Regulation & Policy

US Energy Secretary Rick Perry has openly confronted Russia over its energy politics by claiming the Gazprom-led Nord Stream-2 project would distort European energy market. Perry said Nord Stream extension project “would concentrate two-thirds of the imports of Russian gas to Europe in a single pipeline, creating a choke point [exposed to potential] disruption."

At the UK's first Zero Emission Vehicle Summit, Prime Minister Theresa May has committed £106 million for R&D in green vehicles, new batteries and low carbon technology. May said the Britain will “lead from the front” on zero-emission cars to meet a target for UK roads to be free of petrol and diesel cars by 2050.

Construction on a disputed 303-mile stretch of the Mountain Valley Pipeline is proceeding after the U.S. Federal Energy Regulatory Commission (FERC) has modified its stop-work order and permitted works to resume. Next Era Energy and ConEdison Transmission, co-developers of the 2 Bcf/d interstate pipeline, now aim to have the overall project built and in service by late 2019.

Rebuking the Trump administration’s plan to roll back the Obama-era Clean Power Plan, California’s Gov. Jerry Brown called the proposal a "a declaration of war against America and all of humanity." Trump’s EPA new proposal gives states more freedom to set their own emissions standards at plants - a barely disguised favour for the coal industry.

Analysts reckon Germany could still meet its 40% greenhouse gas reduction target by 2020, if several lignite-fired power plants are shut-down immediately and others curtailed in use, a study by the Fraunhofer Institute shows. “The technical possibilities aren’t lacking – only the political will,” commented Greenpeace energy expert, Anike Peters.

Environmental lawyers have launched legal action after Bulgarian authorities permitted a coal-fired power plant to burn petrochemicals, biomass and waste alongside lignite – a dirty, highly inefficient lignite coal. The first hearing in the Brikel case is scheduled for early October.

California Independent System Operator (CAISO) has issued two new reliability must-run designations to support grid reliability in the face of imminent power plant retirements near Los Angeles. NRG California South had notified the ISO it will retire its Ellwood, Etiwanda and Ormond Beach generating stations by October 2018.

Energy Transfer Partners (ETP), developer of the $4.3-billion Rover Pipeline, has accused the Ohio Environmental Protection Agency of attempting to delay the project’s completion. By raising this claim, ETP is trying to fight back against a regulatory notice over low-level contamination.

More than 45,000 businesses across Europe are at risk of being fined up to €1 million ($1.1m) if they fail to comply with the new EU Energy Efficiency Directive, the registrar DNV GL warned. The clock is ticking – deadline for compliance is 5 December 2019 in most countries.

Taking bold steps to curb air pollution, China’s State Council has extended the reach of the three-year 'blue sky defence' action plan to cities in Shanxi, Shaanxi and Henan provinces. The target area now includes ‘2+26’ cities and prioritizes switching from coal to gas for winter heating and power generation, as well as renewables. Accelerating air pollution now affects a region with 37% of China's population and contributes to 41% of the GDP.

Alan Finkel, Australia’s chief scientist, has highlighted the country’s potential to become a world leader in energy storage, including renewable hydrogen. Large-scale deployment of energy storage, however, requires a smarter electricity grid and mechanisms to empower consumers to manage their costs.

Agreements reached by EU Institutions over the past fortnight on energy efficiency, energy governance and renewables “fall well short of a comprehensive approach,” according to COGEN Europe. The headline target of 32.5% energy efficiency by 2030 will be missed, the lobby group warns, in the absence of an “actionable framework”.

The Australian Energy Market Operator (AEMO) no longer warns of an imminent gas shortage in southern and eastern Australia after government pressure has made LNG exporters commit to divert some cargoes to the local market. "No supply gaps are forecast before 2030,” AEMO said when releasing its annual gas outlook – a stark contrast to the body’s earlier concerns about shortages starting from mid-2018.

Only large scale and intelligent energy storage can solve the issue of variable renewable electricity generation. There is little political will for a fresh wave of subsidies for storage – as there was for renewables – hence a carefully crafted market design is needed to incentivises flexibility and storage, says Patrick Clerens, Secretary General at the European Association for Storage of Energy (EASE).

Dealing a blow to the industry, China’s National Development and Reform Commission (NDRC) has significantly reduced solar subsidies by setting new on-grid power tariffs that range between $7.8-11c/kWh, effective June 1. Distributed projects are capped at 10 GW and all utility-scale projects are mandated to set power prices through competitive auctions.

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