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sfce 9/25
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China's Solar Power Analysts Can't Agree Why Shares Are Plunging
Sep 25, 2015 | Bloomberg News
...Shunfeng International Clean Energy Ltd. is down 57 percent in the past three months and Trina Solar Ltd., the leading panel maker, by 31 percent. Canadian Solar Inc. has fallen 47 percent in the past three months, while JA Solar Holdings Co. is down by 15 percent. -
Solar Panels Market Forecast to Reach $180.7 Billion by 2021
Sep 24, 2015 | Solar Novus Today
Worldwide solar panels market is growing as units become more efficient and less costly for generating electricity, according to a recent report by ReportsnReports. -
China to Launch National Pollution-Trading System to Cut Emissions
Sep 25, 2015 | Bloomberg Business
By Alex Nussbaum and Justin Sink
China will start a national pollution-trading system to cut global warming emissions and make a substantial financial commitment to help poorer countries move away from fossil fuels, two U.S. officials said. -
As China's energy growth slows, coal-fired power blocks more wind, solar and hydro
Sep 24, 2015 | Environment & Energy Publishing
By Coco Liu
China has made a big bet on renewable energy installation to wean the country off dirty fossil fuels and to meet its emission targets, but the latest government statistics show that a big portion of power generation from Chinese solar farms, wind projects and hydroelectric dams has failed to reach energy users. -
China’s solar ambitions
Sep 24, 2015 | EuroNews
China’s solar ambitions -
Chinese firms explore setting up solar energy plants in India
Sep 24, 2015 | The Economic Times
Corporate honchos from 16 Chinese firms have offered to set up solar energy plants in India and are holding discussions in this regard with authorities in Gujarat, Tamil Nadu and Rajasthan. -
Hillary Clinton calls for integrated North American approach to clean energy
Sep 24, 2015 | PV Magazine
By Christian Roselund
Hillary Clinton has released more of her vision on energy and climate issues, but with few concrete details on renewable energy and grids. -
OECD Governments Continue To Subsidize Fossil Fuels
Sep 25, 2015 | CleanTechnica
By Joshua S Hill
A new report from the Organisation for Economic Co-operation and Development confirms the belief that government subsidies to the fossil fuel industry remain high. -
Renewable energy outstrips coal for first time in UK electricity mix
Sep 24, 2015 | The Guardian
By Damian Carrington
Renewable energy has for the first time surpassed coal in supplying the UK’s electricity for a whole quarter, according to government statistics released on Thursday. -
Rebound in global PV equipment industry shows in Q2 numbers
Sep 24, 2015 | PV Magazine
By Christian Roselund
The last four years have been extremely difficult for PV equipment makers. Following industry-wide overcapacity, orders of new tools began to collapse in 2011, and have remained depressed at a level of $100-$300 million per quarter since that time. -
Enel builds Italy's first large-scale storage facility
Sep 24, 2015 | PV Magazine
By Ian Clover
Italian clean energy developer Enel Green Power (EGP) has inaugurated Italy’s first large-scale solar+storage facility in Catania. -
Yingli to ship 130 MW of modules for Chinese BIPV and agriculture solar projects
Sep 24, 2015 | PV Magazine
By Ian Clover
Chinese Tier-1 solar company Yingli Green Energy has agreed a 130 MW solar module supply deal with building integrated photovoltaic (BIPV) and utility-scale solar PV developer Qingdao New Energy Solutions Inc. (NESI). -
Trina Solar-led national PV-related standard officially published
Sep 24, 2015 | PV Magazine
Trina Solar Limited today announced that a new Trina Solar-led national standard of "Test method for determining vinyl acetate (VA) content of ethylene-vinyl acetate copolymer applied in photovoltaic modules - Thermal Gravimetric Analysis (TGA)" (EVA-TGA) has been officially published by the Standardization Administration of China (SAC), signifying a major milestone in Trina's continued efforts to create general standards across the PV industry. -
ReneSola’s share price decline triggers US$20 million repurchase
Sep 24, 2015 | PV-Tech
By Mark Osborne
Tier-one PV manufacturer ReneSola has announced a share repurchase programme as its stock falls below the US$1.0 NYSE minimum price floor. -
Dubai's DEWA invites bids for 800 MW, phase three solar park
Sep 24, 2015 | PV Magazine
By Ian Clover
Solar developers have been invited to bid on the third phase of the Mohammed bin Rashid Al Maktoum Solar Park after the Dubai Electricity and Water Authority (DEWA) issued a call for Expression of Interest (EOI) for the 800 MW project.
SFCE News
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China's Solar Power Analysts Can't Agree Why Shares Are Plunging
Sep 25, 2015 | Bloomberg News
China’s solar companies are plunging on stock markets, and analysts can’t agree why.
