Renewable Energy & Greenhouse
Renewable Energy & Greenhouse Update
25 August 2004Contents
Australia
Ministerial Council debates regulation of geosequestration
Federal and state governments recently convened at the Ministerial Council for Mineral and Petroleum Resources to discuss the regulatory and legal liability issues associated with geosequestration. Geosequestration involves the capture of carbon dioxide emissions from power stations, compressing it into a liquid form and then injecting it under pressure into deep underground geological formations. The Federal Government's recent Energy White Paper, Securing Australia's Energy Future, implicitly targeted geosequestration as a key greenhouse gas abatement measure for the future. ChevronTexaco, Shell and Exxon-Mobil have indicated their intention to develop the world's largest geosequestration project off the coast of Western Australia.A series of draft principles arising from the Ministerial Council meeting are expected to be released shortly. According to the Australian Financial Review (6 August 2004), legal responsibility for a carbon dioxide dump will be shifted from the company running the project to the government, once it is established that the risk of leakage is acceptably low. After the site has been closed, primary responsibility will lie with the government, although some residual liability may remain with the proponent.
For further information on the legal issues associated with geosequestration, please see the feature article, of Environment Quarterly: August 2004, 'Geosequestration — some regulatory and legal issues'.
Clean coal possible through squeezing
According to The Age (4 August 2004), scientists from the Cooperative Research Centre for Clean Power from Lignite (CRC CPL) have successfully trialled a technique that may reduce greenhouse emissions from power generation by brown coal. The reduction arises by drying the coal through a process of mild heating and squeezing, before burning it in the power station. Under this process greenhouse emissions are reduced by approximately one-third. CRC CPL is now working on a design for a continuous-feed pilot plant capable of drying 15 tonnes of coal per hour, as a test for the future industrial application of the technology.Federal Government launches solar initiative
Federal Parliamentary Secretary to the Minister for Industry, Tourism and Resources, Warren Entsch, has released a solar Photovoltaic Roadmap that sets a 'Sunrise Vision' for the future of solar power in Australia. The Roadmap specifies targets over the next 20 years to establish power from the sun as a mainstream energy source. Globally solar power has grown at a rate of approximately 30 per cent each year for the past decade. In Australia, solar energy output is targeted to rise from the current level of 46 megawatts to 6,700 megawatts by 2020.Doubt over Adelaide as the solar city
According to a report by The Advertiser (9 August 2004), doubts have been raised about Adelaide's role as the focal point for the Federal Government's $75 million solar cities trial. The solar cities trial was announced under the Federal Government's recent Energy White Paper, and proposes to give incentives to incorporate solar and energy efficient technologies into residential and commercial buildings. Senior government members had indicated that Adelaide would be the prime location for the trial. However, senior Australian Greenhouse Office members now say that its role is 'not at all' a certainty.Moratorium demanded on new coal fired power projects
An alliance of environmental organisations, including Climate Action Network Australia and Greenpeace, have urged federal and state governments to impose a moratorium on new coal fired power station proposals around Australia. There are currently five proposed new stations, and plans to extend the life of the Hazelwood mine in Victoria for an extra five years. In total, these projects are expected to increase the sector's greenhouse gas emissions by a further 20 per cent.In brief
- Australia to rely on oil and coal until 2020. Australian Bureau of Agricultural and Resource Economics has released a report on energy trends to 2020, stating that Australia will depend on oil and coal for approximately 70 per cent of its energy needs until 2020.
- Study outlines possible 75 per cent reduction in coal fired electricity by 2040. A study commissioned by the Clean Energy Future Group, which includes organisations such as the Australian Business Council for Sustainable Energy, Australian Wind Energy Association, and Renewable Energy Generators of Australia, has proposed methods to reduce reliance on coal fired electricity in Australia by 75 per cent by 2040. The study concluded that biomass, natural gas, wind, hydro, and solar heat should be the main contributors to clean energy.
- Australia signs memorandum of understanding on climate change with China. Australia and China have agreed on six new projects to combat greenhouse gas emissions under a memorandum of understanding. The projects range from using satellite imagery to help measure greenhouse emissions from farms, to assisting China to formulate a national climate-change strategy.
