Natural gas vehicles receive President's support
President Obama urged Congress to support the construction of natural gas fueling stations for American cars and trucks during his recent State of the Union Address. The President spoke of the important role natural gas has played in his “all-of-the-above” energy strategy to create new jobs, reduce our dependence on foreign oil and help curb climate change.
“We are pleased to hear the President encourage the use of clean and affordable domestically produced natural gas in our cars and trucks," said Richard Kolodziej, president of NGVAmerica. “The natural gas vehicle market is growing, but the support of Congress would help accelerate the transition to a transportation fuel that is clean, abundant and domestic.”
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One of the ways Congress can help accelerate the development of natural gas fueling infrastructure is by reinstating the natural gas fuel and infrastructure tax credits that recently expired. NGVAmerica encourages Congress to reinstate these credits, which include a 50 cent credit per gasoline gallon equivalent (GGE) for the sale of natural gas as a motor fuel and a credit for 30 percent of the cost of installing new natural gas refueling equipment for up to $30,000.
Congress can also accelerate the transition to natural gas by passing legislation to improve the federal excise taxes on the sale of liquefied natural gas (LNG) and the incremental cost of heavy duty natural gas trucks.
“Congress plays an important role in passing legislation that removes barriers in our industry and helps solve important policy issues,” said Kolodziej.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.