Category: Energy Matters

The twentieth century way of life has been made available, largely due to the miracle of cheap energy. The price of energy has been at record lows for the past century and a half.As oil becomes increasingly scarce, it is becoming obvious to everyone, that the rapid economic and industrial growth we have enjoyed for that time is not sustainable.Now, the hunt is on. For renewable sources of energy, for alternative sources of energy, for a way of life that is less dependent on cheap energy. 

  • US officials consider burning oil slick

    US officials consider burning oil slick

    Posted 25 minutes ago

    Officials say they may set fire to a vast oil slick in the Gulf of Mexico to prevent what could become one of the worst ecological disasters in US history.

    A BP oil rig exploded and sank last week and the equivalent of at least 1,000 barrels of oil are flowing from a leaking well each day.

    The oil slick is now approaching the ecologically fragile coast of Louisiana.

    US Coast Guard spokeswoman Connie Terrell says so far they are not having any luck sealing the leaks.

    “We have a remotely operated vehicle down there that is trying to pump some liquid in there, some hydraulic fluid and build pressure to close a hydraulic valve,” she said.

    “To date they haven’t been able to do that. We had a drill rig come on board and they’re planning to possibly drill a relief well.”

    BBC

  • Women Solar Entrepreneurs Transforming Bangladesh

     

    “The solar home system plays a very effective role in bringing ‘green’ electricity to rural households. Better lighting facilitates children’s education and helps women to work and cook. It also enables women to take part in income-generating activities after dark.”

    — Dipal Barua, Bright Green Energy Foundation

    To realize this vision, the 55-year old Barua has recently founded the Bright Green Energy Foundation. It’s the latest step in an illustrious career working to bring sustainable development to the people of rural Bangladesh. Barua was one of the founding members of the Grameen Bank, the Nobel prize-winning, micro-finance and community development bank that was launched in his home village of Jobra in 1976.

    “I have devoted most of my life to finding sustainable, market-based solutions to the social and economic problems faced by rural people”, says Barua. “I came to realize that a lack of access to efficient energy sources was one of the major obstacles to their development. More than 70% of my country’s rural population has to depend on primitive energy sources. This limits people’s economic opportunities and damages their health.”

    In 1996, Barua founded Grameen Shakti, a non-profit organization with a mission to promote, develop, and supply renewable energy.

    As managing director, Barua built Grameen Shakti into one of the largest and fastest-growing renewable energy companies in the world. But, as he recalls, attempts to market photovoltaic solar home systems on affordable terms initially faced numerous obstacles. “No enabling environment existed for spreading renewable energy technologies in rural areas. People had no awareness, costs were high, technical knowledge was low, and there was no infrastructure.”

    “We had to create goodwill and gain the trust of the rural people. We trained our engineers to be ‘social engineers’ who went from door-to-door to demonstrate the effectiveness of renewable energy. We trained local youth as technicians to ensure that people would have efficient and free after-sales service right on their doorstep.”

    In a country where approximately 40% of the population lives on less than US$1.25 a day, the cost of even the most basic solar home system — 15,000 Bangladeshi Taka (US$217) — was daunting for many rural households. Barua remembers trying to convince potential customers to invest in solar power systems. “I told people that for the cost of the kerosene they were buying to light their homes, they could buy a solar home system that would last for 20 years or more.”

    Grameen Shakti received a huge boost in 2002 when low-interest loans from the World Bank and the Global Environment Fund enabled the organization to begin scaling-up its provision of micro-finance agreements. The most popular of a number of options to purchase a solar home system on preferential terms proved to be one with a down-payment of 15% and monthly repayments of the remainder over three years.

    By the end of 2009, more than 300,000 solar home systems had been installed, bringing electricity to more than two million people.

    “The solar home system plays a very effective role in bringing ‘green’ electricity to rural households. Better lighting facilitates children’s education and helps women to work and cook”, says Barua. “It also enables women to take part in income-generating activities after dark.”

    And, as Barua points out, the impact on incomes is not restricted to households. “Shops and small businesses have also installed solar home systems in order to stay open after sunset.”

    In recent years Grameen Shakti diversified, starting a biogas programme to provide cooking gas, electricity, and organic fertilizer, and an improved cooking stove programme to reduce indoor air pollution and the amount of wood needed for cooking fuel. By the end of 2009, more than 7,000 small biogas plants and 40,000 improved cooking stoves had been installed.

