Hinkley
Austria today filed its legal challenge to the UK’s €108 billion support package for the Hinkley Point C nuclear plant, writes Oliver Tickell. A second such challenge at the European Court is due from green energy suppliers in Germany and Austria who fear unfair competition from subsidised nuclear power in Poland, Czech and Hungary if the Hinkley C precedent stands.
Ecologist 6th July 2015 read more »
Austria’s environment minister, Andrä Rupprechter, said nuclear energy was no longer able to survive economically and should “not be artificially resuscitated through state subsidies”. “Instead of funding unsafe and costly energy forms that are outdated, we have to support Europe’s energy turnaround with the expansion of renewable energies,” he said.
Guardian 6th July 2015 read more »
The DECC is believed to be discussing with EDF how to handle liability for costs incurred on the project if Austria’s challenge succeeded and the deal had to be cancelled. Shearman & Sterling, a law firm, said that if Austria won, the “relevant aid would need to be returned to the UK government with significant ramifications for investors and financiers of Hinkley Point C”. It said state aid appeals could last six years or more and the average appeal took almost three years to resolve.
Times 7th July 2015 read more »
Telegraph 6th July 2015 read more »
BBC 6th July 2015 read more »
Austria’s announcement Monday that it would challenge state aid for a new nuclear plant in Britain marks the latest step in the country’s solo campaign to roll back atomic energy in Europe. Since the late 1970s, Austria has been fiercely anti-nuclear, starting with an unprecedented vote by its population that prevented the country’s only plant from providing a watt of power. With the exception of Italy, Austria is surrounded by countries with nuclear power, although Germany, to the north, has vowed to phase out its plants by 2022.
EU Business 7th July 2015 read more »
Deutsche Welle 6th July 2015 read more »
Dounreay
Work has restarted in an area of the Dounreay nuclear power complex affected by a fire last year. The incident, in part of the Prototype Fast Reactor (PFR) facility, on 7 October led to an “unauthorised release” of radioactivity. Work dismantling a sodium tank farm, a store for sodium from the operation of the fast reactor, was suspended. Mark Rouse, managing director of Dounreay Site Restoration Limited, said “many lessons” had been learned. Following the incident, the Office for Nuclear Regulation (ONR) served DSRL with an improvement notice.
BBC 6th July 2015 read more »
Plutonium
The case for re-using the UK’s separated plutonium in nuclear reactors looks less secure than previous official pronouncements would suggest. The U.K.’s stockpile s estimated by the Nuclear Decommissioning Authority (NDA) to have reached 140 tons by the time reprocessing operations at Sellafield are completed around 2020. A Sellafield local stakeholder committee meeting on June 9th, 2015 heard that the UK’s Regulators, the Environment Agency and the Office for Nuclear Regulation, had been tasked by the NDA to review the option of immobilizing plutonium. Clarifying some detail of the review in a subsequent email to local group CORE (Cumbrians Opposed to a Radioactive Environment), the NDA responded: Research work on the immobilization of plutonium is being carried out to find out if the process can be “industrialised” so that it could be used to treat material that is unsuitable for reuse or for disposition of the entire stockpile if Government decided not to pursue re-use. (emphasis added). Until now, research on the immobilization option has been specifically targeted at the treatment of the small proportion of stockpiled plutonium termed as “residues” and considered through chemical contamination to be beyond re-use.
International Panel on Fissile Material 30th June 2015 read more »
Terror
Ten years ago today I joined a group of nuclear security and terrorism experts for a meal in Central London, following a day of discussion of terrorist threats on nuclear waste stores. The reason for the meeting was the Committee on Radioactive Waste Management (CoRWM-1) had convened a group of security specialists to advise CoRWM on security aspects of radioactive waste management and storage facilities. Less than 10 hours after the dinner, a bomb destroyed a London bus barely two minutes around the corner from the restaurant, one of four bombs to be detonated by suicide bombers that rush hour morning on London Public Transport, killing 52 people, and injuring a further 700. It was a black coincidence that this meeting of terrorist specialists should have met so close to a terrorist outrage. When the group met for the second time, in London on 13-14 December 2005, the specialists unanimously agreed on a statement, and conveyed to CoRWM their strong belief that the statement should appear at a prominent place in the final documentation of the CoRWM process then under way, which it did. The statement reads: “…it is our unanimous opinion that greater attention should be given to the current management of radioactive waste held in the UK, in the context of its vulnerability to potential terrorist attacks.”