Since peaking in May, the NYSE Bloomberg Global Solar Energy Index of 127 companies has plunged 47 percent, more than quadruple the pace of the MSCI World Index. Yet panel makers anticipate record installations this year and have mostly recovered from a plunge in prices that slashed margins at the beginning of the decade.
So why are shares not following industry fundamentals? Analysts offer a number of explanations ranging from the slump in oil prices hurting confidence in all energy companies to the fact that developers in China, the world’s biggest market for the technology, aren’t getting paid on time.
“The environment for China’s photovoltaic power market is bad,” said Louis Sun, an analyst at BOCOM International Holdings Co. in Shanghai. “This will spread to the entire industry chain, especially those producers with a larger market share in China.”
Yingli Green Energy Holding Co. is the worst performer among big panel makers in the last quarter, losing two-thirds of its value after saying in August that its outlook for profit and sales would be lower than previously expected for the rest of the year. It hasn’t recovered from the drop in solar panel costs that started in 2009.
Shunfeng International Clean Energy Ltd. is down 57 percent in the past three months and Trina Solar Ltd., the leading panel maker, by 31 percent. Canadian Solar Inc. has fallen 47 percent in the past three months, while JA Solar Holdings Co. is down by 15 percent.Supply Glut Worries
The industry “is still worried about a continuing supply glut, and competition is intense,” leaving investors less certain the companies will benefit from rising installations worldwide, BOCOM International’s Sun said.
The world may install as much as 61 gigawatts of solar panels in 2015, up 36 percent from the previous year, according to Bloomberg New Energy Finance. The London-based researcher expects installations to rise to almost 70 gigawatts next year.
Net income in JA Solar more than triple in the second quarter from a year ago. Trina in August posted its biggest profit in four years as surging demand prompted the company to boost its shipment forecast by as much as 16 percent.
Even so, China’s solar companies are tumbling because of systematic risks, saidNick Duan, an analyst at New Energy Finance in Beijing.
“Orders are concentrated on top manufacturers as demand grows, while one or two of them have cash flow issues,” Duan said.Oil PricesThe relatively unknown profile of Chinese solar companies may also be behind the declines, some analysts say.
"Overseas investors aren’t familiar with Chinese solar stocks listed in the U.S. and may ignore them" even as some report profit gains, said Steven Han, a Shanghai-based analyst from SWS Research Co.
Oil may also be to blame, according to Karl Liu, an analyst from Bank of China International Ltd. in Hong Kong. Crude has tumbled 24 percent in the past three months as Saudi Arabia declined to cut output in the face of a rising supply glut.
While oil isn’t widely used for power generation, the cost of other fuels used to make electricity such as coal and natural gas are often fixed in contracts linked to crude. So cheap oil translates into cheap energy, which makes more-costly photovoltaics less attractive.
"The entire energy industry is under stress because of weak demand and poor economic performance," with the pessimistic sentiment spreading to solar, said Tang Wenqian, executive vice secretary-general of the Chinese Renewable Energy Industries Association, an organization that acts as a conduit between government policy makers and industry executives.Subsidies Delayed
Shunfeng and Trina didn’t immediately respond to e-mailed requests seeking comments.
Chinese stocks listed in the U.S., especially new energy shares, aren’t only
impacted by their earnings but also factors including the global and domestic
economic situation, the U.S. and Chinese stock markets, and the crude index,
Yingli’s chief financial officer, Wang Yiyu, said in a statement in response to questions.Yingli hasn’t returned to profit and suffers from quite a high liability,
adding pressure to share prices, he said."As the company pays its note and profitability gradually recovers, the price will get back to a reasonable range," he said.
China’s solar industry is warning that the government itself is undermining the industry it nurtured by failing to pay for power in a timely manner. At the end of June, the government owed more than 10 billion yuan ($1.6 billion) to operators of Chinese solar farms, according to data from the China Photovoltaic Industry Association.
In August, the government said it expects consolidation to accelerate among solar companies.
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Solar Panels Market Forecast to Reach $180.7 Billion by 2021
Sep 24, 2015 | Solar Novus Today
Worldwide solar panels market is growing as units become more efficient and less costly for generating electricity, according to a recent report by ReportsnReports. Rapid adoption of solar panels, globally, is occurring as systems provide peak power efficiently.The driving forces in this market relate primarily to the prospect of inexpensive, lasting energy from the sun. In 2015, analysts agree, a tipping point has been reached, solar panel markets are at the critical point in the market development, where an inevitability of adoption is certain. Solar panels market has been an up and down evolving situation that was completely dependent on government subsidies.The solar panels market has crossed a threshold and gains will possibly have significant momentum, triggered by the technology. Solar panel adoption is now a dynamic process of innovation, insight, and influence through advocacy. The critical point in solar panel market adoption is a process that is now unstoppable. The growth of solar has been driven by a single paradigm at the federal and state levels worldwide.
