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FuturENERGY Dec. 18 - Jan. 2019

The unsustainable mobility milestones implemented in little more than a century at global level can only be changed when the different societies that comprise our “global village” become truly aware of the multiple problems involved in pursuing the current model and in parallel, identify the existence of viable alternatives. The most visible part of the problems is currently focused on the large conurbations and can be seen in the millions of journeys made using private vehicles and the resultant damage they cause such as pollution, air quality, public health and the use of space… By EV Division at Circutor.

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Major transformations are underway for the global energy sector, from growing electrification to the expansion of renewables, upheavals in oil production and globalization of natural gas markets. Across all regions and fuels, policy choices made by governments will determine the shape of the energy system of the future.

At a time when geopolitical factors are exerting new and complex influences on energy markets, underscoring the critical importance of energy security, World Energy Outlook 2018, the International Energy Agency’s flagship publication, details global energy trends and what possible impact they will have on supply and demand, carbon emissions, air pollution, and energy access.

The WEO’s scenario-based analysis outlines different possible futures for the energy system across all fuels and technologies. It offers a contrast with different pathways, based on current and planned policies, and those that can meet long-term climate goals under the Paris Agreement, reduce air pollution, and ensure universal energy access.

While the geography of energy consumption continues its historic shift to Asia, WEO 2018 finds mixed signals on the pace and direction of change. Oil markets, for instance, are entering a period of renewed uncertainty and volatility, including a possible supply gap in the early 2020s. Demand for natural gas is on the rise, erasing talk of a glut as China emerges as a giant consumer. Solar PV is charging ahead, but other low-carbon technologies and especially efficiency policies still require a big push.

In all cases, governments will have a critical influence in the direction of the future energy system. Under current and planned policies, modeled in the New Policies Scenario, energy demand is set to grow by more than 25% to 2040, requiring more than $2 trillion a year of investment in new energy supply.

The IEA’s analysis shows that over 70% of global energy investments will be government-driven and as such the message is clear – the world’s energy destiny lies with government decisions. Crafting the right policies and proper incentives will be critical to meeting common goals of securing energy supplies, reducing carbon emissions, improving air quality in urban centers, and expanding basic access to energy in Africa and elsewhere.

The analysis shows oil consumption growing in coming decades, due to rising petrochemicals, trucking and aviation demand. But meeting this growth in the near term means that approvals of conventional oil projects need to double from their current low levels. Without such a pick-up in investment, US shale production, which has already been expanding at record pace, would have to add more than 10 million barrels a day from today to 2025, the equivalent of adding another Russia to global supply in seven years – which would be an historically unprecedented feat.

In power markets, renewables have become the technology of choice, making up almost two-thirds of global capacity additions to 2040, thanks to falling costs and supportive government policies. This is transforming the global power mix, with the share of renewables in generation rising to over 40% by 2040, from 25% today, even though coal remains the largest source and gas remains the second-largest.

This expansion brings major environmental benefits but also a new set of challenges that policy makers need to address quickly. With higher variability in supplies, power systems will need to make flexibility the cornerstone of future electricity markets in order to keep the lights on. The issue is of growing urgency as countries around the world are quickly ramping up their share of solar PV and wind, and will require market reforms, grid investments, as well as improving demand-response technologies, such as smart meters and battery storage technologies.

Electricity markets are also undergoing a unique transformation with higher demand brought by the digital economy, electric vehicles and other technological change. As part of its deep-dive into the electricity sector this year, WEO 2018 also examines what impact of higher electrification in transportation, buildings and industry. The analysis finds that higher electrification would lead to a peak in oil demand by 2030, and reduce harmful local air pollutant. But it would have a negligible impact on carbon emissions without stronger efforts to increase the share of renewables and low-carbon sources of power.

The IEA’s Sustainable Development Scenario offers a pathway to meeting various climate, air quality and universal access goals in an integrated way. In this scenario, global energy-related CO2 emissions peak around 2020 and then enter a steep and sustained decline, fully in line with the trajectory required to achieve the objectives of the Paris Agreement on climate change.

But most emissions linked to energy infrastructure are already essentially locked-in. In particular, coal-fired power plants, which account for one-third of energy-related CO2emissions today, represent more than a third of cumulative locked-in emissions to 2040. The vast majority of these are related to projects in Asia, where average coal plants are just 11-years-old on average with decades left to operate, compared with 40 years on average age in the United States and Europe.