David Lowry 5th July 2015 read more »
Green Levies
UK energy companies could see key environmental taxes rolled back under the Budget this week as reports suggest the Treasury is seeking to cut the financial burden shouldered by energy consumers due to spiralling low carbon support costs. Utility Week understands that the Conservatives’ u-turn on green tax targets set by the Liberal Democrats in the previous coalition parliament – including the Carbon Price Floor and the Climate Change Levy – has been decided in consultation with energy companies on condition that the suppliers cut their retail tariffs. Calls for price cuts have mounted in recent months following historic lows on global energy markets and reduced political risk following Labour’s general election defeat. But energy companies in the past have argued that the rising cost of the government’s decarbonisation policies also need to be taken into account. In further moves to address concern over rising energy tariffs the Sunday Telegraph reports that Treasury will condemn the ‘overspend’ of low carbon support paid out through consumer bills. Osborne is expected to launch a review into spending levels through the Levy Control Framework (LCF) following growing concerns that they are set to exceed expectations by £1.5 billion by 2020. Under current targets the LCF will manage funds to be paid out to developers through the contracts for difference regime and is set at £4.3 billion in 2014/15, rising to £7.6 billion in 2020/21 which will be taken from energy consumer bills. Any cuts to the LCF for the next decade would hit developers of onshore wind projects particularly hard following the subsidy cuts through the older Renewables Obligation scheme announced last month.
Utility Week 5th July 2015 read more »
Power companies have urged ministers to provide clarity over future subsidies for wind, solar and marine energy technologies, after reports suggested the Chancellor is set to launch a review of green energy spending levels in this week’s Budget announcement. According to the Sunday Telegraph, George Osborne will on Wednesday announce a review of the £7.6bn Levy Control Framework (LCF) that is meant to provide clean energy subsidies through to 2020/21. Some Tory ministers reportedly fear the LCF is already on the verge of blowing its budget and analysis by the influential think thank Policy Exchange found that the LCF, which is funded by so-called “green levies” on energy bills, may already have been assigned. If the entire budget has already been committed out to 2020, it would make it difficult or impossible to fund any further projects without further increasing costs to consumers. The Telegraph said DECC officials had privately admitted that the LCF could increase to £9bn over the coming years, £1.5bn than originally planned. But RenewableUK said a review into the LCF could further undermine investor confidence in the sector, particularly as the government is also planning an early end to onshore wind subsidies through the older Renewable Obligation (RO) scheme next year.
Business Green 6th July 2015 read more »
Energy Costs
Britain’s competition authority has concluded that “millions of consumers are paying more for their energy than they need to” and will on Tuesday outline a series of measures to encourage customers to switch between suppliers. The Competition and Markets Authority is also expected to raise the prospect of a price cap on the most expensive tariffs as an interim measure to protect consumers against exorbitant bills, according to two industry executives who have seen the preliminary findings of the regulator’s year-long investigation. “There are three themes to this report. The first is people are paying more than is necessary; the second is that green levies and network costs are driving bills up; the third is regulation of the sector is not joined up and transparent,” said one of the executives. The verdict will give George Osborne useful political cover to cut back on green taxes in Wednesday’s Budget. The chancellor is expected to abandon the coalition’s target to increase the proportion of taxation raised from key environmental taxes in an effort to save customers and businesses billions of pounds.
FT 6th July 2015 read more »
Millions of households could have their energy bills cut by the regulator after a landmark investigation concluded that the Big Six companies have been charging about £50 a year too much for gas and electricity. The Competition and Markets Authority is on Tuesday expected to conclude its investigation into the energy sector by saying that “there are millions of customers paying too much for their energy bills – but they don’t have to”. According to industry sources, it will say that the Big Six have been able to “exploit” disengaged customers to charge prices that have been on average five per cent too high in recent years.
Telegraph 6th July 2015 read more »
The UK’s energy companies face the possibility of partial tariff regulation under measures put forward by the Competition and Markets Authority, after the authority accused suppliers of taking advantage of their disengaged customers. If the CMA’s proposed remedies, published today, are implemented in full suppliers could be forced to offer a ‘safeguard tariff’ with a fixed maximum price so that customers who have never switched from the standard variable tariff (SVT) are protected against rising costs while wider reforms are made.
Utility Week 7th July 2015 read more »
Europe
Nuclear should be reduced by 12% between 2020 and 2025. New generation capacity will actually be provided by renewable energy sources (RES). Hydro power plants generation capacity is expected to remain stable until 2025. However, wind and solar are forecast to increase respectively by 80% and 60%.
