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Renewables

Up to 3.4-GW wind complex planned for Vietnamese waters – report

12 December 2018

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Vietnam

December 12 (Renewables Now) – A giant wind farm with a capacity of 3.4 GW is planned to be constructed off Vietnam’s Binh Thuan province at a total cost of almost USD 12 billion (EUR 10.6bn), the Vietnam News Agency (VNA) reports.

The offshore wind project, dubbed Ke Ga, was proposed by UK-based Enterprize Energy near Vietnam’s southern coast, the news agency said on Tuesday citing the developer’s chairman Ian Hatton. The overall capacity will be installed in 600-MW phases, the first one of which will be switched on after 2022.

MHI Vestas Offshore Wind, a joint venture between Denmark’s Vestas Wind Systems A/S (CPH:VWS) and Japan’s Mitsubishi Heavy Industries (TYO:7011), will initially supply 9.5-MW turbines for the scheme, while more powerful machines are expected to be used in the future, according to the report.

Petroleum Equipment Assembly & Metal Structure (PVC-MS) and Vietnam-Russia oil and gas joint venture Vietsovpetro will be responsible for the design and construction, as well as the installation of the complex’s offshore power transformer stations. They will also be in charge of connecting the underground cables.

(USD 1.0 = EUR 0.883)

Renewables

Challenges facing solar power development in Vietnam

12 December 2018

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Vietnam

In April 2017, Prime Minister Nguyen Xuan Phuc issued a decision on mechanisms for encouraging solar power development. This decision has given a boost to this sector as it set up an attractive price for solar electricity – 2,086 VND or 9.35 US cent per kWh – for 20 years, compared to the current average power price of 1,500-1,700 VND per kWh. It also includes other incentives in terms of tax and land.

As a result, while the number of registered solar power projects was still modest by early 2017, 121 projects with a combined capacity of over 9,200MW had been added to the electricity development plan as of September 2018. Meanwhile, another 211 projects with a total of 16,800MW haven’t even been named in the list yet.

Dr. Nguyen Huy Hoach from the Vietnam Clean Energy Association said the national electricity development plan for 2011-2020 requests that power projects using renewable energy resources, including solar energy, be accelerated so that their capacity will reach 850MW by 2020 and 4,000MW by 2025.

To that end, solar power generation facilities with a capacity of over 200MW, 600MW, and 1,600MW will need to be installed each year by 2020, between 2020 and 2015, and in the five following years, respectively, he added.

Diep Bao Canh, Chairman of the Red Sun Energy JSC, said Vietnam now has a chance to strongly develop solar power as more and more businesses enter the industry. Additionally, equipment prices have declined considerably as solar panel prices have dropped from 3-4 USD per Watt peak to less than 0.5 USD per Watt peak. The country’s natural conditions, including the average solar irradiance of 4.5-5.5 kWh per sq.m each day, are also favourable for solar power development.

However, it is not a completely smooth path for solar power development in the country.

According to the Vietnam Energy Association, certain technical solutions are needed to convert electric current to connect solar or wind electricity plants with the national grid. As the grid’s connection points with wind and solar power factories increase, risks of operational problems also arise.

Dinh Quang Tri, Deputy General Director of the Vietnam Electricity (EVN) group, said the connection will raise transmission and distribution expenses, elaborating that most of these plants have been planned in the central region, especially Ninh Thuan and Binh Thuan provinces. Meanwhile, the local transmission system is quite weak as the electricity demand here is lower than other regions.

The EVN has asked for more transmission lines to be constructed, but the work is related to procedures and site clearance, so it will not be able to be completed soon to transmit all electricity from solar power plants.

Tri added that if the EVN does not purchase solar power, an electricity shortage is likely to happen. However, if the group, designated to buy all electricity from solar power projects, fails to load, disagreements between project investors and the EVN could occur.

Le Van Luc, Deputy Director of the Electricity and Renewable Energy Authority at the Ministry of Industry and Trade, said that with favourable policies, Vietnam is attracting investment in solar and wind power.

However, there haven’t been detailed analyses of where such projects should be located in or how to connect them with the national grid. Even in potential areas like Binh Thuan and Ninh Thuan, more studies on the projects’ connection and operation are needed to ensure safe, constant and stable supply.

Luc also pointed out problems in dealing with waste from solar power plants, such as panels, since there hasn’t been a detailed guidance issued on how to treat it. –VNA

Bioenergy

PM: B10 biodiesel to drive green efforts and economy

12 December 2018

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Malaysia

PUTRAJAYA: Malaysia’s initiatives to use palm-based biodiesel as fuel will reduce stock and stabilise commodity prices amid attempts by others to restrict its export and sales, said the Prime Minister.

Tun Dr Mahathir Mohamad, who drove home the point when he arrived for the launch of the B10 biodiesel at the wheel of a Peugeot 508, said such efforts would also be beneficial to the environment, lessening pollution and greenhouse gas emissions.