Now, with China so entirely dedicated to making solar less expensive than coal electrical generation, solar energy will take hold worldwide. Almost all solar has taken advantage of and needed to take advantage of -- state-level incentives. China has had government subsidies for a long time. This continues to be the case, but in China now, grid parity is a result of taxing coal electrical generation, making solar panels attractive. The US is poised to see rapid adoption of solar panels market in various regions.
Solar companies profiled in this solar panels market 2015-2021 report include A Power Energy, Abengoa Solar, Akeena Solar, Anwell Group / SunGen, Applied Materials, Ascent Solar Technologies, Inc., ATS, Canadian Solar, China South Industries Group Corporation (CSGC) / TIANWEI New Energy Holdings Co., Ltd. (TWNE), Conergy AG, Daqo New Energy, Dyesol, ET Solar, First Solar, Gintech, Global PVQ SE, created to take over the assets of Q-Cells SE, Hanwha Q Cells, Hoku Scientific, JA Solar, JinkoSolar, Juwi, Kyocera, Magaldi, Mubadala / Masdar, MEMC, Motech, Panasonic / Sanyo Solar, Petra Solar, Scatec Solar, SENER Sharp Solar, SMA Solar Technology AG, SolarWorld, Suniva Inc., SunPower, Tata Solar, Torresol Energy, Trina Solar, VDE, Yingli Green Energy and Shunfeng Wuxi Suntech Power SunTech.
Regionally, analysts forecast the solar panels market in the APAC region to grow at 11.5% CAGR over the period 2014-2019. The research titled Solar Panel Market in the APAC Region 2015-2019 segments the market based on end-user and type. A solar panel (also called a PV module) is a collection of solar cells engraved from silicon wafers that generates electricity by capturing the sunlight.
Solar panel systems include solar PV inverters, which connect numerous solar panels to a power grid to ensure improved efficiency and increased reliability in the grid. There are two types of solar cells: crystalline silicon and thin-film. Thin-film cells can be deposited as thin layers that measure less than 1 micron. These cells are less expensive compared to silicon and help manufacturers build solar panels of different sizes and shapes depending on the requirement.
Jinko Solar, Sharp, Suntech Power Holdings, Trina Solar, Yingli Green Energy, Bosch Solar Energy, Hanwha SolarOne, HHV Solar, JA Solar Holdings, LDK Solar and Panasonic are companies mentioned in this regional solar panels market report focused on APAC.
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China to Launch National Pollution-Trading System to Cut Emissions
Sep 25, 2015 | Bloomberg Business
By Alex Nussbaum and Justin Sink
China will start a national pollution-trading system to cut global warming emissions and make a substantial financial commitment to help poorer countries move away from fossil fuels, two U.S. officials said.
In a joint announcement with the U.S., China also will outline changes intended to favor electricity produced domestically by sources that will pollute less, the officials told reporters on a conference call Thursday.
Details will be released on Friday when President Barack Obama hosts Chinese President Xi Jinping for a state visit at the White House, the officials said. The two leaders, who were having a private dinner near the White House Thursday night, are scheduled to hold a news conference midday. Leaders of the two largest economies are using the announcement as a way to prod talks on a global agreement to stem climate change.
“This announcement is another sign of the continued leadership of China and the United States on climate action,” Fred Krupp, president of the Environmental Defense Fund, said in a statement. “Their partnership is necessary to solve the global challenge of climate change.”
The measures are a follow-up to last year’s announcement when Obama and Xi met in Beijing that China and the U.S., the world’s No. 1 and 2 greenhouse polluters, jointly promised to limit their emissions.
That agreement injected new life into United Nations-sponsored climate talks. Those negotiations are barreling toward a conclusion in Paris in December, where envoys from more than 190 countries are expected to sign a final deal.
“Having the two largest emitters committing to increased action and also providing at least some clarity on the key issues for Paris really does help pave the path for a strong agreement,” David Waskow, director of the World Resources Institute’s international climate initiative, said by phone.Pilot Programs
At the moment, China’s economy is still largely driven by fossil fuels. Even as policy makers push aggressively to develop cleaner sources of energy, coal still accounts for about 64 percent of the nation’s primary energy, according to National Energy Administration data.
China’s emissions trading system would expand on seven pilot programs already running around the country. The national market would open in 2017 and would cover industries including power generation and iron, steel and cement makers, according to the two officials. They briefed reporters on condition of anonymity to discuss the announcement before it’s publicly released.
“According to our tracking, a lot of provinces haven’t made a lot of progress on this front yet,” said Sophie Lu, an analyst at Bloomberg New Energy Finance in Beijing. “If President Xi commits China to a 2017 start date, then he will effectively be lighting a fire under the seats of provincial governments who still need to complete carbon inventories.”
