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  • Oil & Gas
3 January 2020

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  • Vietnam

The government of Vietnam has approved inclusion of a proposed 3,200-megawatt liquefied natural gas-fired power plant as part of the country’s national power plan, Kallanish Energy reports.

Singapore-based Delta Offshore Energy said it will, along with its partners, begin a full-scale feasibility study of the Vietnam project that includes an offshore LNG import facility and an onshore power plant.

The move by Prime Minister Nguyen Xuan Phuc is good news for Australia-based Liquefied Natural Gas Ltd.

The approval clears the path for Delta Offshore Energy to negotiate and finalize a 25-year power purchase agreement with Electricity Vietnam to underpin the project in Vietnam’s Bac Lieu Province, and also empowers Delta and Liquefied Natural Gas to finalize a binding sale and purchase agreement for 2 million tonnes per year of LNG from the U.S.

Last October, the Australia-based company announced a deal to supply LNG to a proposed power plant in the Mekong Delta in southern Vietnam. Earlier plans called for the plant to be coal-fired. That project is being developed by Singapore-based Delta Offshore and Bac Lieu Province.

That plant would use 2 million tonnes of LNG per year for 20 years, or roughly 25% of the capacity of a Louisiana LNG facility, Magnolia LNG, being developed by the Australian company. A final investment decision and start of construction on the Louisiana LNG project are dependent on sufficient offtake agreements to support financing, it said.

Liquefied Natural Gas Ltd. is also developing LNG facilities in Nova Scotia in eastern Canada.

  • Renewables
3 January 2020

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  • Philippines

Before the year-end 2019, Philippines-based Energy Development Corporation (EDC), the renewable energy unit of the Lopez group, announced that it continues the expansion of its operations. The company’s geothermal power output was expected to be fully contracted in December 2019.

EDC represents 1,179.3 MW of geothermal power generation capacity as end of September 2019, or around 60% of the total installed geothermal power generation capacity of 1,948 MW in the Philippines.

EDC’s total output will be supported by its Bacman and Nasulo plants which have been nominated by FG Hydro to supply the contract in its winning bid during the conclusion of Meralco’s competitive selection process for its power supply requirement in September 2019.

“EDC is currently pursuing the expansion of existing geothermal power plants as it continues to look out for other potential geothermal projects locally and internationally,” said Philippine Rating Services Corporation (PhilRatings).

EDC is the largest vertically integrated geothermal developer in the world, operating from the steamfield up to the power plant. It is likewise a leading renewable energy (RE) company, with business interests in geothermal, wind, hydroelectric and solar energy.

  • Renewables
2 January 2020

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  • Malaysia

January 2 (Renewables Now) – Spanish developer Solarpack Corporacion Tecnologica SA (BME:SPK) has secured a power purchase agreement (PPA) for the output of the 116-MW Suria Sungai Petani solar park project it is working on in Malaysia.

The deal to sell electricity for MYR 231.8 (USD 56.7/EUR 50.6) per MWh was awarded to Solarpack in a competitive tender launched by the Malaysian energy commission Suruhanjaya Tenaga (ST) in February 2019. According to ST’s request for proposal, the solar park will be connected to the grid and sell power to Malaysian utility Tenaga Nasional Bhd (KLSE:TENAGA).

In a statement on Thursday, the solar park developer said it will sign the 21-year PPA in the coming weeks. The Suria Sungai Petani project has to be commissioned before December 31, 2021.

Solarpack expects the new solar park to generate revenues above MYR 800 million for the duration of the PPA. The facility, located in the Malaysian state of Kedah, will produce an estimated 180 GWh per year.

The Spanish company said it had arrived in Malaysia in 2016 and started developing a portfolio of projects for the purpose of participating in local tenders. Last August, it presented the bid for Suria Sungai Petani, which eventually became one of the round’s five winners, according to Solarpack.

(MYR 1.0 = USD 0.24/EUR 0.22)

  • Energy Policy
2 January 2020

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  • Thailand

The Electricity Generating Authority of Thailand (Egat) is studying various methods of power management and distribution, both domestically and abroad, in response to changes in electricity usage.

Patana Sangsriroujana, Egat’s deputy governor for strategy, said the agency visited several kinds of multifunctional power plants that not only produce power but also help store and manage energy from many fuel sources.

Power generation systems in Spain and Portugal were selected for Egat’s case studies.

“Egat wants to adopt power generation technologies and study renewable power as well as generate power from a combination of renewables and fossil fuels,” he said.

Studies on energy storage systems and grid modernisation are being conducted in line with the 20-year national strategic plan (2018-37) and the Energy for All scheme for community-owned power projects, Mr Patana said.

