Producing more to consume more is accepted, but limits to capital as well as technical innovations for clean energy sources restricts aspired energy transformations. Hence, Frost & Sullivan’s Rajalingam Chinnasamy suggests “the energy landscape in 2030 may very well resemble today’s, or show a minimal shift towards eco-friendly sources.”
Most operators of UK coal power stations have decided to keep their units in the EU’s limited life derogation (LLD) scheme, which restricts runtime hours. Rather than enforcing a unilateral closure of unabated coal generation in the UK by 2025, the energy secretary Amber Rudd is about to launch a consultation in the coming weeks.
EU leaders reckon that Nord Stream-2 contradicts efforts to reduce Europe's energy dependency and undermines Poland and Ukraine’s role as gas transit countries. The pipeline extension is meant to transport another 55 Bcm of Russian gas to Germany, but there is little need for additional volumes as long as CCGT profit margins stay negative.
Moscow has shelved Turkish Stream, a 63 Bcm gas pipeline through the Black Sea, as tensions with Ankara escalate following the downing of a Russian fighter jet. Aleksandr Novak, the Russian energy minister said talks are suspended and construction start on the pipeline, scheduled for July 2016, has been called off. Progress on the Akkuyu nuclear power station, built by Rosatom, may also be hit by Russia’s retaliatory sanctions.
Britain’s balancing body of gas and electricity networks, National Grid, could be broken up as DECC plans to transfer its role as system operator to an independent entity. National Grid, meanwhile, would focus on pinpointing much-needed grid investments to accommodate new nuclear and more wind power capacity.