EU Energy Policy Blog

Grids are already developing offshore, and this development will continue even though at what pace and how they will develop is still uncertain. Indeed, there are different possible configurations for a future offshore grid: it can be a simple multiplication of standalone lines that provide each a single service (either connection of generation, or connection between transmission grids); or it can be a more integrated infrastructure like an offshore meshed grid that combines and interconnects dozens of offshore lines and generation units (hereafter combined solution). Continue reading »

One outcome of the recent Durban climate negotiations is a non-binding agreement to reach an agreement by 2015 that will bring all countries under the same legal regime by 2020. This “Durban Platform for Enhanced Action” – has opened an important window. To explain what I mean requires a brief review of some key points from twenty years of history of international climate negotiations.

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Could Fukushima put an end to the French exception? Everybody in France is now talking about, and arguing for or against, a prospective nuclear phase-out. Political Candidates running for the next presidency defend their affirmative or negative position on this issue with figures published in several recent studies assessing the investment costs of an eventual a potential phase-out, as opposed to a continuation of the current power generation model. Unsurprisingly, the numbers differ. Why?

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The U.S. Energy Information Administration’s forecasts can be used as a pre-fukushima baseline scenario. They use the year 2035 as their terminal year. This is unfortunate and potentially misleading. Many existing nuclear plants (essentially all existing U.S. plants) will retire within a few years after 2035, even if they are able to secure 20-year license extensions. This means that sustaining nuclear’s share of total electricity generation, would require substantial construction of new nuclear plants well before midcentury both to meet growing electricity demand and to replace retiring units. Continue reading »

Huge investments in new transmission power lines are required on both sides of the Atlantic in the next two decades. Financial, technological and regulatory uncertainties jeopardise their timely implementation. The European Commission (EC) and the Federal Energy Regulatory Commission (FERC) have recently started to design a more favourable regulatory framework. Will they succeed? And do their proposals differ? Continue reading »

South Korea’s rapid ascent to join the ranks of the developed economies of the world has been nothing short of miraculous. With a per capita GDP of $31,750, its citizens make more than the average European, based on purchasing power parity (PPP), a fact that surprises many. In stark contrast to its improvised neighbor to the north, the country is blessed with a dependable electricity delivery infrastructure that is the envy of many. Power shortages afflicting other parts of the world are unheard of in Korea, which enjoys low – albeit subsidized – electricity prices.
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Immediately following the earthquake and tsunami residents within 20 kilometers (km) (12. 4 miles) of Fukushima Dai-ichi were evacuated and those between 20 and 30 km (12.4 to 18.6 miles) were advised to remain in their homes as shelter or voluntarily evacuate. Subsequently, the Japanese government considered extending the evacuation zone to 30 km but ended up establishing a 20 milli-Sievert per year (mSv/y) or 2 rem/y dose limit for establishing which areas would be evacuated.
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There is little disagreement that, with a few exceptions, renewable energy technologies tend to be more expensive than conventional options, especially considering their intermittent and unpredictable nature, which often requires backup generation or storage. Their main selling point is that they are non- or significantly less polluting. Renewables gain comparative advantage if a price were put on greenhouse gas emissions. This has always been among the main arguments for providing subsidies and encouraging their growth.
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The European Union is wracked by sovereign debt, budget deficits, monetary weakness, slow economic growth, trade deficits with the Emerging economies, an ageing population, and mass unemployment – but it has the supposedly proud role of world leader in Green Energy Transition. The main goal of this is reducing dependence on fossil fuels and increasing dependence on new, renewable, unconventional, alternate and “low carbon green” energy sources and systems, and improving energy efficiency, conserving energy and rationalising the energy economy.
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China may not be where cutting edge research takes place or innovative technologies emerge, and Chinese manufacturers are not usually the first to develop and market new products. But once they identify a product as globally marketable, Chinese manufacturers typically copy and apply reverse engineering techniques and then undercut their Western competitors in their own markets. With substantially lower wages, they can be fierce competitors. This pattern is repeated to one product after another, and in one market after another. A recent example is the market for utility-scale wind turbines where China has made impressive progress in the last few years.
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