“We have reviewed all current and under-construction energy infrastructure around the world – such as power plants, refineries, cars and trucks, industrial boilers, and home heaters – and find they will account for some 95% of all emissions permitted under international climate targets in coming decades,” said Dr Birol.

“This means that if the world is serious about meeting its climate targets then, as of today, there needs to be a systematic preference for investment in sustainable energy technologies. But we also need to be much smarter about the way that we use our existing energy system. We can create some room for maneuver by expanding the use of Carbon Capture Utilization and Storage, hydrogen, improving energy efficiency. To be successful, this will need an unprecedented global political and economic effort.”

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According to data from REN (the Portuguese TSO), the renewable electricity produced in March (4,812 GWh) exceeded the consumption of Mainland Portugal (4,647 GWh). The renewable electricity production accounted for 103.6% of the electricity consumption, a value unmatched in the last 40 years. However, there were some hours when thermal fossil power plants and/or imports were required to complement the electricity supply of Portugal, these periods were nevertheless fully compensated by others of greater renewable production.

In the period under analysis, the daily share of renewable electricity in the consumption had a minimum of 86 %, on March 7, and a maximum of 143 %, on March 11. It should also be highlighted a 70-hour period, beginning on day 9, when the consumption was fully assured by renewable sources and another period of 69 hours, beginning at day 12.

These data, besides indicating a historical milestone in the Portuguese electricity sector, demonstrate the technical viability, security and reliability of the operation of the electrical system, with a large share of renewable electricity. The previous maximum occurred in February of 2014 with 99.2%.

In terms of resources, the main highlight goes to hydro and wind that accounted, respectively, for 55 % and 42 % of the monthly consumption. The total March production of renewables also avoided the emission of 1.8 million tons of CO2, which translated in savings of 21 million euros in the acquisition of emission allowances. In this analysis it is also worth noting the high monthly export balance of 19 % of the electricity consumption of Mainland Portugal (878 GWh).

This renewable share had a positive influence on lowering of the average daily wholesale market price, which was 39.75 €/MWh, price much lower than the same period of last year (43.94 €/MWh) when the weight of renewables in the electricity consumption was only 62 %.

Last month’s achievement is an example of what will happen more frequently in a near future. In fact, it is expected that by 2040 the production of renewable electricity will be able to guarantee, in a cost-effective way, the total annual electricity consumption of Mainland Portugal. However, it will eventually be necessary, here and then, the use of natural gas power plants, aggregated to interconnections and storage.

APREN and ZERO – Sustainable Earth System Association consider vital that national public policies and the European framework called “Clean Energy for All Europeans”, which is currently in the final phase of decision, enable Portugal to meet its carbon neutrality objectives by 2050, ensuring a strong expansion of solar energy and allowing decarbonisation through the increase of electricity demand in the transport and in the heating and cooling sectors.

Source: APREN

Google, Norsk Hydro and Facebook are leading the growing trend of major companies looking to secure reliable and competitive power from renewable energy and reduce the risks associated with fossil fuel-based power supply. 100 top companies including leading industrial players are already committing to procure 100% renewable power in the short term through Power Purchase Agreements (PPAs).

The chemicals industry has also emerged as an actor in renewable energy PPAs. Earlier this year, AkzoNobel led a consortium to procure power from the Bouwdokken Wind Park in the Netherlands as part of a commitment to be carbon neutral by 2050.

PPAs are currently concentrated in Norway, Sweden, the Netherlands, the UK and Ireland. Expanding this potential will require clarifying the legal framework for PPAs and empowering renewable electricity generators to make use of Guarantees of Origin. This should be tackled head on as part of the post-2020 Renewable Energy Directive.

WindEurope and SolarPower Europe will lead this effort, in collaboration with RE100 and supported by CEFIC, by hosting the first in a series of annual renewable energy PPA events, RE-Source 2017 on 11 October 2017 in Brussels. Large energy consumers including chemical companies, Google and renewable energy players Engie, EDF Energies Nouvelles, ENEL Green Power, Envision and Vestas will come together with policymakers to ensure Europe can fully reap the benefits of a competitive and reliable renewable energy supply to power its economy.

Marco Mensink, Director General of CEFIC, said: “Corporate PPAs are a win-win: whilst enabling long-term contracts, they provide financial certainty for utilities and developers and they allow the chemical industry to contribute to sustainability goals. Corporate PPAs show that renewables are maturing into market based solutions.