The Peugeot 508 uses the B10 biodiesel.

Dr Mahathir said he wanted the biodiesel programme to be given due attention in the National Automotive Policy currently being drafted by the International Trade and Industry Ministry.

Among the things to be considered was to only allow diesel vehicles that use more than 10% biodiesel to be sold in Malaysia.

“The biodiesel initiative is important because oil palm is our golden crop and helps generate the economy. Through this effort, 650,000 smallholders will continue to enjoy stable commodity prices and higher income,” he said at the launch of the B10 biodiesel programme for the transportation sector.

The use of B10 biodiesel – a blend of 10% palm methyl ester and 90% petroleum diesel – by the transportation sector will be made mandatory on Feb 1 next year.

The ruling affects diesel-using vehicles such as lorries, buses, pick-up trucks and even private cars.

However, vehicles using Euro 5 diesel will be exempted.

The government will also be making it mandatory for the industrial sector to use B7 biodiesel from July 1 next year.

These measures are expected to encourage domestic palm oil uptake of around 761,000 metric tonnes and contribute towards greenhouse gas emission savings of 2.2 million tonnes of carbon dioxide yearly.

“I believe the B10 programme for the transportation sector will help spur high demand for palm oil locally.

“And the B7 programme to be implemented later will complete the country’s biodiesel programme.

“Malaysians should be proud of our own biodiesel product that is being used as renewable energy and our contribution towards efforts in tackling global climate change,” said Dr Mahathir.

He said efforts by palm oil producing countries, including Malaysia, to come up with renewable energy or palm-based biodiesel faced negative response from the international community, such as the European Union and non-governmental groups.

“The attacks are part of their strategy to block palm oil from competing in the international market.

“It is because the commodity is relatively cheaper than other oil and is beneficial to health. As a result of continuous attacks, palm oil has been given a bad reputation,” he said.

Bioenergy

Biofuel firm Neste to invest 1.4b euros in Singapore production

12 December 2018

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Singapore

[HELSINKI] Finnish biofuel producer and oil refiner Neste said on Wednesday it will boost its biofuel production capacity in Singapore with a bigger-than-expected investment of 1.4 billion euros (S$2.2 billion).

Neste, 44.75 per cent owned by the state of Finland, has in recent years emerged as one of the leading players in the renewable diesel market thanks to its global sales and wide range of feedstock including waste and residues like animal fats.

The investment will boost Neste’s renewable production capacity to 4.5 million tonnes annually by 2022 from a current 2.7 million tonnes. Neste had previously talked about increasing the capacity by one million tonnes.

“The decision is based on a growing global market demand for low-carbon solutions in transport and cities, aviation, polymers and chemicals,” Neste said in a statement.

“The investment will strengthen our competitive advantages which are based on the global optimisation of our production and waste and residue raw material usage.”

Neste makes biofuels in Singapore, Rotterdam and Porvoo, Finland, and it also does conventional oil refining in Finland. The new production line is due to start in 2022. Shares in the company were up 0.9 per cent by 0806 GMT.

Renewables

DOST revives plan to activate BNPP

11 December 2018

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Philippines

The Department of Science and Technology and its attached agency―the mothballed Philippine Nuclear Research Institute―want the Bataan Nuclear Power Plant commissioned because of a looming depletion of gas from the Malampaya gas field in Palawan.

DOST revives plan to activate BNPP — **BACK ONLINE?** A general view shows the Bataan Nuclear Power Plant as pictured on Sept. 16, 2016. At the time, a technical tour of experts that attended the International Conference on the Prospects of Nuclear Power in the Asia-Pacific Region said the long-mothballed BNPP could be restarted to help supply the country’s energy needs. **AFP**

Carlo Arcilla, PNRI director, told reporters “all well-lit places in the world” had nuclear power plants. “There is more radiation when eating one banana [because of its potassium] than standing in front of the BNPP,” Arcilla said. He also stood firm on the findings of the Philippine Institute of Volcanology and Seismology that there is no fault beneath the BNPP. He said while 10 percent of the monthly earnings of a median Filipino family went to pay for electricity, its counterpart in the United States was spending less than 1 percent for their monthly power bill. “The US has at least 100 nuclear power plants,” Arcilla said. He said they saw the need to revive the BNPP because the production from the Malampaya gas field was only good for another five years.

“The cost of electricity would significantly go down if we could only rely on nuclear power,” Arcilla said. Science and Technology Secretary Fortunato dela Peña joined Arcilla during the conference.

