective response to major disruptions in oil supply. While this remains a key aspect of its work, the IEA has evolved and expanded. It is at the heart of global dialogue on energy, providing authoritative research, statistics, analysis and recommendations.

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