Siemens puts brakes on UK wind after Brexit
Siemens has chosen to freeze its UK wind power operations following the vote to leave the European Union — and plans to keep them frozen until future trading arrangements are clarified.
The company was due to open a £310 million turbine manufacturing hub in Hull next year, which it has said will still go ahead.
However, Europe’s largest engineering firm wants greater certainty with regards to the future of exports before it will continue investment in the UK.
“We are 100 percent committed to our investment in Hull and the 1,000 new jobs” said Juergen Maier, CEO of Siemens UK.
“We have already hired 300 there. So far, Hull is primarily focused on the domestic market. However, if we and very importantly a much wider offshore industry located in the Humber, want to export in the longer term, we need to understand what the arrangements, such as for export and EU funded R&D, are between the UK and the EU.”
The Guardian has reported that Denmark’s Dong Energy, the biggest investor in UK offshore wind, does not “believe that UK energy policy is dependent on EU membership”.
Regardless of differing beliefs on the impact of 'Brexit', Siemens’ Head of External Communications, Anne Keogh, has urged the UK to move swiftly to agree the nature of its relationship with the EU and other trading partners.
Image courtesy of Siemens.
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.