WindEurope CEO Giles Dickson added: “Wind energy producers can supply cheap power today thanks to a significant reduction in technology and operating costs in recent years. But they need stable revenues to sustain their investments. Corporate PPAs will play an increasing role in supplying corporates with power below the industrial retail price, while ensuring a stable revenue for wind energy generators. The new Renewable Energy Directive should help unlock this potential.

Dr James Watson, CEO of SolarPower Europe, explains: “Renewable energy capacity covered by PPAs tripled in 2016 compared to 2015 confirming the rising appetite of corporates to procure green power. Last year, 1.5 GW of renewable energy capacity in Europe supplied power to corporates under PPAs – up from 74 MW just 4 years ago.

Source: WindEurope

What are cities’ commitments to sustainable development and energy efficiency? How can cities collaborate to improve the global environment? This article from the Madrid Subterra association, an organisation dedicated to the exploration and exploitation of energy originating from the urban subsoil, analyses the commitment of cities to the efficient development of our energy supply systems. It sets out some alternatives to the consumption of traditional fuels and invites us to explore the huge energy potential hidden beneath large urban centres such as Madrid.

According to the latest figures provided by the United Nations, some 55% of the world’s population lives in cities. This means that 70% of the earth’s greenhouse gases (GHG) are generated by large conurbations and these account for around 70% of the world’s energy consumption. Many organisms have warned about the need to reverse this situation, setting cities real environmental commitments as well as giving them a leading role in the fight against climate change.

 

Some of these commitments were set out in the New Urban Agenda adopted at Habitat III, the Third UN Conference on Housing and Sustainable Urban Development that took place in Quito, Ecuador in October 2016. In this new roadmap, cities undertake real objectives for the next 20 years to eradicate poverty, to protect the planet and to guarantee prosperity for all. Here is a reminder of some of these obligations. Read more…

Article published in: FuturENERGY March 2017

In July 2014, the Madrid Health Service announced a public tender for a Mixed-Purpose Contract for Supplies and Works to construct and manage a natural gas-fired thermal plant at the Hospital Universitario La Paz. The 15-year contract had a tender budget of almost €45m (ex. VAT) to supply power to cover the hospital complex’s energy demand for heating, DHW and steam. Four proposals were submitted, with the contract finally being awarded to the joint venture comprising Gas Natural Servicios SDG and Veolia Servicios Lecam.

The Hospital Universitario La Paz is one of the largest hospitals in terms of importance in the Autonomous Community of Madrid and an essential part of the public healthcare system. Consisting of four buildings that house the General Hospital, Maternity Hospital, Children’s Hospital and Trauma Centre, the complex covers a surface area of 180,000 m2 and has a total of 1,328 beds.

 

Due to age (some 50 years) and the degree of wear and tear of its thermal installations, the Hospital Universitario La Paz was facing high energy and O&M costs in addition to: the risk of a lack of supply, with the resultant risk to the health and wellbeing of patients and workers., high environmental impact, due to the use of diesel. and an inability to handle increases in demand. Read more…

Mario Bonaut Prieto, Ana María Zafra, Gas Natural Fenosa
Raúl González Alcorlo, Veolia

Article published in: FuturENERGY January-February 2017

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Solar energy company Proinso has announced it will open a new operation in Indonesia’s West Java province. Proinso will have distribution and integrated products available in Indonesia along with PT. Surya Energi Indotama (SEI), a highly experienced local EPM division.

A spokesperson for Proinso commented, “Indonesia is a market of major focus for Proinso. With over 250 million people, a growing economy, good solar irradiance and energy deficiency it has vast opportunity. However, it has significant logistical and engineering challenges which our local partner is extremely experienced and successful in dealing with.”

Proinso has worked in partnership with PT SEI on numerous off-grid, distributed generation and utility projects over recent years and this consolidates leading capabilities, experience and relationships both locally and worldwide.

Earlier this year, Proinso opened seven new offices across Latin America. The company now has 27 office locations worldwide.

 

Source: Proinso

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Abengoa, the international company that applies innovative technology solutions for sustainability in the energy and environment sectors, has been awarded by the Oman Electricity Transmission Company (OTEC) the construction of two new electric substations and the associated transmission lines in Northeast Oman.