ENTSO-E 6th July 2015 read more »
Germany
We have the spectacle of Germany – a committed subsidiser of green energy – ruling out nuclear power in the wake of the Fukushima disaster, thereby ensuring that some of the filthiest coal on the planet will be burnt. The country needs back-up capacity when renewables are insufficient and nukes are absent. So it plans to use power stations powered by lignite (or “brown coal”) as back-up and pay utilities to help them absorb the costs of keeping plants open. Compensating the utilities holding lignite power in reserve is better for long-suffering shareholders than the other proposal on offer – a tax on all coal-based carbon emissions over a certain level. RWE, which owns half of Germany’s lignite-fired capacity, will be a particular beneficiary. Following the shift, Berenberg added 4 per cent to its 2017 earnings per share estimate. But the fact remains that RWE has been too slow off the mark in renewables – just 7 per cent of power output, compared with 17 per cent at Eon, for example – and is still heavily exposed to nuclear and coal. Risks remain in both. The proposed coal regime runs only from 2017 to 2021; a per-tonne levy may follow. A legal challenge against a tax on nuclear energy was rejected by the European Court of Justice (although a German court could yet rule the other way).
FT 7th July 2015 read more »
Last week’s decision on the future of the German energy policy by Sigmar Gabriel – the economics minister and Angela Merkel’s number two and would-be successor – was complicated and multifaceted. The net result, however, is simple. The German coal industry will survive and coal will remain a major, and probably the largest, fuel source for power generation for another decade and perhaps longer.
FT 6th July 2015 read more »
France
In a brief study, the French operator of the country’s nuclear plants unsurprisingly finds that backup generation capacity for fluctuating wind and solar will need to be as flexible as possible. The study also finds that the backup conventional fleet will be smaller. The 25-page study published in mid-June investigates what 60 percent renewable electricity would look like, in line with the EU’s current target of 55 percent by 2050. Because hydropower and biomass resources do not have much further potential, the growth will need to come primarily from wind and solar. Based on experience in Denmark, Germany, Ireland, Portugal, and Spain, the study finds that “the development of wind and PV as a significant impact on power system operation since the system needs to handle the intermittency of these generation sources” When wind and solar make up 40 percent of demand (with other renewables making up the remainder towards 60 percent renewable electricity), the remaining conventional generation fleet is smaller.
Renew Economy 7th July 2015 read more »
Japan
Kyushu Electric Power Co. will begin refueling one of its reactors at its Sendai nuclear plant in southern Japan ahead of a resumption of operations scheduled for August. A pre-service inspection has been completed ahead of fuel loading on Tuesday, the utility said in a statement Monday. The refueling process, usually done a month before a reactor restarts, is the next milestone as Japan moves toward returning as a nuclear-powered nation.
Bloomberg 6th July 2015 read more »
South Africa
RUSSIA is seen as the front-runner to win the right to build South African nuclear power plants that may be worth as much as $100bn. With a six-month deadline to award contracts, who’s going to pay for the country’s biggest project yet remains a mystery. Price-tag estimates for as many as eight reactors generating 9,600MW, which the government wants to begin operating from 2023 and complete by 2029, range from $37bn to $100bn. Bids are due to start this quarter, with Russia’s Rosatom seen as a leader. Areva SA, EDF SA, Toshiba’s Westinghouse Electric, China Guangdong Nuclear Power Holding and Korea Electric Power have also shown interest. The planned investment comes as the government battles to fend off a junk-grade credit rating and the Treasury seeks to rein in the budget deficit. Proceeding with the nuclear plants could result in a large increase in public debt, the International Monetary Fund warned in a June 24 report.
BD Live 6th July 2015 read more »
Energy Voice 6th July 2015 read more »
Iran
World powers and Iran are on the verge of missing another deadline in Vienna, where diplomats are in a 10th straight day of talks seeking an accord over the Islamic Republic’s nuclear program. U.S. Secretary of State John Kerry and Iranian Foreign Minister Mohammad Javad Zarif held talks until early Tuesday in the Austrian capital, along with their counterparts from China, France, Germany, Russia and the U.K. After their meeting broke up, lower-level officials and technicians continued negotiations into the night.
Energy Voice 7th July 2015 read more »
Renewables
The National Trust will invest £30m in the development of 40 clean energy projects in order to further shrink its fossil fuel usage. The investment announced today will support the development of solar energy, hydropower and biomass boilers, as part of the conservation charity’s push to become more sustainable.
Business Green 6th July 2015 read more »
Edie 6th July 2015 read more »
Renewables – onshore wind
Electricity produced by Scotland’s wind farms more than doubled in June compared to a year ago, due to more turbines and high wind speeds. Environmental groups hailed an “astonishing month” in which turbines in Scotland supplied 620,144MWh of electricity to the National Grid, a third of Scotland’s entire electricity needs for the month, according to data provided by WeatherEnergy. This figure equates to a 120 per cent increase on June 2014, which experienced much calmer conditions, and is enough to supply the needs of 70 per cent of Scottish households, representing 1.7 million homes. During six days of the month, wind generated enough power to supply 100 per cent or more of Scottish homes with the largest output coming on June 2, when Scottish turbines produced 56,446MWh, enough to supply 4.65 million homes – equivalent to 95 per cent of total Scottish electricity demand that day. The figures come after Scottish wind farms broke all records for wind power in May and in the first quarter of this year produced enough electricity to power one million homes for a year.
