Plus: Infrastructure-as-a-service takes off; United buys into electric planes; Mercedes accelerates EV shift
Hi Everyone,
I have been enjoying summer and reconnecting with family and friends now that COVID restrictions have been lifted here in Alberta.
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It’s been a while, so lots to cover. So if you only have time to read a little, start with my comments and feature stories . Scan the rest of the headlines at your leisure.
Thanks,
Peter
Observations & Comments
The owners of 6 trillion in assets called for a global price on carbon (See Finance & Sentiment section) and the G20 finance ministers finally recognize the tool to address climate change. Its no wonder then why so many oil and gas companies too are calling for an economy-wide price on carbon. It’s what economists the world over are saying is the most efficient way of reducing consumer demand for fossil fuels.
Check out the Feature Stories below. Generate Capital is an interestingly diverse company. Think of it as “Infrastructure as a Service” company. Say you want electric buses for your city, but don’t want the hassle of figuring out how to make it all work with charging stations and all. Just sign up a 10-15-20 year service contract. They are involved in a myriad of project types with the same thing in common – reducing the barriers to investment in clean tech – the big up front sticker price and the hassle of operating the project.
More governments are either announcing new plans to ban gas vehicles, accelerating the dates, or expanding the scope from cars to trucks. Colin unpacks where things stand in Bloomberg Hyperdrive.
Feature Stories
This ‘sustainable infrastructure company’ just raised $2 billion to build more clean tech | Fast Company
Generate Capital makes the often-costly upfront investments in sustainable projects—from solar panels to electric vehicles to food waste digesters—and then sells the services to other companies.
Phasing out Europe’s combustion engine cars | Bloomberg Hyperdrive
Colin McKerracher digs into the data on where targets stand around the world and what to watch for next. As Colin says “announcing the target is the simple part”, pointing to the challenge of scaling up charging infrastructure and battery supply chains. I think the challenge will be with the governments of the day when the target has to be enforced and whether there is political support among voters to carry through without being voted out the next election.
Finance & Sentiment
Asset owners managing $6 trln call for global carbon price | WTVB
The call by the The Net Zero Asset Owner Alliance, whose 43 members include some of the world’s biggest pension schemes and insurers, comes ahead of the next round of global climate talks in November.
G20 recognizes carbon pricing as climate change tool for first time | Reuters
G20 finance leaders recognized carbon pricing as a potential tool to address climate change for the first time in an official communique on Saturday, taking a tentative step towards promoting the idea and coordinating carbon reduction policies.
Global investors pump hundreds of billions into renewables in shift from fossil fuels | RenewEconomy
Despite the mammoth disruption caused by the global COVID-19 pandemic throughout 2020, the top global debt and equity investors nevertheless continued to pour capital into the renewable energy sector, accelerating their race away from the climate-related risks associated with fossil fuel assets.
Almost US$10 billion raised by battery storage firms in first six months of 2021 | Energy Storage News
Companies in the battery storage industry raised US$9.6 billion in corporate funding during H1 2021, with European manufacturing startup Northvolt once again the biggest single recipient of venture capital (VC) investment.
China will become world’s largest carbon market after national trading starts this month | Global Times
Analysts and industry insiders are optimistic about the development of the carbon market and related industries, but there are gaps, mainly in finance, between China and mature carbon markets in Europe and the US.
Chevron, partners go ahead with $4 bln project at Gorgon LNG | Energy Now
Chevron Corp and its partners in the Gorgon LNG project off Western Australia have agreed to go ahead with a $4 billion project to improve gas recovery from offshore wells and keep the huge liquefied natural gas plant filled for 40 years.
Technology
Hydrogen
Developers enter largest green hydrogen PPA in US with 345 MW of wind to power facility | Utility Dive
Hydrogen technology company Plug Power has entered into a 345 MW wind power purchase agreement (PPA) with Apex Clean Energy. The energy from the wind farm, which Apex believes will be the first and largest wind-powered hydrogen project in the U.S., will power one of a series of liquid hydrogen plants Plug plans to build by 2025.
Kazakhstan plans massive 45GW renewable project to power green hydrogen | RenewEconomy
German renewable energy company Svevind Energy is to partner with the Kazakh Invest National Company to build a mammoth 45GW renewable energy projected intended to produce huge amounts of green hydrogen.
Carbon Capture
Shell unveils new carbon capture project amid wave of new CCS proposals in Alberta | CBC
Shell Canada unveiled plans Tuesday for a new facility in Alberta to capture emissions from its industrial complex and store the greenhouse gases underground.
Blow for CCS: Chevron’s giant carbon capture project falling short of targets | Upstream Energy
Chevron fails to meet requirements under LNG scheme’s project approvals to sequester at least 80% of CO2 emissions in first five years of operation.
Sinopec builds China’s first large CCS project | Energy Voice
China’s Sinopec has started building the country’s first large-scale carbon capture utilisation and storage (CCUS) project as part of its target to be carbon-neutral by 2050.
Energy Storage
Shortages flagged for EV materials lithium and cobalt | Reuters
As the world moves to meet stringent targets for cutting carbon emissions – partly by phasing out internal-combustion-engine cars – demand for lithium, cobalt and nickel vital for electric vehicle batteries will soar, raising the prospect of shortages.