Such systems typically put a cap on total emissions and then allow factories, power stations and other sources to buy and sell pollution credits. Proponents say the market encourages innovation and lowers the cost of pollution cuts.
“Expanding a nationwide price on carbon is an important step to help China deliver its climate targets and shift away from coal and towards renewables,” Li Shuo, a Beijing-based policy officer at Greenpeace, said in a statement. “In addition, it will place pressure on the U.S. to implement similar measures.”
The officials declined to specify how much climate aid China will provide to other countries. Obama last year pledged $3 billion in U.S. support for a UN-organized Green Climate Fund. The money has been a key demand of developing nations who say they can’t agree to avoid cheaper but more polluting fossil fuels without financing from richer nations.
In their joint announcement last December, the U.S. promised to cut greenhouse pollution by more than a quarter over the next decade. China pledged its emissions would reach a peak by about 2030 and to boost its use of renewable energy.
To cut its reliance on coal, China is aiming to derive 20 percent of its energy from renewables and nuclear by 2030, almost double the current share.
“This is part of a growing effort to shift from high-carbon investments to low-carbon ones,” the WRI’s Waskow said. “With the falling price of renewable energy, what we’re seeing internationally is that making that shift in fact makes a lot of economic sense in many places.”
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As China's energy growth slows, coal-fired power blocks more wind, solar and hydro
Sep 24, 2015 | Environment & Energy Publishing
By Coco Liu
China has made a big bet on renewable energy installation to wean the country off dirty fossil fuels and to meet its emission targets, but the latest government statistics show that a big portion of power generation from Chinese solar farms, wind projects and hydroelectric dams has failed to reach energy users.
According to the National Energy Administration, solar projects in China generated 19 billion kilowatt-hours of electricity in the first half of 2015, of which 1.8 billion kWh had no place to go.
The figure for wind power was 17.5 billion kWh, or more than 15 percent of electricity generated from Chinese wind projects gone wasted in the first half of this year.
Although China's wasted hydropower data is not yet available, industry players say the sector also confronts serious challenges of selling the electricity it has generated. As a result, some project developers have suspended the power production of their newly built hydroelectric dams, because of concerns that the more electricity they produce, the more money they will lose.
That is a step backward in China's adoption of renewable energy. In 2014, the country lowered its wind power wastage rate to 8 percent, a significant improvement compared with 17 percent in 2012. So, why did the situation reverse this year?
Zhang Boting, vice secretary general of the China Society for Hydropower Engineering, an industry organization based in Beijing, is pointing the finger at the country's rapidly expanding coal-fired power generation.
"China already faces an issue of overcapacity in coal-fired power generation, but companies here have continued adding new coal-fired power plants at a feverish pace, hampering the demand for power generation from hydroelectric dams and other renewable energy sources," Zhang said.
"No matter if you look at places where hydroelectric dams are built or power markets far away, none of them needs hydropower because electricity generated from coal-fired power plants are sufficient to meet all the demand," he added.A never-ending coal expansion?
Once a seemingly never-satisfied energy consumer, China is now seeing a slower growth in its electricity consumption, a result of economic woes and improved energy efficiency. Data from the China Electricity Council show that the country's electricity consumption increased by 1.3 percent in the first half of this year, the smallest increase since 2010. However, despite its weaker appetite for energy, large-scale thermal power generation capacity in China still climbed by 6.4 percent year over year to 935 gigawatts, with the majority running on coal.
Lin Boqiang, director of the China Center for Energy Economics Research at Xiamen University, attributes the buildup of new coal-fired power plants to the misreading of China's energy future.
"It takes years to build coal-fired power plants," Lin said. "The upcoming coal-fired power plants were planned in 2012 or earlier, when China's electricity consumption grew at a speed of 10 percent each year. But now, the growth rate is only 1 percent."
However, stopping the construction is not an option, Lin said, because coal-fired power plant developers can't afford to see their investment go down the drain. Besides that, some Chinese provinces put out the welcome mat.
As Xie Guohui, a researcher of the Beijing-based State Grid Energy Research Institute, explained, the buildup of thermal power plants can seize massive investment and yield stable revenues. By contrast, the development of wind, solar and hydro projects poses a threat to the stability of power grids because of the fluctuations in power generation. The unpredictable, on-and-off nature of renewable energy also means unpredictable tax revenues -- a characteristic that many officials would not find so charming.
"Local authorities have strong incentives to build more thermal power plants," Xie said.Worsening conflicts between coal and renewable energy
Regardless of the driving force -- yearning for profits or investment mistakes -- China's coal-fired power generation capacity is expanding, and it is taking a toll on the use of renewable energy. An acute case was in northern China, where the construction boom of coal-fired power plants has led the region's power generation capacity to surpass its demand by 2.7 times. The power oversupply, together with other reasons, made northern Chinese province Jilin become the place with the worst wind power wastage rate across the nation.