- Australia joins partnership to reduce methane emissions. Australia has joined a partnership with eight countries, including the United States, United Kingdom, and India, to develop and promote cooperation on the recovery and use of methane. The partnership aims to reduce potential net methane emissions by up to 50 megatonnes of carbon dioxide annually by 2015.
- Renewable energy companies moving offshore. According to Professor Andrew Blakers, director of the Centre for Sustainable Energy Systems at the Australian National University, Australian renewable energy companies are moving offshore since the Federal Government recently released its Energy White Paper. According to Blakers, 'buried-contact technology has gone to Spain, CSG solar cells to Germany, evacuated tubes to China, and titania cells to Switzerland.'
- Tarong Energy confirms Mt Millar wind power project. Queensland company Tarong Energy has formally announced that it will proceed with the construction of its 70 megawatt Mt Millar wind farm project on the Eyre Peninsula, South Australia. The farm will contain 35 wind turbines at a cost of approximately $130 million.
- Funding approved for Bremer Bay wind power project. Funding has been finalised for Western Power to construct a single 600 kilowatt wind turbine at Bremer Bay, south-east of Perth. The project is valued at approximately $5.2 million and is expected to be operating by the end of 2004.
- Revesco to invest in greenhouse emissions market. Minerals explorer Revesco will invest in the market for greenhouse gas emission through a new entity, CO2 Australia, in partnership with the Oil Mallee Company of Australia. CO2 Australia will establish mallee eucalypt plantations on wheat farms in order to earn carbon credits. Carbon credits will be sold to carbon producing industries to allow the balancing of emissions with sequestration opportunities. The project relies on the proposed NSW carbon trading scheme, and larger companies intending to implement national and international carbon trading strategies.
- Sugar mill deal signed. Ergon Energy and Tully Sugar Ltd have signed Australia's longest power supply deal between an energy company and a sugar mill. Under the deal, Tully Sugar Ltd will burn 205,000 tonnes of sugar cane residue to generate 40,000 megawatts of electricity over the crushing season. The deal follows the announcement that Ergon Energy will build a $23 million cogeneration plant at the Isis Central Sugar Mill, north of Brisbane.
International
US presidential nominee John Kerry articulates energy policy
Presidential nominee John Kerry has outlined the major tenets of his energy policy. According to The Economist (14 August 2004), Kerry has set a target of 20 per cent for renewable energy use, focusing mainly on wind and solar power. Approximately $30 billion will be spent to subsidise car makers and utilities to convert plants to cleaner technologies and to encourage Americans to buy cleaner cars. Caps on emissions of greenhouse gases will be introduced, however, regulation will focus on market-friendly approaches such as carbon trading in order to minimise any impact on the economy.UK Government releases carbon sequestration paper
The UK Government has released a consultation paper on energy efficiency and carbon sequestration. It aims to have carbon dioxide capture and storage methods ready for the EU emissions trading scheme by 2020. Defunct oil and gas wells in the North Sea are regarded as a suitable location for future carbon storage.Greenland icecap to melt by 2050
According to academics at the University of Reading, England, enough greenhouse gases could be in the earth's atmosphere by 2050 to melt the ice-sheet that covers Greenland. The group estimates that Greenland is likely to pass a threshold of warming, whereupon the ice-sheet cannot be sustained unless greater reductions are made in emissions of greenhouse gases. Greenland's average temperature only needs to increase by three degrees celsius to melt the ice sheet.Record conversion for solar power generation
Japanese firm Kyocera Corp has developed a polycrystalline silicon solar panel capable of converting 15.7 per cent of sun rays into electricity. This represents the highest conversion rate attained by such a panel, and surpasses the previous record by Sharp Corp of 14.8 per cent in July 2004. The increased conversion rate derives from an improvement in the purity of silicon, and the flow of electricity in the panel.In brief
United States
- The California Environmental Protection Agency proposes to add solar power to one million homes in the next 10 years, by requiring consumers to pay a surcharge on their electricity bills. Rebates will be granted to home builders who install solar panels on new homes, and incentives will be extended for installing panels on existing homes.
- The California Independent System Operator has approved a new transmission line that will deliver up to 1,100 megawatts of wind power to the state. The new line will carry power from new wind turbine generators planned for the Tehachapi and Antelope Valley area in southern California.