Tesla Strikes Deal With Top Miner BHP Over Nickel Supplies | BNN Bloomberg
Tesla Inc. has struck a nickel-supply deal with BHP Group, as the electric-car maker seeks to protect itself from a future supply crunch.
Australian Vandium to fast-track manufacture of flow batteries | pv magazine
Western Australian company Australian Vanadium Limited has been awarded $3.69 million in federal government funding to fast-track manufacturing of large-scale vanadium redox flow battery systems that can be used to support rooftop solar PV or in off-grid settings such as mining, agriculture and remote communities.
World’s second largest hydropower plant begins operating in China | Renewable Energy World
The 16-GW Baihetan hydropower plant on the upstream branch of China’s Yangtze River has begun generating electricity for the first time, according to China’s state broadcaster CCTV.
Million cubic metre 90GWh thermal storage project announced in Finland | Energy Storage News
A seasonal heat storage plant which will have a capacity of about 90GWh looks set to begin construction next year in Vantaa, Finland, with water stored in underground caverns heated to 140°C using renewable energy and waste heat.
Solar and Wind
Shell, Iberdrola Bid to Build World’s Largest Floating Wind Farm | BNN Bloomberg
Royal Dutch Shell Plc and Iberdrola SA’s ScottishPower unit are teaming up to bid to build what could be the world’s largest wind farms that float in the sea.
Mexico announces Latin America’s largest PV project | pv magazine
The Mexican authorities are overseeing the development of a $2 billion PV project as part of a modernization plan involving the country’s state-owned utility, CFE.
Linyang to build 2.4 GW solar-wind-storage project in China | pv magazine
Shanghai-listed Linyang Energy has announced the signing of an agreement with the government of Bengbu City, in Anhui province, to build a renewable energy complex comprising a 1.5 GW solar farm, a 500 MW wind power plant, and a 400 MW/800 MWh energy storage facility.
NJ Makes Largest Combined US Offshore Wind Power Award | ENR
New Jersey took a big step toward meeting the state goal of developing 7,500 MW of offshore wind capacity by 2035 on June 30 by selecting two developers to build 2,568 MW—the largest single award in the U.S. to date, said Gov. Phil Murphy.
Mainstream plans to develop 1 GW renewable energy platform in Chile | Power Technology
Ireland-based energy company Mainstream Renewable Power has announced plans to develop a hybrid energy platform with more than 1GW of capacity in Chile. The Nazca Renovables platform consists of three wind farms and three solar photovoltaic generation assets, all divided into three portfolios.
Philadelphia Solar to build 1 GW module factory in US | pv magzine
Jordan-based PV manufacturer Philadelphia Solar said it plans to build 1 GW of production capacity in the United States to serve both domestic and export markets.
Iberdrola acquires Sowitec Vietnam and its 550-MW pipeline | Renewables Now
Spain’s Iberdrola SA on Thursday announced that it has acquired the Vietnamese subsidiary of German renewables group Sowitec along with its 550-MW pipeline under development.
Green Light For 400MW Solar, 200MWh Battery Facility In NSW | Solar Quotes
A huge solar power and battery storage facility for New South Wales’ Mid-Western Regional Council area has been given the State Government’s blessing.
Transportation
United Air invests in electric plane startup Heart Aerospace, agrees to buy up to 200 electric aircrafts | Electrek
United Airlines announced today what could be an important step toward electric commercial flight. The major airline announced that it invested in Heart Aerospace, a Sweden-based electric aircraft startup, and agreed to buy up to 200 electric planes. Battery technology has improved enough that short-range commercial planes are starting to make sense.
Mercedes accelerates electric shift, gains on Tesla with 1000km range EV | The Driven
German auto giant Mercedes-Benz has hit the accelerator on its transition to all-electric vehicles, declaring on Friday it will spend €40 billion to help bring forward the “tipping point” in EV adoption.
Mercedes accelerates electric-car shift with US$47B push | BNN Bloomberg
Daimler AG’s Mercedes-Benz vowed to spend more than 40 billion euros (US$47 billion) this decade to electrify its lineup and defend its position as the world’s leading luxury-car maker through a historic industry transformation.
GM issues new recall for nearly 69,000 Bolt EVs for fire risks | Reuters
General Motors Co said Friday it is issuing a new recall for nearly 69,000 Chevrolet Bolt electric vehicles (EVs) worldwide for fire risks after reports of two fires and will replace defective battery modules as needed.
Policy
Shell, British Columbia, Ottawa team up on clean energy centre | JWN
British Columbia, Ottawa and Shell Canada are joining together to open a centre that will invest in low-carbon technologies. Each of them will contribute seed money of $35 million to stimulate other investment from the private sector on technologies like carbon capture, the use of low-carbon hydrogen and battery technology.
Japan looks to phase out more fossil fuels with increased 2030 renewables target | Upstream Energy
The Japanese government is looking to ramp up its renewable energy capacity, while cutting the use of fossil fuels in the world’s third largest economy.