In theory, Chinese grid operators and distribution businesses must purchase all the electricity generated from renewable energy projects. But the reality is that coal overcapacity is pitting coal against renewable energy in China's grids.
"Given that many coal-fired power plants in China now don't have enough money to pay their workers, the central government has to take care of the struggling coal industry," said Zhang of the China Society for Hydropower Engineering. "As a result, the sales of electricity generated from renewable energy projects can't be guaranteed."
On top of that, there is a persistent challenge.
As the country's strongest winds, brightest sunlight and most powerful rivers aren't found near energy-hungry regions, China in recent years has pushed hard to extend transmission networks in order to deliver the generated electricity. However, its renewable energy installation has been expanding even faster, leaving the national power grids scrambling to cope with.Installation targets remain the same
Experts say the problem of grid constraints will likely continue into next year, and could get worse. But despite such dim forecast, some project developers want to install more renewable energy equipments.
An executive who works for an energy company in Xinjiang in far west China, who spoke on the condition of anonymity in order to talk freely without seeking higher approval, told ClimateWirethat his company, like many others in the region, has no plan to adjust the solar panel installation target, even as many solar projects in Xinjiang are currently staying idle.
"The [renewable energy wastage] problem will last for a while, but as the development of renewable energy is part of China's energy revolution, we'd rather look into the long-term benefit," the executive explained.
"Besides that, good resources are always scarce," he continued. "Right now, solar companies in Xinjiang line up to get government permission for developing new projects; those who have the permission are unlikely to drop their plan."
As of the end of June 2015, 5.7 GW of solar panels were installed in Xinjiang, according to the National Energy Administration. But nearly a fifth of the generated power outputs ended up being abandoned, the government agency reported.
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Sep 24, 2015 | EuroNews
China wants to become the world’s leading producer of solar energy and is investing massively in solar panels that now cover huge swathes of desert.
The nation is the biggest market for solar energy in the world and home to most of the largest panel manufacturers.
When completed, the Gao Tai solar park will cover 319 square kilometres – that’s three times the size of Paris, or 80 000 solar panels per square kilometre.
“This used to be the Gobi desert, there was nothing here, just stones and wind, the earth wasn’t arable, it wasn’t profitable, but now, it’s a treasure,” says Wei Lang, director of the Gao Tai solar park.
A nearby coal factory is spewing dark smoke.
China knows its dependency on coal is no longer viable. Its towns are suffocating, pressure from the public opinion is growing.
And China has considerable natural assets according to the head of the Huineng solar plant: “It’s not always like this, we have more than 280 days of sunshine a year. Winters are very cold, but associated with a clear blue sky, this produces increased efficiency,” says Dong Zhen Qiang.
Moreover, solar panels require very little maintenance and have a lifetime expectancy of around 25 years.
The problem is that here in the desert, there is little need for electricity. It therefore needs to be transported to China’s industrial regions.
And that’s where the problem lies: the solar park has grown faster than China’s infrastructure. Today, the plant only runs at half its capacity.
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Chinese firms explore setting up solar energy plants in India
Sep 24, 2015 | The Economic Times
Corporate honchos from 16 Chinese firms have offered to set up solar energy plants in India and are holding discussions in this regard with authorities in Gujarat, Tamil Nadu and Rajasthan.
"The Chinese offered to set up solar energy plants with their own plant and machinery including funding facilities in states that have sufficient and adequate perennial sun radiation to generate solar energy," PHD Chamber said in a statement.
The delegation, currently visiting India under .. -
Hillary Clinton calls for integrated North American approach to clean energy
Sep 24, 2015 | PV Magazine
By Christian Roselund
Among U.S. environmentalists and Climate Change activists, the Keystone XL pipeline project has secured a special place as the grand symbol of irresponsible infrastructure plans that undermine greenhouse gas reduction efforts.
As such, it should not be surprising that U.S. Presidential Candidate Hillary Clinton introduced her latest energy and climate policy plan with a blog post on The Medium stating her opposition to Keystone XL.
This message was an obvious crowd-pleaser, in contrast to the more complex and far-ranging climate and energy plan revealed on her website. In broad strokes, Clinton's plan covers oil, gas and transportation as well as electricity, and extends beyond U.S. borders, calling for a “continent-wide strategy”.
Clinton introduces the plan by noting that U.S. policies and infrastructure “have not kept pace with recent changes to the American energy system”, and citing the need to upgrade the electricity grid. She also calls for in new infrastructure to enable the transition to a clean energy economy.
While such statements lack concrete details, Clinton also calls for the creation of a national infrastructure bank, which would include energy projects. However, it is unclear what role this infrastructure bank or the other proposals would play in Clinton's goal for America to get 33% of its power from renewable energy by 2027, a plan which includes a seven-fold increase in installed solar by 2020.
