£557mn for new renewable energy projects, British Government confirms
For the next clean electricity auctions, the British government has confirmed that up to £557 (US$740mn) will be set aside for less established renewable projects.
This is in preparation for the launch of the Clean Growth Strategy, which will be published this week. The strategy will build on the UK’s success of a growing economy – by two thirds – and reduction of emissions – by a third – since the 1990s.
The government plans for the Clean Growth Strategy to benefit the whole country with new jobs, businesses, and technologies that are not only good for consumers and the economy, but are also environmentally-friendly.
Richard Harrington, the UK’s Energy Minister, confirmed that up to £557mn will be made available for less established renewable electricity projects, in order to continue driving economic growth and clean up the energy system.
“The government’s Clean Growth Strategy will set out how the whole of the UK can benefit from the global move to a low carbon economy,” stated Mr Harrington.
“We’ve shown beyond doubt that renewable energy projects are an effective way to cut our emissions, while creating thousands of good jobs and attracting billions of pounds worth of investment.”
In the Contracts for Difference auctions, developers will compete for up to £557mn. The first auction created over 3GW of new generation, enough to power 3.6mn homes, and the latest concluded with new offshore wind cost falling by 50%.
Low carbon generation provided 52% of the UK’s electricity over the summer, National Grid reported. The UK is also decarbonising at a faster rate than any other G20 nation.
The next Contracts for Difference auction is planned for spring 2019.
Trafigura and Yara International explore clean ammonia usage
Reducing shipping emissions is a vital component of the fight against global climate change, yet Greenhouse Gas emissions from the global maritime sector are increasing - and at odds with the IMO's strategy to cut absolute emissions by at least 50% by 2050.
How more than 70,000 ships can decrease their reliance on carbon-based sources is one of transport's most pressing decarbonisation challenges.
Yara and Trafigura intend to collaborate on initiatives that will establish themselves in the clean ammonia value chain. Under the MoU announced today, Trafigura and Yara intend to work together in the following areas:
- The supply of clean ammonia by Yara to Trafigura Group companies
- Exploration of joint R&D initiatives for clean ammonia application as a marine fuel
- Development of new clean ammonia assets including marine fuel infrastructure and market opportunities
Magnus Krogh Ankarstrand, President of Yara Clean Ammonia, said the agreement is a good example of cross-industry collaboration to develop and promote zero-emission fuel in the form of clean ammonia for the shipping industry. "Building clean ammonia value chains is critical to facilitate the transition to zero emission fuels by enabling the hydrogen economy – not least within trade and distribution where both Yara and Trafigura have leading capabilities. Demand and supply of clean ammonia need to be developed in tandem," he said.
There is a growing consensus that hydrogen-based fuels will ultimately be the shipping fuels of the future, but clear and comprehensive regulation is essential, according to Jose Maria Larocca, Executive Director and Co-Head of Oil Trading for Trafigura.
Ammonia has a number of properties that require "further investigation," according to Wartsila. "It ignites and burns poorly compared to other fuels and is toxic and corrosive, making safe handling and storage important. Burning ammonia could also lead to higher NOx emissions unless controlled either by aftertreatment or by optimising the combustion process," it notes.
Trafigura has co-sponsored the R&D of MAN Energy Solutions’ ammonia-fuelled engine for maritime vessels, has performed in-depth studies of transport fuels with reduced greenhouse gas emissions, and has published a white paper on the need for a global carbon levy for shipping fuels to be introduced by International Maritime Organization.
Oslo-based Yara produces roughly 8.5 million tonnes of ammonia annually and employs a fleet of 11 ammonia carriers, including 5 fully owned ships, and owns 18 marine ammonia terminals with 580 kt of storage capacity – enabling it to produce and deliver ammonia across the globe.
It recently established a new clean ammonia unit to capture growth opportunities in emission-free fuel for shipping and power, carbon-free fertilizer and ammonia for industrial applications.