“The Energy Ministry, as Egat’s supervision unit, aims to supply and distribute electricity at the fairest price to all people.”

In Spain, Egat visited the Valle 1 and 2 concentrated solar power plants, powered by thermal energy from sunlight.

The plants concentrate sunlight through parabolic glass that tracks the sun’s movement and stores solar energy before transmitting it to a tube in the middle of a panel that contains oil that stores the energy at 393 Celsius.

“Once the heat is stored in oil, it can be easily used to boil water and produce steam and electricity through turbines. All output is then transferred to power generators, while hot molten salt is used to store heat for power generation at night,” he said.

The Frades II pumped storage power plant in Braga, Portugal has a capacity of 780MW sourced from two dams: Venda Nova and Salamonde.

In Portugal, Egat visited a clean energy power plant, using wind and solar power, operated by EDP Renewable (EDPR).

EDPR is a subsidiary of Energias de Portugal (EDP), one of the largest power producers in Portugal.

“The plants have been developed [by EDPR] to be more functional than ordinary power plants as they were built to actively manage inconsistent demand for electricity as well as unreliable energy output,” Mr Patana said.

“Energy from nature can be affected by many factors, so renewable resources are still unstable.”

EDPR is competitive in wind farm and solar energy activities, segments that have been growing continuously.

EDPR is the world’s fourth biggest wind energy producer with a total capacity of 10,600 megawatts.

“In addition to power plants, EDP also founded the trading unit UNGE Energy Management Dispatch Center for fuels such as natural gas and coal. The unit controls power trade from EDP’s power plants and others,” he said.

“The dispatch centre receives orders through transmission system operators such as power generation capacity, so it acts as a real-time auction board as well as a local trading service.”

In addition, Egat visited EDP’s hydroelectric power plant, the Frades II, which can store surplus electricity for use during shortages.

“The Frades II may seem like an ordinary power plant, but it is accompanied by a pumped storage system that will pump water volumes in and out in line with high and low demand,” Mr Patana said.

The plant needs two reservoirs at different levels as power demand falls during off-peak hours and surplus water is pumped into storage.

The water will be pumped back in when there is a power shortage.

“The plant also uses variable-speed reversible units to alter pumping speeds to meet intermittent renewable resources,” he said.

In Thailand, Egat plans to apply technologies and innovations used at Frades II for local power plants.

Mr Patana said the energy storage system from wind farms is being used in Chaiyaphum and Lop Buri, where both high-voltage substations have excess wind and solar resources.

The substations have capacity of 16MWh and 21MWh, respectively.

A pumped storage system has been installed at the hydroelectric power plant in Nakhon Ratchasima, which also includes a reversible unit. The plant has capacity of 500MW and Egat is constructing another 500MW of capacity, scheduled for completion by December.

Mr Patana said Egat is conducting an initial study on renewable energy control centres to assist renewable power plants and to deal with intermittent factors.

  • Energy Economy
  • Oil & Gas
2 January 2020

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  • Myanmar

Italian oil and gas company Eni Spa has begun exploratory drilling at the Shwe Nan Htike Well 1, located in the onshore block RSF-5, in Magwe Region, the Ministry of Electricity and Energy (MOEE) announced.

The ceremony to begin drilling at the well, located near Aung Myay Kone village, in Magwe, was attended by Deputy Minister of Electricity and Energy U Tun Naing on Monday.

Myanma Oil and Gas Enterprise and Eni Myanmar BV started 3D seismic studies in the block in 2017 and completed the preliminary work in 2018.

Based on result of the measurement, a well measuring some 3,800 metres deep will be drilled at the site to test sand layers where oil and natural gas could be found said the MOEE.

The work is being carried out in accordance with the recommendation of the environmental, social and health impact assessment and is focusing on minimising environmental impacts, said U Tun Naing.

A production sharing agreement for the RSF-5 block was signed between ENI and the ministry in 2014.

  • Coal
  • Energy-Climate & Environment
2 January 2020

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  • Vietnam

12 organizations specializing in health and environment together have called on Vietnam to scrap 14 new coal plants.

Concerned by the environmental and health toll that coal-fired power plants exact, leaders of 12 networks and non-government organizations collectively urged Prime Minister Nguyen Xuan Phuc to stop 14 coal-fired plants in Vietnam.

Among the signatories to the statement released Monday are Green Innovation and Development Center (Green ID), World Wildlife Fund (WWF), Vietnam Sustainable Energy Alliance, CARE International and Oxfam Vietnam.