Clinton also calls for a North American Climate Compact to be negotiated between the U.S., Canada and Mexico, to set “ambitious targets” on greenhouse gas reduction. The program would include regional grid modernization and integration of clean power markets and carbon trading mechanisms in the three nations, a process is already underway between Quebec and California.
Clinton also referenced her previously announced Clean Energy Challenge, which would include federal energy and climate standards, as well as support for high-performing cities, states and rural communities.
However, much of the fact sheet concerns the oil and gas industry, where Clinton clearly takes the Obama Administration's lead in pushing for regulations to ensure that oil and gas production involve fewer accidents and emissions, specifically mentioning methane leaks. This includes a call for taxpayers to get a “fair deal” for oil and gas extraction on public lands, where cheap leases act as de-facto subsidies for fossil fuels.
The first item mentioned in the fact sheet is a plan to modernize the oil and gas pipeline system to improve safety and reduce methane leaks. As such, Clinton's plan suggests a prioritization of long-term investments in oil and gas transportation and delivery, which could include public support.
This shows a very different focus than the visions set forth by environmentalists and clean energy advocates who are pushing for elimination of support for fossil fuels and a more rapid transformation of the energy system.
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OECD Governments Continue To Subsidize Fossil Fuels
Sep 25, 2015 | CleanTechnica
By Joshua S Hill
A new report from the Organisation for Economic Co-operation and Development confirms the belief that government subsidies to the fossil fuel industry remain high.
The new report, OECD Inventory of Support Measures for Fossil Fuels 2015, was revealed earlier this week, and details almost 800 spending programs and tax breaks currently used by governments throughout the 34 Organisation for Economic Co-operation and Development (OECD) countries, as well as 6 additional emerging G20 nations (Brazil, China, India, Indonesia, Russia and South Africa).
“The time is ripe for countries to demonstrate they are serious about combating climate change, and reforming harmful fossil fuel support is a good place to start,” said OECD Secretary-General Angel Gurría.
In her speech at the launch event for the report, Gurria continued:
“Governments are spending almost twice as much money supporting fossil fuels as is needed to meet the climate-finance objectives set by the international community, which call for mobilising 100 billion US dollars a year by 2020. We must change the course. This new OECD Inventory offers a roadmap to turn around harmful policies that are a relic of the past, when pollution was still seen as a tolerable side effect of economic growth.”
The report was supported by a database of over 800 individual policies obtained from government sources, and found that the overall value amounted to between $160 and 200 billion annually over the period between 2010 to 2014, “with support for the consumption of petroleum products accounting for the bulk of that amount.”
The underlying conclusion from the report’s findings are that the level of support for fossil fuels is still well above what is necessary. “Although progress has been notable, this edition of the Inventory shows that there remains plenty of room for reform,” the report’s authors note.
A heavier report published by Carbon Tracker Initiative earlier this month similarly found high levels of government subsidies for fossil fuels, and that these subsidies were drastically and unnaturally impacting the global energy market.
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Renewable energy outstrips coal for first time in UK electricity mix
Sep 24, 2015 | The Guardian
By Damian Carrington
Renewable energy has for the first time surpassed coal in supplying the UK’s electricity for a whole quarter, according to government statistics released on Thursday.
The revelation of the surge in wind, solar and bioenergy to a record 25% comes in a week when the government has been heavily criticised by business leadersand Al Gore for cutting support for clean energy.
The high performance of renewable electricity between April and June, the latest period data is available for, was due to both more wind and sun and more turbines and solar panels having been installed, compared to the same period the year before, when renewables contributed 16.4% of electricity.
Gas-fired power stations provided the most electricity - 30% - with renewables second. Nuclear power was third with 21.5% and coal - the most polluting fuel - fell back to fourth, with 20.5%. Ageing coal and nuclear plants have been closing in recent years, while renewable energy has been rapidly rolling out.
Renewables overtake coal
Since May’s general election, Conservative ministers have argued that the subsidies given to renewable energy were rising too fast and announced plans to cut them, including an 87% reduction for solar power and an end to support for onshore wind farms. Industry figures said the government was slashing supporttoo heavily and would strangle renewable energy just as it was taking off.
“The new statistics show that the UK is relying increasingly on dependable renewable sources to keep the country powered up, with onshore and offshore wind playing the leading roles in our clean energy mix,” said RenewableUK’s chief executive Maria McCaffery.
“We’ve had a series of disappointing announcements from ministers since May which unfortunately betray a lack of positive ambition at the heart of government. If ministers want to see good statistics like we’ve had today continuing into the years ahead, they have to knuckle down, listen to the high level of public support we enjoy, and start making positive announcements.”