Business Green 6th July 2015 read more »
Renewable Energy News 6th July 2015 read more »
Energy Line News 7th July 2015 read more »
Renewables – solar
The Solar Trade Association – which recently launched a Scottish branch – has published a new clear and easy to use UK-wide checklist to give managers in commerce and industry the confidence to put solar on their roofs. Commercial and industrial roofs dominate the solar market in Europe, but in the UK commercial roofs account for only 5% of all solar deployment to date.
Scottish Energy News 7th July 2015 read more »
The UK’s solar photovoltaic (PV) capacity is set to exceed 10GW by March next year, according to new research that shows Britain remains the most “vibrant” solar market in Europe. More than 100 developers, 50 companies, and 40 investors are poised to add to the surging British solar market over the next eight months, as it continues to grow, according to a report published last week by Solar Media.
Business Green 6th July 2015 read more »
Renewables – community energy
Heartland Community Wind, a community benefit society, is offering members of the public a chance to co-own two turbines which are planned for construction near Aberfeldy. The developers will be installing two WTN 250kW turbines on the Urlar Estate, near Aberfeldy. The turbines will have a hub height of 30m and a blade length of 15m, giving a tip height of 45m. The company has extended its share offer till Friday (10 July) in order to try and reach its target of £1.8 million, having already raised £1.1 million in funding.
Scottish Energy News 7th July 2015 read more »
Local Energy
The Nuclear Free Local Authorities (NFLA) publishes today an analysis of the innovative ways Scottish Councils – urban and rural – are seeking to develop strategies and policies to drive renewable energy projects forward and deliver low carbon, non nuclear energy for Scotland. The NFLA Policy Briefing provides a snapshot of some of the work being done by six Scottish local authorities on climate and energy. Some of the work is being done through the European Union (EU) Covenant of Mayors, and some is being done to meet the commitment under the Scottish Climate Change Act to produce a Carbon Management Plan. Five of the six Councils directly mentioned in this report are NFLA Scotland members – Glasgow, Edinburgh, Fife, Western Isles and the Shetland Isles Councils.
NFLA 6th July 2015 read more »
Energy Efficiency
Businesses from the renewables and energy efficiency sectors have written to George Osborne calling for a clear statement on whether he will change VAT rates for solar panels, insulation, and other energy-saving equipment.
Edie 6th July 2015 read more »
Climate
Halting global warming without denting economic growth can be done more easily than many companies and governments realise, a report from 28 chief executives, economists and political figures shows. Volatile oil prices, plummeting renewable energy costs and other global trends have set the stage for economies to cut greenhouse gas emissions and keep growing, the study says. Up to 96 per cent of the emissions cuts needed to prevent risky global warming could be achieved by 2030 if the report’s recommendations for governments to collaborate more and build on these trends are implemented, the authors say.
FT 7th July 2015 read more »
Fossil Fuels
A group of freelance journalists is launching a new subscription-based, crowd-funded investigations unit to make up for a sharp fall in investigative reporting by traditional news media in Scotland. Called the Ferret, the web-based project said it plans to draw on successful investigative journalism collectives, including De Correspondent in the Netherlands and the Belfast-based outfit The Detail, to produce independent investigations and also stories it can sell on to mainstream outlets such as the Scottish and national press, Channel 4 News or the BBC. It launches formally on Tuesday with a crowd-funding appeal on the Indiegogo website to raise £3,800 to fund its first investigation into Scotland’s fracking industry. That subject was chosen over NHS cuts and treatment of asylum seekers after the Ferret ran a public ballot last month.
Guardian 6th July 2015 read more »
Angel Gurría, secretary-general of the OECD, gave a tour-de-force speech in London on 3rd of June 2015 as part of the organisation’s build-up to COP21 in Paris. He drew upon “Aligning Policies for a Low-carbon Economy, an OECD report that was produced with the International Energy Agency, the Nuclear Energy Agency and the International Transport Forum, but his speech was not a dry litany of managerial tweaks that civil servants might make to public policy. Gurría challenged assumptions about the impact of a low-carbon energy system on economic growth, business competitiveness, and also development goals. “There’s a flawed but deeply rooted idea that development comes before decarbonisation. That there is a certain inevitable sequence. While developing economies will inevitably increase their emissions, there is no iron law in the 21st century that it has to be as fossil intensive as it has been in the past. Viable alternatives are already commercially available.” He bemoaned the lack of a price on carbon and the scale of investment into unabated coal-fired electricity generation.
SPRU 6th July 2015 read more »