    Key to Grameen Shakti’s success was the deliberate drive to involve women in both the take-up of renewable energy, and the installation and servicing of the energy systems. As Barua remarks, “Women are the main victims of the energy crisis. They are the ones who suffer most from indoor air pollution, drudgery, and a lack of time because of the onerous tasks of wood-gathering and cooking. We believe that women should be transformed from passive victims into active forces of good to bring changes in their lives and the communities in which they live.”

    At over 40 technology centres based in rural areas, and managed mostly by female engineers, women undergo an initial 15-day course to learn how to assemble charge controllers and mobile phone chargers, and to install and maintain solar home systems. With further training, they are able to repair the systems. Over 1,000 women technicians have come through the programme, and they have been instrumental in the rapid take-up of the solar power systems.

    For Barua, the success of the women technicians programme is one of his most satisfying achievements. “When we started this programme, we were not sure whether we would be able to attract enough rural women or whether they would be able to operate independently. But we trained more than 1,000 women who have developed their self-confidence and now have the opportunity to earn an income of around US$150 a month. These young women from this most conservative of societies can leave home and operate independently as technicians – this was unimaginable only a few years ago.”

    In 2009 Dipal Barua won the Abu Dhabi government’s Zayed Future Energy Prize in recognition of his work to bring renewable energy technologies to rural people. Part of the prize was an award of US$1.5 million, and Barua has used this money to start the Bright Green Energy Foundation.

    He plans to build on Grameen Shakti’s success, and wants to train 100,000 women, so that they can establish their own renewable energy businesses. “My aim is to provide technical and financial assistance to rural women so they can become ‘green’ entrepreneurs.”

    Barua says the Foundation will take renewable energy technologies to the next level of development. “We envisage a future where every household and business in Bangladesh will have access to environmentally-friendly and pollution-free energy at an affordable cost.”

    He concludes, “If I succeed, Bangladesh will become the land of renewable energy technologies, as it is now the land of micro-credit – a source of inspiration for all. This would be a very positive demonstration of what renewable energy can do for disadvantaged people around the whole world.”

    Interview by Charles Arthur, UNIDO.  This article was originally published by MakingIt Magazine and was reprinted with permission.

  • Rudd must stop punishment of solar pensioners

    27 April 2010

    Rudd must stop punishment of solar pensioners

    Greens Leader Senator Bob Brown says he will move in the
    Senate to stop pensioners and small investors being penalised for
    selling solar power into the electricity grid.

    In New South Wales, pensioner Don Campbell, who invested
    $11,000 in solar panels has been told by the federal government his
    pension will be docked if he sells electricity into the grid.

    “Yet the Rudd government’s own proposal is to give $24
    billion to big corporate polluters who take action to reduce greenhouse
    gas emissions – it’s a double standard,” Senator Brown said.

    Senator Brown said the government should encourage
    everyone to invest in renewable energy and back state governments who
    set up “feed-in” laws to buy such electricity.  Better still, he should
    stop blocking the Greens’ proposal for national ‘feed-in’ laws as they
    have in Germany.

    Media contact: Erin Farley 0438 376 082

    _______________________________________________
    GreensMPs Media mailing list

  • Pensioners hit for solar bonus

    NB   (How mean is this)

    Pensioners hit for solar bonus

    Updated: 07:04, Monday April 26, 2010

    Pensioners hit for solar bonus

    Pensioners will have their payments cut if they sell excess electricity from their solar electricity systems, the federal government has confirmed.

    Former policeman Rod Campbell, 63, collect’s a carer’s pension while looking after his wife, and spent $11,000 to install solar panels on his home in the NSW town of Port Macquarie.

    He said he discovered the government’s rules would lead his pension to be cut.

    ‘The government preaches that it wants you to cut your carbon footprint and as soon as you do it they punish you for it,’ Mr Campbell told the Herald Sun.

    Mr Campbell said the issue was confirmed in a letter from the office of Families Minister Jenny Macklin, which said the social security test applied to any money from an electricity company ‘either as a direct payment or as a credit or rebate on a person’s electricity bill’.

    ‘We could suffer a loss of pension for trying to do a good thing,’ Mr Campbell said.

    A spokeswoman for Ms Macklin said: ‘If a pensioner sells power back to the grid and receives cash payments or a rebate on their power bill that is counted as income for social security purposes.’