The renewable surge was led by solar energy, which more than doubled between the second quarters of 2014 and 2015. Electricity from wind rose by 65%, helped by the expansion of several large-scale offshore wind farms, while electricity from biomass rose 26%, mainly due to a switch from coal to wood chips at a unit of Drax power station.
Renewable electricity generation
“Government support has driven down the cost of renewable energy significantly and these statistics show that has successfully enabled renewables to compete with other technologies,” said a spokeswoman for the Department of Energy and Climate Change. “Our priority is now to move towards a low-carbon economy whilst ensuring subsidies are used where they are needed most, which provides the best value for money for hardworking bill payers.”
However, John Cridland, director general of the CBI, the UK’s leading business organisation delivered a scathing attack on Tuesday on the government moves that have weakened green policies. “These changes send a worrying signal about the UK as a place for low-carbon investment,” he said. “Over many years, the UK has built up real credibility on climate leadership and low-carbon investment. This is hard won, but easily lost.”
Former US vice president Al Gore also attacked the UK government, listing along series of reversals on green policies and saying he could not understand the rationale, with climate change presenting a clear danger to the UK and the rest of the world.
Energy secretary Amber Rudd, visiting China with George Osborne this week,announced a £2bn loan guarantee for the proposed new Hinkley Point nuclear power station in Somerset, saying the plant was “value for money” for low-carbon, baseload electricity. But critics attacked the £24.5bn price tag and history of nuclear cost overruns and delays, with a former Tory energy minister calling it “one of the worst deals ever” for British consumers and industry.
Energy minister Andrea Leadsom spoke out in favour of shale gas exploration on Wednesday, which ministers have pledged to fast-track, saying it was “an inconvenient truth” for the anti-fracking lobby that shale gas could have economic and environmental benefits.
“We need to meet the UK’s rising demand for energy, using clean and low carbon energy sources if we are to continue to combat climate change and grow the economy,” she said. However, the government’s energy statistics released on Thursday said demand “fell by 2% continuing the recent downward trend”.
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Rebound in global PV equipment industry shows in Q2 numbers
Sep 24, 2015 | PV Magazine
By Christian Roselund
The last four years have been extremely difficult for PV equipment makers. Following industry-wide overcapacity, orders of new tools began to collapse in 2011, and have remained depressed at a level of $100-$300 million per quarter since that time.
However, the latest figures from the Semiconductor Equipment and Materials International (SEMI) and German engineering association VDMA show a rebound in Q2 orders, which rose 166% sequentially to the highest level in over three years at over $300 million.
Given that billings were still under USD$250 million in Q2, this led to a book-to-bill ratio of 1.58. This is by far the highest ratio since the crash began in 2011, and serves as a concrete industry-wide indicator of recovery in the sector.
This also follows VDMA's statement earlier in the month that German PV equipment orders had almost tripled year-over-year during Q2 2015, despite increased competition from Asia.
It is a different industry after four years of profound downturn, particularly in the United States. Applied Materials, formerly the leader in sales, has greatly limited its participation in the sector. This includes dropping its wafer sawing and solar implant lines in August. GT Advanced Technologies remains in bankruptcy and recently laid off 2/5 of its workforce, and Spire is considering a sale of the business.
It should also be noted that despite this healthy increase in bookings, both orders and revenues remain only a small fraction of levels seen during the boom times of 2010 and 2011. The future may see a leaner equipment sector, with more focus on low-cost upgrades such as passivated emitter rear contact (PERC) tools.
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Enel builds Italy's first large-scale storage facility
Sep 24, 2015 | PV Magazine
By Ian Clover
Italian clean energy developer Enel Green Power (EGP) has inaugurated Italy’s first large-scale solar+storage facility in Catania.
The 1 MW/2 MWh battery facility is connected to EGP’s 10 MW Catania 1 solar plant, and has been switched on this week having been tested since May. The battery, which has been developed by General Electric, is a Durathon sodium-metal halide and will increase the plant’s electricity flow and augment its flexibility.
"Technologically advanced storage systems like the one we are inaugurating today will reduce intermittency and enable us to manage the unpredictability of certain renewable sources, thereby helping to ensure the stability and control of the grid," said EGP CEO Francesco Venturini. "The active integration of renewables with pioneering and innovative solutions such as this one is key for the ongoing development of the sector."
The potential for energy storage in Italy is huge. As one of the world’s most mature markets, the country has thousands of sites that are suitable for storage, both at large-scale, such as at EGP’s Catania solar farm, and at residential scale, where there are more than 500,000 rooftops fitted with a solar array.
PV penetration in Italy is the highest in the world, and with very little left in the way of solar subsidies, many homeowners with solar installed have begun looking at affordable storage solutions.