Arcilla, a University of the Philippines professor, said while he supported the use of coal-powered energy and wind energy to produce more electricity, the revival of the BNPP, which could produce 700 megwatts “at most,” and the construction of more nuclear plants were still necessary. The Philippines would face a power shortfall of over 10,000 megawatts “in the near future,” he said, adding the country needed power to be produced by coal, wind and nuclear plants. “I acknowledge the concerns of some environmental advocates as to where to dump the nuclear waste,” Arcilla said. “But that would not a be a big problem. We are an archipelagic country. We have so many islands such as Kalayaan and Pagasa, and the technology to dump nuclear waste through deep geologic borehole disposal. “We have very good scientists in our country.” Arcilla said people became “schizophrenic” when they heard talk about the BNPP’s restoration. He said just two weeks ago the PNRI endorsed to President Rodrigo Duterte its recommendation to use the BNPP, which has not been used. “Experts from South Korea, Russia and China recommended the revival of the power plant, saying its reactor is still in a very good condition except its turbines,” Arcilla said.

Renewables

Competition watchdog clears Kepco’s buy into Solar Philippines unit

11 December 2018

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Philippines

December 11 (Renewables Now) – The Philippines Competition Commission (PCC) has given the green light to Kepco Philippines Holdings’ acquisition of a 38% stake in Solar Philippines Calatagan Corp (SPCC), a unit of Solar Philippines.

The acquisition will mark the entry of Kepco Philippines, which is a unit of Korea Electric Power Corp (KRX:015760), into the renewable energy market in the Philippines.

The PCC said in its decision last week that the potential deal “will not result in substantial lessening of competition in the power generation market.” According to the watchdog, both companies operate on the power generation market but do not compete with each other either in the wholesale electric spot market or in the market for bilateral contracts.

SPCC, the acquisition target, is the owner of the 63.3-MW Calatagan solar park in Batangas province, the largest one of its kind on the island of Luzon. The facility consists of over 200,000 photovoltaic (PV) panels that have been operational since 2015.

SPCC’s parent, meanwhile, is involved in the development, funding and construction of solar parks, having a portfolio of 300 MW of operational or under-construction projects. It also owns a 800-MW PV panel factory.

Energy Efficiency ,
Renewables

Solar Philippines House Bill passes final reading in Congress

11 December 2018

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Philippines

House Bill 8179 granting private firm Solar Philippines a 25-year PV mini-grid and transmission franchise across the Philippines passed through its third and final reading on Monday.

This procedural step allows the company’s unit Solar Para Sa Bayan (SPSB) to set up these mini-grids undeterred by the incumbent franchises of rural electric cooperatives. The chamber approved the bill with 198 votes in favour, seven against, and one abstention.

The Bill has come under heavy fire from both the utilities and other members of the solar community as documented by PV Tech when the Bill passed through its second reading last week, with some crucial changes.

SPSB plans to set up projects similar to that of its Paluan mini-grid completed earlier this year.

Korean utility Kepco recently entered the renewable energy space of Southeast Asia for the first time ever during a signing ceremony yesterday with Solar Philippines founder Leandro Leviste, for it to take a 38% stake in Solar Philippines Calatagan Corporation (SPCC), which operates a 63.3MW solar facility in Barangay Paraiso and Barangay Biga in Calatagan.

Electricity/Power Grid

S’wak set to achieve 97 pct electricity coverage by 2020

11 December 2018

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Malaysia

KUCHING: Sarawak is well on its way to achieve 97 per cent electricity coverage by 2020 with the RM2.37 billion special allocation in the State Budget 2019.

In pointing this out, Assistant Minister of Rural Electricity Datuk Dr Abdul Rahman Junaidi said the electricity coverage in Sarawak currently stood at 91 per cent.

“About nine per cent or 30,400 households in rural areas still have no access to 24-hour power supply. Our target is to achieve 100 per cent electricity coverage by the year 2025.

“With the RM2.37 billion special allocation announced (last month) by the Chief Minister, we will be able to increase the electricity coverage from 91 to 97 per cent by 2020,” he said before performing the earth-breaking for a Rural Electrification Scheme (RES) project in Kpg Ulu Sungai Sinjan at Jalan Layang-Layang in Petra Jaya here yesterday.

Dr Abdul Rahman said the RES project in Kpg Ulu Sungai Sinjan is set to benefit 28 households.

“This project is implemented by the Sarawak government with a state fund worth RM540,000.

“We are hopeful that the project will be completed before Ramadan next year. And all the 28 households in this village will be equipped with electricity supply,” he added.

The Pantai Damai assemblyman pointed out that the Sarawak government is caring enough to make sure that all residential areas, especially the rural ones, have access to basic utilities such as electricity and water.

Dr Abdul Rahman acknowledged that delay in project implementation sometimes happened to some rural villages because of land status issue.

“It is not that the Sarawak government does not want to provide electricity supply but we need to deal with the land status first.”

He also pledged that the Sarawak government’s efforts to provide power supply to the rural folk across the state are on-going until the target is achieved.

Among those present were Assistant Minister of Law, State-Federal Relations and Project Monitoring Sharifah Hasidah Sayeed Aman Ghazali, permanent secretary to the Ministry of Utilities Dato Alice Jawan and Kpg Malaysia Jaya village head Marzuki Hamdan.

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