United Kingdom
- A $50 million fund has been allocated to develop wave and tidal power as a future source of renewable energy. The fund will assist companies with research and development, and focus on creating more marketable products and services.
- A review of the Renewables Obligation (RO) will commence at the end of 2004. The RO requires all electricity suppliers to produce a specified and increasing amount of energy from renewable sources. The review is aimed at improving the RO's effectiveness and targets beyond 2015.
- Institutions and investors are being asked to fund a series of tidal power projects off the north-west coast of Scotland. Tidal and wave power is considered by the government to be the most likely source of second generation renewable energy technology to rival wind power.
New Zealand
- New Zealand's largest wind power project, the Te Apiti wind farm in the Ruahine Range, has now commenced operation. Meridian Energy invested approximately NZ$100 million in the project. Te Apiti is the first wind power project in New Zealand to contribute power to the national grid, and will provide electricity to 32,000 homes by the end of 2004.
- According to the New Zealand Herald (29 July 2004), Meridian Energy may revive the controversial Aqua power scheme in the Waitaki Valley. Although it was announced in March 2004 that the 524 megawatts proposal would not go ahead, resource consent applications have not been withdrawn, and the Aqua project will still be put before a water allocation board for consideration.
- According to the New Zealand Herald (30 July 2004), power company Top Energy is reviewing a Northland Regional Council decision to refuse the company's application to take additional fluid from the Ngawha geothermal field to power a station expansion. The company had previously sought consent to take and re-inject up to 775,000 tonnes of geothermal fluid a month in order to expand output from 10 megawatts to 25 megawatts.
- The New Zealand Government, national grid operator Transpower, electricity generators, and large electricity users will sign a voluntary agreement to minimise emissions of suphur hexafluoride (SF6), the most potent greenhouse gas. Under the agreement the users undertake to adopt best practice guidelines to minimise SF6 emissions, and set and meet emissions targets.
Germany
- A new law on renewable energy has come into effect. It aims to contribute to a reduction of CO2 emissions by 40 million tonnes annually by 2010, and to improve the investment framework for solar power, wind and hydro power, bio energy, and geothermal power. Germany aims to produce 12.5 per cent of its total power from renewable energy by 2010, and at least 20 per cent by 2020.
Spain
- The Spanish industry ministry has announced that it will review the country's renewable energy policy with a view to increase output by 2010. Objectives include tripling wind generation and biodiesel production.
Japan
- Mitsubishi Heavy Industries has announced that it will build Japan's largest wind turbine by March 2005. The wind turbine will have a diameter of 92 metres and a rotor capable of generating 2.4 megawatts of electricity. The wind turbine will be installed on a 70 metre high tower, and at the highest point the rotor's blades will be approximately 116 metres above the ground.
- According to Point Carbon, local and national governments are attempting to promote the use of biomass as an energy source that can reduce greenhouse emissions and develop new industries. A comprehensive strategy to increase the use of biomass energy was drafted by the Japanese government in December 2002, and plans are underway to construct two biomass power stations in the Aomori Prefecture.
Korea
- The South Korean Government will use tax incentives to encourage companies to use alternative energy sources. The programme is valued at approximately US$40 million, and focuses on energy conservation technologies such as co-generation. It will run for three years, and includes a plan to require the corporate sector to use more efficient energy sources in their production facilities by 2008.
Philippines
- The Asian Development Bank (ADB) and the Philippines Government have developed a project to supply power to eight off-grid villages that currently depend on kerosene, batteries and candles for energy. Eight renewable energy systems will be set up in the villages, harnessing micro hydropower, solar, biomass and wind systems.
Malaysia
- According to The Star, carbon dioxide emissions from energy production are projected to surge four-fold between 1994 and 2020 if current practices are maintained. Dwindling natural gas supplies are being replaced by increased coal use. Between 2005 and 2010, coal use will double from 21 per cent to 41 per cent.
Iran
- The Iranian Government has ratified a bill to implement the Kyoto Protocol. According to the Islamic Republic of Iran Broadcasting, through altering the process of industrial technology and energy production, Iran has already made efforts to meet the Protocol's objectives. It will formally ratify the Protocol shortly.
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