Abengoa will be responsible for the construction, supply, assembly, and commissioning of two new substations 132/33kV, one located in Samad and the other in Sinaw. The construction project is expected to last for two years. Subcontracting of local businesses for specific tasks will generate local employment in the area throughout the construction period.

Since 2012, Abengoa is present in Oman, where it is currently developing the substation Al Dreez for OETC as well.

With this new project, Abengoa consolidates its position in the Middle Eastern market, keeping its leadership in the electric transmission industry with more than 26,000 km and almost 300 substations around the world in the past 11 years.

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Merkur Offshore has signed with respectively Alstom and DEME a binding offshore wind turbine supply agreement and Balance of Plant contract for the construction of the Merkur Offshore wind farm, including supply and installation of 66 Alstom Haliade 150-6MW offshore wind turbines. Additionally, Alstom has signed a long term service and maintenance contract.

The offshore wind turbines will be supplied by Alstom and installed by DEME in one of the biggest German wind farms, the 400 MW Merkur Offshore wind farm, located 45 km north of Borkum in the North Sea, which will be built and operated by Merkur Offshore. The wind farm project Merkur Offshore has passed all authorizations and has a secured grid connection. The construction will start in 2016 and will be undertaken by GeoSea, member of the DEME Group.

Alstom Haliade 150-6MW direct drive wind turbine combines proven technology and innovation. With its high energy yield – thanks to its 150 m diameter rotor – Haliade can supply clean wind power to the equivalent of about 5,000 households. All Alstom offshore wind turbines will be manufactured in the new French facilities in Saint-Nazaire, although they have designed in the I+D Centre of Alstom in Barcelona (Spain).

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Gamesa has entered into an agreement with ScottishPower Renewables, Iberdrola’s UK subsidiary, for the supply of 239 MW at the Kilgallioch wind farm being developed in southern Scotland. The company will also provide the facility’s O&M services under a five-year agreement.

Gamesa will handle the supply, transportation, installation and commissioning of 94 of its G114-2.5 MW turbines and two of its G90-2.0 MW turbines at this facility, located between the Scottish councils of South Ayrshire and Dumfries and Galloway. Delivery of the turbines is expected to begin in February 2016 and the wind farm’s construction is slated for completion during the first quarter of 2017.

The agreement was signed yesterday in Glasgow in the presence of Ricardo Chocarro, CEO of Europe & RoW, Enrique Pedrosa, Commercial Managing Director, and Thomas Connell, O&M Director EMEA, representing Gamesa and, from ScottishPower Renewables, Keith Anderson, the company’s CEO, and Roy Scott, CFO.

“This milestone agreement with ScottishPower Renewables evidences the success of our commercial strategy in northern Europe, one of Gamesa’s priority markets, and demonstrates the credibility garnered by our new products – which offer market-leading efficiency and profitability – in the eyes of our customers”, stressed Ricardo Chocarro, Gamesa’s CEO for Europe & RoW. The company has been present in the UK, where it has installed and maintains over 450 MW, since 2005.

Keith Anderson, ScottishPower Renewables CEO, said: “Kilgallioch windfarm will become our second largest windfarm in the UK and this year marks a real milestone as we approach 2 GW of installed onshore wind capacity – enough to power up to nearly 2 million homes. We are delighted to reach this agreement with Gamesa, and we look forward to work commencing on the site next month.”

Gamesa G114-2.5 MW

The G114-2.5 MW, designed for class II wind speed sites, comes with a longer blade and increased nominal capacity of 2.5 MW in order to maximise efficiency and profitability while reducing the cost of energy in the 2.0-3.0 MW segment. As a result, this new turbine produces 29% more power than the G97-2.0 MW model, while lowering the cost of energy by 10%.

The contract secured with ScottishPower Renewables marks the largest order placed for the G114-2.5 MW to date and comes on the heels of the agreements signed with international investor group and infrastructure manager John Laing (15.75 MW) and developers EDF and Eneco (17.5 MW).

The new G114-2.5 MW turbine is underpinned by proven technology, validated in the Gamesa 2.0-2.5 MW platform, one of the most reliable in the market, having been installed in 33 countries (cumulative installed capacity: 18.6 GW). With the prototype successfully installed at the firm’s R&D facility in Alaiz (Navarra, Spain), the company expects to secure type certification during the last quarter of this year.

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