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Yingli to ship 130 MW of modules for Chinese BIPV and agriculture solar projects
Sep 24, 2015 | PV Magazine
By Ian Clover
Chinese Tier-1 solar company Yingli Green Energy has agreed a 130 MW solar module supply deal with building integrated photovoltaic (BIPV) and utility-scale solar PV developer Qingdao New Energy Solutions Inc. (NESI).
Yingli will begin shipment of the first tranche of its multicrystalline YGE 60-Cell Series solar panels immediately, with completion scheduled for the end of September. The remaining 100 MW will be supplied over the course of 2016. In all, Yingli will deliver more than 500,000 solar modules.
NESI specializes in developing BIPV arrays for industrial and agricultural buildings, and is planning the development of a number of BIPV projects in the Chinese provinces of Zhejiang, Inner Mongolia, Shandong and other regions. NESI will also develop some utility-scale projects using the Yingli panels.
"In August, NESI announced our collaboration with several state-owned banks and other entities to establish China’s first agricultural PV project fund," said NESI COO Shen Jianfei. "As such, we intend to gradually increase our exposure to solar PV assets and hope to continue partnering with Yingli as we do."
Yingi VP of sales Gang Wang added that the collaboration between Yingli and NESI could help drive the wider adoption of BIPV and agricultural solar applications throughout China. Yingli has already been involved in the creation of 350 MW of private enterprise PV the country so far this year, Wang said.
"With demand expected to grow through the second half of 2015, Yingli is focused on expanding our domestic footprint by strengthening our customer relationships," he added.
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Trina Solar-led national PV-related standard officially published
Sep 24, 2015 | PV Magazine
Trina Solar Limited today announced that a new Trina Solar-led national standard of "Test method for determining vinyl acetate (VA) content of ethylene-vinyl acetate copolymer applied in photovoltaic modules - Thermal Gravimetric Analysis (TGA)" (EVA-TGA) has been officially published by the Standardization Administration of China (SAC), signifying a major milestone in Trina's continued efforts to create general standards across the PV industry.
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ReneSola’s share price decline triggers US$20 million repurchase
Sep 24, 2015 | PV-Tech
By Mark Osborne
Tier-one PV manufacturer ReneSola has announced a share repurchase programme as its stock falls below the US$1.0 NYSE minimum price floor.
ReneSola said it may repurchase up to US$20 million in value of its American depositary shares on the NYSE over the next 12 months.
Xianshou Li, ReneSola's chief executive said: “We are fully confident in ReneSola's growth strategy and execution capabilities and we believe that the current share price does not fairly reflect our growth prospects.”
Solar stocks have been impacted by low oil prices as well as part of a wider global share sell-off, triggered by China devaluing its currency as its economy slows.
Solar companies such as ReneSola and Yingli Green still struggling with loss-making operations have seen share prices drop below the minimum price and Yingli Green receiving a de-listing notice.
ReneSola has also changed its business model several times and continues to underperform rivals such as Trina Solar, JinkoSolar and JA Solar, and only had three financial analysts on its second quarter 2015 earnings call.
ReneSola reported second quarter revenue of US$268.4 million, a 23.1% decline from the previous quarter and at the low-end of guidance of US$250 million to US$300 million and a net loss of around US$18 million. The company, like Yingli Green has remained loss making since 2012.
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Dubai's DEWA invites bids for 800 MW, phase three solar park
Sep 24, 2015 | PV Magazine
By Ian Clover
Solar developers have been invited to bid on the third phase of the Mohammed bin Rashid Al Maktoum Solar Park after the Dubai Electricity and Water Authority (DEWA) issued a call for Expression of Interest (EOI) for the 800 MW project.
Having secured a levelized cost of electricity (LCOE) for just $0.058/kWh in the second, 200 MW tender, this third tranche could attract similarly competitive winning bids as the 3 GW Mohammed bin Rashid Al Maktoum Solar Park takes shape.
The tender was officially opened by DEWA earlier this month, and bids will close on September 29, with commissioning of successful projects beginning in 2018 and staggered throughout the year. Development of the solar park – which once complete will dramatically alter the solar landscape of the Middle East region – is based on the Independent Power Producer Model (IPP).
DEWA will purchase all solar energy generated from the projects on a 25-year PPA. The power authority of Dubai has upped its renewable energy target, and has pledged to source 7% of its energy needs from clean resources by 2020, and 15% by 2030.
"We are determined to continue building and developing a greener economy, to achieve the UAE Vision 2021 to create a sustainable environment in terms of air quality, conserving water resources, more reliance on clean energy, and implementing green development," said DEWA CEO and MD Saeed Mohammed Al Tayer. "Our efforts complement the Dubai Integrated Energy Strategy 2030 to diversify energy sources to include 71% from natural gas, 15% from solar energy, 7% from clean coal, and 7% from nuclear power."
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