President Obamaâs Clean Power Plan, designed to cut carbon emissions from power plants, seems pragmatic and moderate, certainly by European standards. Yet for US observers it âmakes historyâ, because it is the first time the federal government puts limits on âcarbon pollutionâ. … [Read more...]
How hub-based pricing is reshaping the EU gas market â even Spain
Countries like Spain, which have long been immune to the shift from oil- to spot market-based gas pricing, are finally waking up. With that, come fresh opportunities for alternative gas suppliers to sell more and end-customers to pay less. So the evidence suggests, writes Benedict De Meulemeester, owner and founder of the international energy and environment consultancy E&C. Taking the UK as an example, he urges Spain to use a new … [Read more...]
RWE sets up its lignite plants for a taxpayer bail-out
German utility RWE has kept uneconomic lignite plants open with the explicit intention of securing a public bail-out, argue Julian Schwartzkopff, Chris Littlecott and Sabrina Schulz at E3G. It would apear the energy giant has taken a bet on being âtoo big to failâ that might just pay off: RWE is set to be the biggest beneficiary of a new 2.7GW capacity reserve in Germany which will pay lignite plants for going on standby. The alternative, a … [Read more...]
The new fracking â how shale gas may yet transform the European energy market
Shale gas in Europe â itâs a revolution that does not seem to be happening. Even in countries like Poland and the UK, where governments are pushing it. However, European shale gas may get a second chance â if US company eCorp is to be believed. CEO John Thrash of eCorp says his company can frack without using any water, with no chemicals and much cheaper. The French government first embraced eCorpâs technology, only to ignore it later, âfor … [Read more...]
Europe’s gas demand is falling. Doesn’t anybody notice?
Gas demand has consistently been overestimated by EU bodies in recent years, write Dave Jones of Sandbag and Jonathan Gaventa and Manon Dufour of E3G. Even today, with gas demand at its lowest since 1995, the possibility of lower future demand is hardly taken into account. As a result, the EUâs energy security strategy, focused on sourcing more gas, may be misguided. In addition, infrastructure investment may be wasted. Time for a reality check. … [Read more...]
A system of unconnected vessels: the gas market(s) in the Baltic States
An internally integrated gas market independent from Russia is an official goal of the Baltic Statesâ energy policies. Above all the launch of the LNG terminal in Klaipeda, Lithuania, at the end of 2014, was intended to provide an alternative to Russian gas. However, Latvia rejects the opportunity to import gas from Lithuania, and Estonia is pursuing its own projects, including cooperation witn Finland. Â This makes the creation of a regional … [Read more...]
Image of gas suffers another blow as trilateral gas talks fail
Russia, Ukraine and the EU failed to reach an agreement to govern gas flows between Russia and Ukraine at a meeting in Vienna because of a âlack of political willâ. European Commission Vice President for Energy Union MaroĹĄ Ĺ efÄoviÄ is frustrated with the Ukrainians as much as with the Russians. âThe lack of a deal is not good for the image of Russia as a reliable supplier or Ukraine as a reliable transit countryâ, he said. He added that âGazprom … [Read more...]
Gazprom deals deepen EU gas dilemmas
Gazprom has been very active in Europe recently, signing a strategic cooperation agreement with Shell, an agreement to build a second Nord Stream pipeline with Shell, E.on and OMV, and a memorandum with the Greek government about building an extension of its Turkish Stream project. All of these initiatives fit perfectly with Gazpromâs strategy, write Szymon KardaĹ and Agata Loskot-Strachota of the Centre for Eastern Studies (OSW) in Warsaw. But … [Read more...]
Lignite in Europe: fighting back renewables
With an output of 350 million tonnes, four EU countries â Germany, Poland, the Czech Republic, and Greece â account for over a third of the worldâs lignite production. Renewable energies have cut into their profitability, but lignite producers are fighting back with increased deliveries and exports to third-party customers. In addition, they avoid CO2 penalties under the EU Emission Trading Scheme by  building plants below the 20 MW threshold. … [Read more...]
Worldwatch Institute: energy costs rise as national debts grow
Although current oil prices are temporarily low, long-term energy costs are on the rise, reports the Worldwatch Institute in its State of the World 2015Â report. The Worldwatch Institute warns that âhigher energy costs will have ripple effects through economies built around continued large energy-input requirementsâ. … [Read more...]
Heaven belongs to us all – the new papal encyclical
With his encyclical "Laudato Si" the Pope has written more than a moral appeal without obligation. He has presented a pioneering political analysis with great explosive power, which will probably determine the public debate on climate change, poverty and inequality for years to come, argues Brigitte Knopf from the Mercator Research Institute on Global Commons and Climate Change. Through her secular eyes the implications of the encyclical become … [Read more...]
viEUws VIDEO: Brussels Briefing on Energy â All you need to know for June 2015
In this Brussels Briefing on Energy for viEUws.eu, journalist Hughes Belin provides an overview of the latest EU energy policy developments, including the latest progress report from the Commission on renewable energy in EUrope and news on European energy security strategy. … [Read more...]
As race for Arctic oil and gas reserves heats up, so do the war gamesÂ
On June 15, the U.S. military exercise Northern Edge 2015 got underway in the Arctic. According to award-winning author Dahr Jamail, this will have a massive impact on the pristine Arctic environment. And itâs only the beginning: âAs the race heats up for reserves of oil and gas in the melting Arctic, so do the Navyâs war gamesâ. … [Read more...]
Good luck G7 leaders – we won’t be off fossil fuels by 2100
The most powerful leaders in the West used the G7 summit in Germany to make a big statement on the environment. Their stated goal is to cut carbon emissions by 40% to 70% by 2050 and then end all fossil-fuel use by 2100. They announced a US$100bn (ÂŁ65bn) fund by 2020 comprising public and private money to help smooth the transition. My response to David Cameron, Angela Merkel and the rest is pretty simple: good luck with that. … [Read more...]
The Idiotâs Guide to Running a Countryâs Coal Industry … into the Ground
Recent developments in Romaniaâs coal sector have brought to the publicâs attention two textbook examples on how NOT to manage an industry. Anca Mihalache, Senior Analyst with the Bucharest-based Energy Policy Group discusses both cases. … [Read more...]
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