Renewable energy - Weekly update ⋅ January 25, 2016

	NEWS
	Forbes Opportunities Dawning For US Renewable Energy Companies In Mexico Forbes Thanks to recent reforms, our neighbors south of the border may soon be able to take better advantage of their renewable energy potential, which ... Flag as irrelevant
	Huffington Post Why An Overflowing Oil Supply Won't Drown Renewable Energy Growth Huffington Post Conventional wisdom posits that continuously cheap oil also poses a threat to the development of renewable energy. Even as the price of renewables ... Renewable energy shines - The Rock River Times The Fourth Industrial Revolution Will Be Driven by Renewable Energy - Commodities Now Energy industry in region turning to renewables to offset oil price volatility - The National Full Coverage Flag as irrelevant
	DesMoinesRegister.com Republicans want renewable energy answers DesMoinesRegister.com These are issues such as using renewable energy to deliver energy independence, and refocusing on natural resources conservation and land ... Flag as irrelevant
	CleanTechnica The Solutions Project: How 139 Countries Can Hit 100% Renewable Energy CleanTechnica The idea of hitting 100% renewable energy (yes, energy, not just electricity) scares a lot of people. That is, a lot of people don't think their cities or ... Flag as irrelevant
	Capital New York Senate Republicans abruptly oppose Cuomo's renewable energy plan Capital New York ALBANY — Senate Republicans abruptly asked the Public Service Commission to push back a vote Thursday morning on one of the Cuomo ... Flag as irrelevant
	Renewable energy focus of rally Barre Montpelier Times Argus MONTPELIER — Local residents are calling for a greater voice in the siting of renewable energy projects in their communities, and one Senate ... Flag as irrelevant
	Montana Standard Renewable energy is worth the investment Montana Standard It was also not surprising that both articles revealed that renewable energy is expanding all over the world, led by China and the U.S., but growing in ... Scaling Up Renewable Energy In The GCC Could Have Multiple Benefits - CleanTechnica Irena: Scaling up renewable energy will benefit GCC - gulfnews.com Renewable energy scale-up to reap benefits for Gulf: Report - Moneycontrol.com Full Coverage Flag as irrelevant
	Big Island Now $3.4 Million In Renewable Energy Research Funding Announced Big Island Now The funding will allow Hawaiian Electric to improve electric grid technology, with the end goal of facilitating more renewable energy generation. $3.4M in renewable energy research funding awarded to Hawaiian Electric - Hawaii 24/7 (press release) Full Coverage Flag as irrelevant
	NDTV International Solar Alliance will raise $1 trillion, says renewable energy secretary Economic Times An interim administrative cell of the ISA has been set up at the ministry of new and renewable energy. The ISA will make joint efforts through innovative ... Gurgaon rides the solar energy wave - The Hindu Full Coverage Flag as irrelevant
	Great Falls Tribune Renewable energy initiative supporters can gather signatures Washington Times HELENA, Mont. (AP) - Supporters can start gathering signatures for a ballot initiative that would require utilities to supply more renewable energy in ... Renewable energy initiative supporters can gather signatures - Billings Gazette Full Coverage Flag as irrelevant
	Business Insider The Latest: Oil price drop threatens renewable energy's rise Business Insider US Vice-President Joe Biden speaks at the plenary session of the World Economic Forum syndication.ap.orgUS Vice-President Joe Biden speaks at ... The Latest: Oil price drop threatens renewable energy's rise - Minneapolis Star Tribune The Latest: Oil price drop threatens renewable energy's rise - Fox News The Latest: China a worry but also a hope for Davos deciders - Newsday Full Coverage Flag as irrelevant
	PRI Funds for renewable energy were boosted in the last budget compromise PRI Energy experts say that the five year extension of renewable energy tax credits ... As part of the deal, tax credits for renewable power — both wind and ... Flag as irrelevant
	BioHiTech: Launching Renewable Energy Proof Of Concept Efforts Seeking Alpha BioHiTech's proof of concept efforts, if ultimately proven successful at commercial scale, would allow it a potential renewable energy vertical entry. Flag as irrelevant