The 14 projects, located in eight provinces – Quang Ninh and Bac Giang in northern Vietnam, Nghe An, Ha Tinh and Binh Thuan in central Vietnam, and the southern Long An, Tien Giang and Soc Trang – will have a total capacity of 17,390 MW.

Seven of these have already faced considerable public backlash, while one project has been delayed for eight years and investors of two others are undetermined. For four ongoing projects, provincial authorities are contemplating a switch from coal to gas and “green energy.”

The collective statement said they were alarmed that the new coal plants under the revised national Power Development Plan VII carry huge risks of damaging the environment and public health, thereby threatening the country’s political and socioeconomic stability.

Under the Plan VII, a total of 60,000 MW is expected to be generated by 2020, with coal-fired plants accounting for 42.7 percent followed by hydropower (30.1 percent), gas-fired plants (14.9 percent), and renewables (9.9 percent).

The collective pointed to a global retreat from investing in fossil fuel projects and the shift to clean and sustainable energy, implying that Vietnam follow suit.

The statement proposes that the government stops the 14 projects and conducts a comprehensive evaluation of their economic feasibility and environmental impacts.

It also proposes that the authorities work on removing obstacles facing ongoing renewable energy projects and that the citizenry is involved at all stages, from the planning of energy projects to their completion.

Dr Bui Thi An, a former National Assembly representative and Director of Institute for Resources, Environment and Community Development (IRECO), said the government should be transparent about the price of coal-fired energy so as to enable a comprehensive comparison with other forms of energy generations.

The statement was released following concerns about the negative impact coal-fired power plants have had on Hanoi’s poor air quality in recent months – first vocalized by Tran Dinh Sinh, deputy director of Green ID.

The accusation was denied by state power utility EVN that runs several plants. EVN said the plants were so far away that they could not pollute the city.

A 2017 study by Harvard University researchers into diseases caused by coal-fired power plants in Southeast Asia estimated that by 2030 Vietnam’s premature mortality would be around 19,220 per year, a 4.5-fold increase from 2011, as a result of PM2.5 emitted by coal-fired power plants.

Pham Thi Huong Giang, President of the Song Foundation, a non-profit that helps build new weather-resilient housing in regions frequently stricken by natural disasters in Vietnam, noted that a statement like this was unprecedented. Usually, concerns about and proposals on tackling environmental pollution have only been made individually.

“This shows how urgent the problem is. We want to work with the government to come up with specific solutions. The statement has been widely shared and liked on social media which is a really positive reaction so far,” she said.

Last November, a report by the Ministry of Industry and Trade, prepared in collaboration with Denmark’s Energy Agency also warned Vietnam against building new coal-fired power plants. It said the country needs early action to reduce future coal demand, which could include taxation on the use of coal or limits on new coal-based power generation.

  • Renewables
2 January 2020

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  • ASEAN

Technological innovations and favourable government policies are among the four trends expected to drive Southeast Asia’s transition to renewable energy in the coming years.

A report published by global auditing firm KPMG titled ‘The Renewable Energy Transition’ noted that while there are still 70 million ASEAN citizens without access to reliable electricity, the potential for renewable energy is huge in those markets and governments are increasingly turning to solar and wind energy to address the issue.

Each of ASEAN’s 10 members have set targets for renewable energy, and technological innovations such as better solar power efficiency and floating solar panels means that renewable energy is now more accessible than ever before.

The establishment of RE100 in 2014 – a collaborative, global initiative uniting more than 100 influential businesses committed to 100 percent renewable energy – is a prime example of how consumers are helping to boost demand for renewable energy, especially since commerce and industry use up two thirds of the world’s electricity. Among the companies in the group include Google, Microsoft, Coca Cola and IKEA – all of which have a strong presence in ASEAN.

The World Bank, Asian Development Bank (ADB) and Japan Bank for International Cooperation are leading the way in renewable energy investment in the region, which has helped to bring prices down. While prices have often been a key concern, falling costs and rising demand are now helping to push the industry forward.

“The price of renewable energy has dropped sharply over the past five years and is expected to reach the price of electrical energy within the next five years,” said Sharad Somani, Executive Director and Asia Pacific Head of Power & Utilities at KPMG. “Once that happens, there will be more investors.”

Cheap energy, good government policies

The Institute for Energy Economics and Financial Analysis (IEEFA) released a report in August 2018 which showed that the Philippines – where an estimated 20 million people lack constant electricity supply and 12 million have none at all –  can reduce its electricity costs to just 2.50 Philippine pesos (US$0.05) per kilowatt-hour (kWh) by installing rooftop solar. By comparison, diesel costs 15 Philippine pesos (US$0.28) per kWh and coal costs 3.8 Philippine pesos (US$0.07) per kWh.