    Family First Senator Steve Fielding said the situation was ‘penny pinching by a stingy government’ at a time when pensioners faced rising electricity prices.

    ‘People have done the right thing and signed up to help the environment like the PM wanted them to and now they’re being penalised for it. It’s just disgusting,’ he said.

  • Wind industry disputes ‘quick’ UK planning process claim

    Wind industry disputes ‘quick’ UK planning process claim

    Ecologist

    22nd April 2010

    European report ranks UK application process for wind farms as amongst quickest, ahead of Spain and Portugal

    It takes nearly two and a half years to get planning consent for an onshore wind farm in the UK – a year less than the European average – according to a report released by the European Wind Energy Association (EWEA).

    At 26 months, the UK application process for wind farms is one of the quickest in Europe, taking half the time of Spain, Greece and Portugal.

    But the trade association for the UK’s renewable sector said the figures
    were misleading because they didn’t show the actual number of applications being approved. 

    ‘These sort of statistics don’t show us the refusal ratio which is 75 per
    cent in the UK,’ said a spokesperson for wind industry body, Renewable UK. ‘Spain, which according to this league table is amongst the slowest in Europe has 5 times more onshore wind capacity than the UK.’ 

    Stuck in system

    Renewable UK also pointed to a continuing disparity between the application times for wind farms and other large infrastructure projects in the UK.

    ‘Around 75 per cent of large projects, such as supermarkets, and housing estates, get decided within the 16 week guideline period, compared to 7 per cent of wind farm projects.

    ‘There are currently 10 gigawatts (GW) of wind energy stuck in the planning system, that’s £15 billion worth of investment,’ the spokesperson added.

    A leading wind farm developer said the planning system was ‘holding back’ growth in the UK wind energy sector and warned that the figure of 26 months may be skewed by the number of quick refusals.

    ‘An analysis of five of our projects that have received consent gives an average time in planning of 41 months,’ said Rachel Ruffle of RES. 

    As well as application times, the study investigated the number of
    authorities with which wind farm developers needed to liaise during the planning process. In the UK, developers liaised with 15 authorities, in contrast to five in Denmark and 41 in Greece.

    EU targets

    In light of the report, the EWEA has called on member states to streamline their consent procedures if they are to reach 20 per cent renewables in overall EU energy consumption by 2020.

    ‘There are a number of actions all member states could take: creating a one-stop-shop approach to contacting different authorities, writing clear
    guidelines for developers, and introducing better and streamlined planning procedures,’ said Justin Wilkes, EWEA Policy Director.

    According to the study, the planning application time for offshore wind farms were half those of onshore winds farms.

    This is borne out by today’s announcement that the UK offshore wind industry has already reached 1GW of capacity, powering 700,000 homes.

  • An Update on China’s Alternative Energy Vehicle Industry

     

    Even if some Chinese automotive analysts’ modest estimates are to be accepted — that in ten years time, the alternative vehicle segment of the Chinese vehicle market will only account for 10-20% of all sales — it will be a huge market nevertheless.  And as China continues its rapid adoption of wind, solar and hydroelectricity, electric vehicles increasingly will become the renewable transportation choice.

    The {Revitalization and Readjustment Program for the Automotive Industry}, which was issued on March 20, provides a three-year blueprint for the development of the Chinese alternative energy vehicle industry.  The Automotive Industry Program anticipates that capacity to produce alternative energy vehicles (all electric, electric/hybrid, gas/hybrid and ethanol/methanol powered vehicles) will reach 500,000 units/year by 2011.  The program anticipates that sales of alternative energy vehicles will account for approximately 5% to 10% of total vehicle sales in China in 2011.   By 2012 the output value of alternative energy vehicles is expected to reach 500 billion Yuan [~US $75 billion].

    In addition to subsidies for the purchase of alternative energy vehicles, the Automotive Industry Program will support the establishment of model programs in large and mid-sized cities throughout China for the preferential purchase of alternative energy vehicles for public transportation (including taxis) and for vehicles used by government offices, health care, mail and other public facilities.  The Automotive Industry Program also will support the development of charging stations within Chinese cities (a trend that the state-owned sector already is pursuing vigorously). The Chinese government anticipates investing some 10 billion Yuan [US $1.46 billion] in technological research and development in the industry in order to achieve world-class levels of market penetration, technology and manufacturing. 