	Energy Matters Western Pa. hosts projects to link renewable energy sources to batteries Tribune-Review The solar panels and wind turbines being connected to the electric grid are more powerful and less expensive than ever. Modernizing that grid so it ... Flag as irrelevant
	CleanTechnica Four Renewable Energy Projects In Africa And Caribbean Receive $46 Million In Funding CleanTechnica Four renewable energy projects set to be developed in Africa and the Caribbean have been awarded $46 million in funding. The International ... Gulf Countries Savings Put at $87 Billion With Renewable Energy - Bloomberg IRENA Takes $46 Million Stab At The Heart Of Fossil Fuel - CleanTechnica Masdar CEO calls on regional financial institutions to support the renewable energy advancement - CPI Financial Full Coverage Flag as irrelevant
	New York Daily News Cuomo announces $1M prizes in renewable energy competition for college students New York Daily News Gov. Cuomo is offering $1 million to the best proposal created by college students for using renewable energy to power their campus. He announced ... New York commits $5bn to fund renewable energy sector - Power Technology POLITICO New York - Capital New York New York creates $5 billion clean energy fund to spur renewables - The Boston Globe Full Coverage Flag as irrelevant
	Al-Arabiya Davos 2016: Major growth needed in renewable energy Al-Arabiya “More renewable energy means more investments in electric grids to manage loads and demands,” he added. China, which has suffered increasingly ... Flag as irrelevant
	PLN to keep increasing use of renewable energy Jakarta Post State-owned electricity company PLN is planning to keep increasing the utilization of new renewable energy to generate power despite the challenges ... Flag as irrelevant
	ABC Online Scientist Monica Oliphant powers on to realise renewable energy vision ABC Online After more than half a century dedicating her life to the renewable energy sector, she has hardly slowed down, at a time when clean energy has ... Flag as irrelevant
	WOODTV.com Switch data center to run off renewable energy WOODTV.com GAINES TOWNSHIP, Mich. (WOOD) — Switch announced plans for its SUPERNAP Michigan data center at the former Steelcase pyramid building to ... Switch: Renewable energy to power data center - WZZM Switch says Michigan data centre to be 100% renewable - SeeNews Renewables Switch pledges to use 100 percent green energy in former Steelcase pyramid - MLive.com Full Coverage Flag as irrelevant
	Egypt's EFG Hermes targets renewable energy investments gulfnews.com Dubai: EFG Hermes Holding SAE, the largest independent Arab investment bank, plans to build a portfolio of renewable-energy investments in ... Flag as irrelevant
	Japan Approved 85550 MW of Renewable Energy Projects Since 2012 Bloomberg Japan has given the go-ahead to 85,550 megawatts of clean energy projects since the introduction of an incentive program in July 2012, with solar ... Flag as irrelevant
	BurlingtonFreePress.com Vermont towns show frustration about renewable energy projects siting WCAX You could call it a grass-roots renewable energy rebellion. Dozens of town planners and other local officials descended on the Vermont Statehouse ... Panel: Towns need more say in siting of renewable energy projects - vtdigger.org Residents protest energy approval methods - Rutland Herald Vermont's energy siting struggle hits crescendo - Watchdog.org Full Coverage Flag as irrelevant
	Renewable Energy Ministry to Showcase Mega Plan at Republic Day Parade The New Indian Express NEW DELHI: The tableau of the Ministry of New and Renewable Energy will highlight its ambitious plan of achieving renewable energy capacity target ... Renewable Energy Min to showcase mega plan at R-Day parade - Business Standard Renewable Energy Min to showcase mega plan at R-Day parade - Daily Excelsior Full Coverage Flag as irrelevant
	Wisconsin Public Radio News Renewable Energy Proponents Hope For A 'Revolution' In Wisconsin Wisconsin Public Radio News Some renewable energy advocates are calling for a major overhaul of how clean energy is produced and regulated in Wisconsin: They want to move ... Schimel disappointed in court denial of bid to delay power plant rules - Milwaukee Journal Sentinel Full Coverage Flag as irrelevant