ASEAN is looking to increase renewable energy
Source: KPMG

The report titled ‘Philippines can lower electricity costs, improve energy security by developing rooftop solar potential’ also pointed out that rapidly-declining costs and technological advances in renewable energy, energy efficiency and distributed storage is helping push the sector forward.

With the Philippine Board of Investments approving eight solar projects worth US$1.6 billion last year, continued government support is helping to replace coal and diesel models with indigenous alternatives.

“Solar, wind, run-of-river hydro, geothermal, biogas, and storage are competitive, viable domestic options that can be combined to create a cheaper, more diverse and secure energy system,” said Sara Jane Ahmed, an IEEFA energy finance analyst and the author of the report.

Hybrid renewable energy systems are becoming commonplace in rural and remote areas; the system usually consisting of two or more renewable energy sources used together to provide increased efficiency and better energy supply balance.

Energy demand to surge

With ASEAN’s strong economic growth exceeding four percent annually, the region’s energy consumption has doubled since 1995 – and demand is expected to continue growing at 4.7 percent per year through 2034, according to the International Renewable Energy Agency (IRENA) in its ‘Renewable Energy Market Analysis: Southeast Asia’ report published last year.

With that in mind, ASEAN has set a target of 23 percent renewables in the region’s energy mix by 2025 – a 250 percent increase from 2014. To do that, though, Southeast Asian countries will have to substantially scale-up their deployment of renewables in the power sector, as well as in heating, cooling and transport.

According to Jonathan Goh, Director for External Relations at the Energy Market Authority of Singapore, ASEAN also has to focus on energy storage as one of the solutions to overcome the energy intermittency affecting renewable energy such as solar.

Singapore’s flourishing renewable energy eco-system offers technical experience, established financial institutions and interested investors which can help the country, and ASEAN, position itself as renewable energy deployment leaders.

With its huge potential in renewable energy, ASEAN can be the new hub for renewable energy deployment, innovation and investments.

  • Renewables
31 December 2019

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  • Singapore

Leading the charge to generate more clean energy in Singapore, the Housing Board (HDB) plans to more than double its capacity for solar power by 2030.

Its new target announced yesterday means that over the next 10 years, it will have the solar capacity to power the equivalent of about 135,000 four-room flats with clean energy.

The HDB remains the biggest driver of Singapore’s solar push, with the Republic having pledged to ramp up its clean energy generation and cut back its carbon emissions as part of global efforts to fight climate change.

These remain on track, with the HDB already having exceeded its previous target of 220 megawatt-peak (MWp) by next year – the equivalent of powering 55,000 four-room flats.

The new targets raise the bar for both the HDB and Singapore, and will involve installing solar panels across more HDB blocks.

The efforts are being aided by advances in technology, which allow more solar energy to be generated from the same amount of space on HDB rooftops.

HDB’s new target of 540MWp by 2030 can reduce carbon emissions by 324,000 tonnes a year.

Singapore has pledged to ramp up its overall solar capacity by more than seven times from current levels, to at least two gigawatt-peak (GWp) by 2030.

This is enough to meet about 4 per cent of Singapore’s total electricity demand today.

To achieve its targets, the HDB has launched a tender to install solar panels across 1,154 HDB blocks and 46 government sites such as schools.

The latest tender will reap 60MWp of solar energy islandwide. It comes under the HDB and Economic Development Board’s SolarNova programme, which compiles solar demand from various agencies to enjoy economies of scale.

Six agencies are participating in this tender, which closes on March 2 and is targeted to be awarded in the third quarter of next year.

The installation of the solar photovoltaic systems is expected to be completed by the first quarter of 2023.

As of this month, about 2,060 HDB blocks have been fitted with solar panels, and installation at another 2,500 blocks or so is in progress.

The solar energy is used to power common services such as lifts, lights and water pumps.

On average, these HDB blocks are able to achieve net-zero energy consumption in common areas, which means the building produces more energy than it consumes. Excess solar energy is channelled back to Singapore’s electrical grid.

HDB aims to install solar panels on about 10,000 blocks, where feasible.

More efficient solar panels can now convert around 20 per cent of sunlight into electricity, compared with 16 per cent previously.

Professor Subodh Mhaisalkar, executive director for the Energy Research Institute at the Nanyang Technological University, hopes other players will follow HDB’s lead.

“Globally, solar power is either in solar farms or low-rise homes and buildings. HDB rooftop solar panels give validation that solar power in a high-rise environment is possible.”

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