Aug 2, 2012

Wind Energy's Tax Break Gets Extended

Admin
2 min
    Although it's been a tough year for companies in alternative energy, the wind indust...

 

 

Although it's been a tough year for companies in alternative energy, the wind industry's latest victory came Thursday after the Senate Finance Committee voted to renew a tax credit for wind power that was set to expire at the end of the year.

Several Republicans joined Democrats to support extending the credit for another year at the cost of $3.3 billion. The production tax credit is a vital subsidy to the wind industry's ability to become more competitive with electricity generated from fossil fuels.

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Earlier in the week, a Romney campaign spokesman said that Mr. Romney would end the subsidy. “Mitt Romney believes it is time for a new approach to ensure our nation’s energy independence,” the spokesman, Shawn McCoy, told The Des Moines Register. “He will allow the wind credit to expire, end the stimulus boondoggles and create a level playing field on which all sources of energy can compete on their merits.”

However, red states generally disagree. Wind turbines are more common in Republican legislative districts than Democratic ones, with over 81 percent of the nation's installed wind capacity in Congressional districts represented by Republicans, according to the American Wind Energy Association.

“We applaud the committee for this act of leadership to move critical policies forward in a difficult environment,” Denise Bode, the wind association’s chief executive, told the New York Times. “This was an extremely important step to provide critical certainty to keep people at work in wind energy manufacturing and construction.”

This year, 10 to 12 gigawatts worth of wind power are expected to be installed, up to three times the amount of power had the credit expired.

 

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Jun 7, 2021

Trafigura and Yara International explore clean ammonia usage

Shipping
fuel
Decarbonisation
ammonia
Dominic Ellis
2 min
Commodity trading company Trafigura and Yara International sign MoU to explore developing ammonia as a clean fuel in shipping

Independent commodity trading company Trafigura and Yara International have signed an MoU to explore developing ammonia as a clean fuel in shipping and ammonia fuel infrastructure.

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.

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