	Ravi Sood: Renewable Energy Yield Companies Provide Unbeatable Returns, Despite The Oil ... Seeking Alpha Dividends in the mid-teens are possible in renewables, even without tax credits? The renewable energy sector continues to expand, despite low oil ... Flag as irrelevant
	AFKInsider Will Renewable Energy Be The New Oil In Nigeria? AFKInsider Some Nigerian oil companies have started diversifying into other sectors. That in turn is increasing the pressure on the government to invest in the ... Flag as irrelevant
	Khaleej Times Our focus is on renewable energy: Mohammed Khaleej Times The UAE is committed to contributing to meet the growing global demand for energy through the development and deployment of renewable energy ... UAE plans on exceeding target of 24% renewable energy by 2021 - gulfnews.com Zayed Future Energy Prize winners announced - gulfnews.com Full Coverage Flag as irrelevant
	NavyTimes.com Navy secretary promotes career flexibility, renewable energy NavyTimes.com In six years as SECNAV, Ray Mabus has ushered in initiatives that touch nearly every part of the sea services. Energy efficiency has been at the top of ... Flag as irrelevant
	gulfnews.com 2016: The year of disruption, maturity and leadership for the renewable energy sector gulfnews.com 2016 is shaping up to be a year of market disruption across global energy markets, and those leading on renewable energy deployment, capital ... Flag as irrelevant
	The Australian Financial Review Renewable energy is Africa's poverty trap The Australian Financial Review Bjorn Lomborg: Renewable energy is Africa's poverty trap ... Most of that "renewable" energy will still come from crop residue, cow manure, wood, and ... Flag as irrelevant
	News3LV Sandoval announces return on Renewable Energy Tax Abatement Program, Sunpower Partnership News3LV Since 2009, the Office's Renewable Energy Tax Abatement Program has attracted $4.3 billion in capital improvements, payroll, and taxes paid, ... Flag as irrelevant
	Bloomberg Renewable Energy and the Price of Oil Bloomberg Fatih Birol, executive director at International Energy Agency, and Jose Ignacio Sanchez Galan, chief executive officer at Iberdrola, discuss the price of ... Flag as irrelevant
	The National UAE sets 30% renewable energy generation target by 2030 The National The UAE is looking to increase its target for power generation from renewable energy to 30 per cent by 2030, the energy minister said on Wednesday. Flag as irrelevant
	Moneycontrol.com Tata Power Renewable Energy raises Rs 425 crore via NCDs Moneycontrol.com "Tata Power Renewable Energy Limited (TPREL), a 100 per cent subsidiary of the company, has issued and allotted guaranteed, unsecured, ... Flag as irrelevant
	The Baltic Course Renewable energy accounted for 16.7% of Estonia's electricity consumption in 2015 The Baltic Course Electric energy produced from renewable sources made up 16.7% of the total amount of electric energy consumed in Estonia last year, 1.9 percentage ... Flag as irrelevant
	Bloomberg Will Oil Slide Benefit Renewable Energy in Europe? Bloomberg European Commission Vice President of Energy Union Maros Sefcovic discusses the outlook for oil and impact on sustainable sources of energy. Flag as irrelevant
	Ventures Africa Will Nigeria's renewable energy sector attract more oil investors? Ventures Africa Though renewable energy projects such as Solar power, require high capital expenses to set up, the average cost in Nigeria is around $.09-$.12 per ... Flag as irrelevant
	Livemint Hollande visit: Terrorism, defence, renewable energy likely to be focus Livemint New Delhi: Counter-terrorism, defence collaboration and cooperation in new and renewable energy are expected to dominate talks between India and ... Flag as irrelevant
	Xinhua 4th industrial revolution to be driven by renewable energy: WEF meeting Xinhua DAVOS, Jan. 21, 2016 (Xinhua) -- German Minister of Finance Wolfgang Schaeuble addresses the audience at an annual meeting of World Economic ... Flag as irrelevant
	TIME The Latest: Oxfam Chief, at Davos Forum, Decries Inequality ABC News ... incentives to improve energy efficiency — in their transportation networks, for example — as well as the installation of renewable energy plants. Flag as irrelevant
	Vermont Public Radio Stowe And Hyde Park Addressing Renewable Energy Standards With Community Solar Vermont Public Radio Once online, the projects will help the small municipal electric departments meet Vermont's new renewable energy standards. Last year, the Vermont ... Flag as irrelevant