    The {Development Plan for Alternative Energy Vehicles}, which was expected to be issued by the end of March 2010, was delayed and will not be released until at least July, 2010.  We know that the plan will include connection standards for electric vehicle recharging, subsidies to encourage alternative vehicle purchases by Chinese consumers and measures to encourage the development of a robust auto parts industry.  (With respect to subsidies, there appears to be a consensus that any vehicle that conserves energy—all electric or hybrid vehicles and natural gas, ethanol, methanol or fuel cell-powered vehicles—will be eligible for a subsidy of between 3000 Yuan and 60,000 Yuan, approximately US $400 to $8,700).  

    In China, industry is rapidly ramping up to build a large number of alternative energy vehicles.   The ten most significant Chinese car manufacturers, including the China FAW Group Corporation, Dongfeng Motor Corporation, SAIC Motor Corporation Ltd, Changan Automotive, Chery Automotive, Brilliance Automotive, Tianjin Qingyuan Automotive, BYD Auto, Geely Holding Group, and JAC Motors, all have projects underway to develop or expand capacity to build alternative energy vehicles. 

    According to Miao Yu, the Deputy Minister of the Ministry of Industry and Information Technology, who is regarded as one of the most authoritative voices in the Chinese government on the automotive industry, there are more than 40 Chinese companies that have alternative energy vehicles in production or under development. 

    As one example, in March, the South Zhuzhou Electric Vehicle Research Institute Co., Ltd, a part of the publicly trade China South Locomotive and Rolling Stock Corporation Ltd. (SH 610766), and the Liaoning Zhuguang Automotive Group Joint Stock Co. entered into a joint venture agreement with the goal of building the largest alternative energy vehicle production center in China.  When complete — in approximately two years — the joint venture company expects to have the capacity to build 10,000 cars/year and another 20,000 sets of alternative energy electronic drive systems and other key components for alternative energy vehicles. 

    The infrastructure that will be required to support the alternative energy vehicle industry in China is being developed by some of the largest state-owned enterprises, including the State Grid Corporation, which is concentrating on building out electric vehicle recharging capacity; Sinopec, which is focusing on developing infrastructure for natural gas and hybrid vehicles; PetroChina, which is developing ethanol capacity and CNOOC, which is also concentrating on developing charging stations at existing gas stations.  Asia Cassava Resources Holdings Limited (HK 00841), the largest exporter of dried cassava chips from Thailand to China, has become an important part of China’s ethanol supply chain.  Among its customers is COFCO, the diversified food products company, whose businesses now include ethanol refining using cassava chips as the feedstock. 

    The obstacles to the full-scale development of the Chinese alternative vehicle industry are tremendous market opportunities for Western companies who control key technologies, which are crucial to the industry.  The relative paucity of intellectual property controlled by the Chinese alternative energy industry requires the Chinese to rely on foreign companies for battery and other key technologies. 

    This is good news for U.S. companies, such as A123 Systems, a pioneer in lithium ion battery technology, who will benefit from the ramp up in alternative vehicle production in China.  In December 2009, A123 Systems, shortly after its own IPO, entered into a joint venture with SAIC Motor Corporation Ltd, a publicly issued (SH 600104) Chinese automobile manufacturer to develop lithium ion batteries in China.   As another example of the opportunities that the development of the Chinese alternative energy car industry affords U.S. companies, China presently does not have a domestic supplier of battery separators for electric vehicles—one of the key components of lithium batteries, which accounts for some 30% of the cost of each battery.

    Celgard, LLC, a wholly owned subsidiary of Polypore International, Inc. (NYSE: PPO), which recently hosted President Obama at its North Carolina plant, and Exxon-Mobile Chemical are two U.S. companies in the microfiber battery separator industry that will benefit from the Chinese ramp up of electric vehicle production, much as American Superconductor Corp. (AMSC) has benefited from the explosive growth in China’s indigenous wind turbine industry.  

    Lou Schwartz, a lawyer and China specialist who focuses his work on the energy and metals sectors in the People’s Republic of China, is a frequent contributor to Renewable Energy World.   Through China Strategies, LLC, Lou provides clients research and analysis, due diligence, merger and acquisition, private equity investment and other support for trade and investment in China’s burgeoning energy and metals industries. Lou earned degrees in East Asian Studies from Michigan and Harvard and a J.D. from George Washington University.  He can be reached at lou@chinastrategiesllc.com.