	Utilities-ME.com $10bn NBAD fund for renewable energy projects Utilities-ME.com The UAE's National Bank of Abu Dhabi (NBAD) has committed to lend $10bn over the next ten years on renewable projects as banks in the region ... Flag as irrelevant
	Renewable energy in GCC Arab News Most importantly, given the vast potential for solar energy, renewable energy can play a key role in the shift towards a greener economy in the GCC. Renewable energy scale-up to reap benefits for Gulf - Laurel Leader Call Full Coverage Flag as irrelevant
	Egypt's EFG Hermes Targets Renewable Energy Investments Bloomberg EFG Hermes Holding SAE, the largest independent Arab investment bank, plans to build a portfolio of renewable-energy investments in Europe and ... Flag as irrelevant
	Brookfield Renewable Energy Partners LP - Get News & Ratings Daily EMQ 1/14/2016 – Brookfield Renewable Energy Partners was upgraded by analysts at Desjardins from a “hold” rating to a “buy” rating. 1/14/2016 ... Flag as irrelevant
	“Renewable energy is the future”, says Steve Howard, IKEA The Climate Group (blog) LONDON: “Renewable energy is common sense energy,” states Chief Sustainability Officer of IKEA Group, Steve Howard, talking of the leading ... Flag as irrelevant
	Brookfield Renewable Energy Partners LP (BEP) Rating Reiterated by RBC Capital EMQ Brookfield Renewable Energy Partners logo Brookfield Renewable Energy Partners LP (NYSE:BEP)'s stock had its “sector perform” rating restated by ... Flag as irrelevant
	Tasmania Examiner Renewable energy pushed Tasmania Examiner River Power Tasmania operations manager Josh Tomlin and Tasmanian Renewable Energy Alliance executive officer Jack Gilding both said the state ... Flag as irrelevant
	Greentech Lead Pfister Energy drives renewable energy industry innovation as ChargePoint East Coast partner pv magazine (press release) Today, Pfister Energy announced the availability of ChargePoint electric vehicle (EV) charging stations to clientele and partners, enabling drivers to ... Pfister Energy Drives Renewable Energy Industry Innovation as ChargePoint East Coast Partner - The Auto Channel (blog) Full Coverage

How an EU-US Free Trade Agreement will Affect the Energy Sector

 

By Energy Post | Wed, 20 November 2013 23:21

Last week the second round of negotiations for an EU-US free trade agreement took place. Energy has not been making headlines in the context of these talks, but a TTIP (Transatlantic Trade and Investment Partnership) will have far-reaching implications for the energy sector, e.g. with regard to oil sands, LNG and shale gas. NGO’s worry that the TTIP will give big business the chance to undermine Europe’s environmental legislation. Sonja van Renssen has the inside story from Brussels. (Photo: US trade representative Michael Froman, US trade mission Geneva)

The purpose of TTIP (a transatlantic trade and investment partnership) is to “liberalise trade and investment” between the EU and the US. This is significant, and not just for these two partners. Together the EU and US make up 40% of global economic output and their bilateral economic relationship is the world’s largest. Whatever they decide will set a blueprint for future free-trade agreements with other nations, from China to Brazil. Also significant is that this is a trade agreement that aims to go further than any before it: the goal is to align regulations and standards rather than simply removing trade-inhibiting tariffs (of which there are few in any case – tariffs between the EU and US average 4%).
Any decision that affects future trade in fuels is significant: EU-US trade in diesel and petrol was worth US$32 billion in 2012
The European Commission has already reeled off a list of probable benefits to Europe, from the fact that EU exports to the US could rise by 28% (equal to €187 billion extra per year for exporters) to an extra 545 euros in disposable income to a family of four living in the EU per year. In an initial position paper dedicated to raw materials and energy, it argues that World Trade Organisation (WTO) rules “do not fully reflect issues related to international production and trade in… energy”. TTIP could contribute to “a stronger set of rules in the area of energy” which “could serve as a model for subsequent negotiations involving third countries”.
What will be in these new rules? With regard to energy trade, the Commission believes they should set out the “fundamental principles of transparency, market access and non-discrimination [and] …would also contribute to developing and promoting sustainability”.  Neither side should be allowed to impose a “local content requirement” (reserving business for local companies), yet both sides “should remain fully sovereign regarding decisions… to allow the exploitation of their natural resources”. Government intervention in the pricing of energy goods “should be limited” and dual pricing – subsidising sales to industrial users – prohibited.
Oil sands: elephant in the room
There is plenty in the negotiations to debate about, but currently the overriding issue between Europe and the US is a clash over sustainability policies/red tape (depending on whom you’re speaking to) embodied in the EU’s fuel quality directive (FQD) and related plans. The FQD would effectively ban oil sands from Europe. It requires fuel suppliers in Europe to reduce the greenhouse gas emissions from road fuels by 6% by 2020 relative to 2010. It opens the door to the EU assigning separate emissions values to different types of fuel to calculate compliance with the FQD. The Commission wants to assign a higher emission value to oil from oil sands and issued a proposal to that effect back in 2011. This was subsequently blocked by member states in 2012.
At this moment a new proposal – backed by a new impact assessment – is in the works, reportedly due out by the end of the year though it may well come later. The problem (for some in any case) is that this proposal reportedly largely mirrors the original one, i.e. it foresees a 107gCO2/MJ emissions value for oil sands versus 87.5 g CO2/MJ for conventional crudes (a 23% difference). The oil business on both sides of the Atlantic has long argued that this is artificial discrimination between what are essentially two versions of the same product, that it threatens Europe’s supply of oil products and that it could ultimately raise global greenhouse gas emissions because oil sands would simply be shipped elsewhere (requiring more transport).
NGOs conversely have argued that oil from oil sands requires much more energy to get out and process than conventional crude: up to 49% more and 23% more on average (matching the Commission’s proposals). Differentiated emissions values would not impose significant administrative costs on US refiners, have no effect on EU refiners (which are not equipped to process unconventional crudes), and could save up to 19 million tons of CO2 emissions per year (equivalent to removing 7 million cars from European roads) by shifting investment to lower-carbon oil sources.
Free trade vs. sustainability
How does TTIP weigh into this debate? On the one hand, it is set to apply the principles of non-discrimination, market access, etcetera; on the other hand, promote sustainability. Any decision that affects future trade in fuels is significant: EU-US trade in diesel and petrol was worth US$32 billion in 2012. Note that Canadian oil sands are expected to be largely refined in the US, hence the US’s involvement in this debate (although one NGO recently suggested Canadian oil sands might actually be exported as crude from US ports).
In future EU agreements, all submissions will be public, all hearings will be open, all decisions of the tribunal shall be public and interested parties will be able to make their views known
What is clear is that the oil business on both sides of the Atlantic believes that singling out oil sands for a separate emissions value would amount to erecting a new trade barrier. The US government has indicated it is sympathetic to this view: trade representative Michael Froman responded to concern from US senator Kevin Brady in July by saying: “I share your concerns regarding the EU’s development of proposals for amendments to the fuel quality directive… We continue to press the Commission to take the views of stakeholders, including US refiners, under consideration… We are seeking through the TTIP negotiations improvements in the EU’s overall regulatory practices.”
For NGOs, this is tantamount to acknowledging that what the US is really pursuing with TTIP is deregulation (although Froman has explicitly denied this).  Their biggest worry however is not even TTIP as a whole but one very specific mechanism that the deal is set to include: the “investor-state dispute settlement” (ISDS) mechanism. This is not new in the trade world. It is a procedure that allows foreign investors to take their host government to a special arbitration court if they feel this government has acted to undermine their investments. Both the EU and the US are keen for ISDS to be part of TTIP, just as it is part of the recent free trade deal between the EU and Canada.
Dispute over dispute settlement
So what’s the problem? The Commission does not see one and put out a factsheet to dispel “incorrect claims” about ISDS in early October. According to the Commission, ISDS “does not subvert democracy by allowing companies to go outside national legal systems”. It “does not allow companies to sue states just because they might lose profits”. And “it does not undermine public choices: the EU will negotiate in such a way to ensure that legislation reflecting legitimate public choices e.g. on the environment, cannot be undermined through ISDS.” As for the fact that ISDS cases are typically heard behind closed doors by a small circle of international lawyers who rotate from arbitrator to advocate and back again, the EU will work to change this and ensure no conflict of interest: “In future EU agreements, all submissions will be public, all hearings will be open, all decisions of the tribunal shall be public and interested parties will be able to make their views known.”
The biggest payout to date came in 2012 with a ruling for Ecuador to pay out US$1.77 billion to US oil company Occidental Petroleum for unilateral termination of its contract
This does not reassure NGOs. Their core concern is that ISDS could let companies pressure governments into tempering environmental, health and social protection regulation. “The EU negotiating mandate… reveals the European Commission’s plans to enshrine more powers for corporations,” warns Corporate Europe Observatory, an NGO working to expose and challenge business interests in policymaking. “Across the world, big business has already used ISDS provisions… to claim dizzying sums in compensation against democratically-made laws to protect the public interest.” Unlike WTO cases, ISDS cases cannot force losing governments to change their laws, but can require them to pay out compensation to make up for lost profits.
The biggest payout to date came in 2012 with a ruling for Ecuador to pay out US$1.77 billion to US oil company Occidental Petroleum for unilateral termination of its contract. Nearly a third of cases concluded by 2012 found in favour of the investor (governments won just over 40%). Far and away most of the disputes to date have been initiated by US investors, followed by investors from the Netherlands, UK and Germany.
NGOs fear the prospect of having to hand over precious taxpayers’ money to foreign investors could deter governments from ambition on environmental protection. They point to other pending cases to illustrate the threat of attack. Vattenfall is suing Germany for a reported €3.7bn over the state’s decision to phase out nuclear power (the company will have to shut two power plants). US-based Lone Pine Resources is suing the Canadian province of Quebec for US$250m over its 2011 introduction of a moratorium on fracking. What might US firms probing for shale gas in Europe do about moratoria there? How might they react to new environmental impact assessment rules brewing in Brussels?
A look to Canada and ahead
One avenue to investigate the potential implications of TTIP for oil sands specifically would be to look to the recently announced EU-Canada trade deal (CETA). Although there was officially no link between CETA and oil sands, Canada – as the main potential supplier of oil sands to Europe – has reportedly dragged the issue into the trade negotiations. What did they decide?
The problem is that the text of the agreement announced by the EU on 18 October, is not publicly available yet. (According to the Commission, “technical discussions” have yet to be completed before the legal text of the agreement can be finalised.)Nor is any mention of what it said or didn’t say about oil sands. Perhaps the whole issue was bracketed. Perhaps the parties agreed to defer to TTIP (as CETA reportedly does on several issues). One source suggests CETA has made it more difficult for the EU to regulate oil sands.
There are many energy-related issues in TTIP that will start taking form over the next months (and probably years). At the forefront is how to deal with oil sands. But even more important for Europe will be access to US-produced LNG, to benefit from its shale gas boom. The US currently has crude oil and gas export restrictions in place. Some suggest these will be automatically lifted with the signing of TTIP. Others suggest it will not be quite so straightforward and TTIP must contain provisions to make sure this is the case.
Other issues that may prove difficult to achieve are an end to local content requirements and full opening up of public procurement markets – both of them a state competence in the US and some states already enjoying exemptions under existing trade agreements e.g. with Canada.
It is still undecided whether TTIP will devote a separate chapter to energy or deal with it through horizontal provisions. The line taken by the broader talks is in any case relevant. There are tentative plans for continued regulatory alignment even after TTIP is signed. These will be just as relevant for energy as for other sectors.
For the EU, the challenge will be to align rather than unravel regulation. This is a trade agreement that will test the limits of what is possible without further alignment of more basic policy objectives, such as on climate change. It will pit businesses against NGOs. A third round of talks is scheduled for December. Watch this space.
By.  Sonja van Renssen