20 September 2024

CLIMATE POLITICS

Nature Positive laws: Greens and crossbenchers offer alternative path and compromise on climate trigger demand (The West Australian): The Greens and independents are offering an alternative route for Labor to pass laws to create its Environmental Protection Agency, which includes a concession on demands for a “climate trigger”. Greens environment spokeswoman Sarah Hanson-Young and independents David Pocock and Lidia Thorpe wrote to Prime Minister Anthony Albanese and Environment Minister Tanya Plibersek on Monday, proposing a deal that would allow Labor to bypass Peter Dutton’s Coalition. Under the offer, the crossbenchers will demand “climate considerations” be factored into the environmental assessment of projects.

Nature Positive laws: Gas sector warns of shortages if Greens plan to ban new projects takes hold (The West Australian): WA will run out of gas by the middle of next decade, shutting off the State’s main power supply for households and industry — if the Greens get their way. The Greens want a freeze on all new coal, oil and gas projects and the supporting infrastructure, citing scientific studies that claim fossil fuels must stay in the ground if the world is to have any chance of limiting global warming to 2C in line with the Paris Agreement.

Productivity Commission welcomes additional scrutiny of Future Made in Australia projects (ABC News): Productivity Commission chair Danielle Wood says she welcomes concessions made by the Albanese government to put clearer scrutiny of proposals for industry assistance into its Future Made in Australia legislation. Ms Wood also acknowledged that both migration and tax treatment of investment housing — capital gains discounts and negative gearing — have some impact on the housing market, but she said these demand-side concerns are minor compared to the many structural problems now facing the sector on the supply side.

Coalition's nuclear plan will add $665 a year to average power bill, report warns (The Guardian): The Coalition’s?plan for seven nuclear power plants?would lift power bills for average households by $665 a year based on estimated costs of six overseas nuclear projects, according to an Institute for Energy Economics and Financial Analysis report. The Ieefa findings built on the?CSIRO's GenCost studies?that have shown nuclear energy to be the most expensive form of new power generation. It assessed recent construction costs at plants in the US, UK, Finland and France, and two proposed plants – one in the Czech Republic and an abandoned small modular reactor in the US.

Australia’s most fossil dependent economy opens up to renewable energy highways (Renew Economy): The Pilbara region of north-west Western Australia – the world’s biggest iron ore mining province and the country’s most fossil fuel dependent economic region – is opening up to create up to four new renewable energy super-highways. The W.A. government late last week formally opened a tender for expressions of interest in four priority transmission projects that will be critical for the Pilbara Energy Transition Plan.

Major overhaul of WA’s domestic gas policy to prevent ‘severe’ shortfall over next decade (The West Australian): The State Government is set to deliver a much-needed lifeline to the state’s onshore gas projects, with a five-year window to export the key energy source. The move will be announced on Thursday in the updated Domestic Gas Policy, which states new or expanding projects will be required to reserve 80 per cent of gas produced for the domestic market, which jumps to 100 per cent from 2031.

State Government under pressure to rein in wholesale electricity prices causing industry pain (The West Australian): Wholesale electricity prices have more than doubled since 2021, adding to cost of living pressures and sparking calls for the transformation of WA’s south-west grid to be “urgently” fast-tracked. A Chamber of Minerals and Energy Report being released on Friday has found that SWIS wholesale electricity prices have jumped from $46/ MWh in 2021 to $96/MWh in 2024, and reliability costs have increased five-fold amid the decarbonisation of the State’s main grid.

COP29 to propose 1.5 TW energy storage target by 2030 (PV Magazine): The 2024 UN Climate Change Conference (UNFCCC COP 29), which will convene from 11 to 22 November in Baku, Azerbaijan, could adopt a target to increase worldwide energy storage capacity more than sixfold by 2030. The conference hosts’ draft proposal seen by Bloomberg, called the Global Green Energy Storage Pledge, mirrors the G-7 agreement signed in April, which aims to reach 1,500 GW of energy-storage capacity by the end of the decade up from 230 GW in 2022.

Weak demand for low-carbon products hampers green investment, COP28 initiative says (Reuters): Weak demand for green products is curbing needed investment of up to $700 billion in low-carbon projects in heavy-emitting industries such as aluminium, steel and cement, an initiative launched at last year's United Nations Climate Summit says. Over 450 large-scale industrial projects globally are seeking hundreds of billions of dollars of investment to slash carbon emissions, the Industrial Transition Accelerator (ITA) said in a statement on Thursday. The ITA was set up at the COP28 summit in Dubai to stimulate needed investment in green projects. The six heavy industry sectors examined in the report – aluminium, cement, chemicals, steel, aviation and shipping – contribute approximately 30% of all global CO2 emissions, the ITA said.

CARBON MARKETS

Why Rio Tinto has bought 3000 hectares of grazing land (The Australian Financial Review): Rio Tinto has bought 3000 hectares of grazing land near Townsville on which it plans to grow thousands of trees as the iron ore major pushes into carbon-neutral fuels. About 750,000 pongamia trees will be planted on the property under a plan to harvest the seeds and refine their oils into a form of renewable diesel to power Rio’s trucks and generators. Rio believes carbon-neutral biofuels will play an important role in curbing emissions in the next decade, given the development of battery-powered mining equipment is expected to take longer than expected.

‘Perverse’: Woodside, Shell spend millions getting into offset game (The Sydney Morning Herald): Large fossil fuel companies are making multimillion-dollar investments in carbon companies and offset projects, raising concerns among industry insiders and experts that the sector is funding lowest-cost and lower-quality emission offsets, rather than tackling climate change as was intended. An investigation by this masthead has found fossil fuel companies, including Shell and Woodside, are increasingly entering the supply chain of the Australian carbon offsets market, buying stakes in carbon companies, registering projects, trading credits or purchasing swathes of land to run their own carbon abatement projects.

CORPORATE SOCIAL RESPONSIBILITY

Future Fund reveals it voted against Woodside's climate strategy (The Australian Financial Review): The country’s sovereign wealth fund has revealed it was among the heavyweight investors which voted against Woodside Energy’s contentious climate strategy earlier this year amid an increase in activism at major ASX-listed companies. The Future Fund, in its proxy voting record to be released on Thursday, has disclosed it voted against the oil and gas giant’s climate strategy. Nearly 60 per cent of the register voted against the strategy in April, an overwhelming rebuff to Woodside chairman Richard Goyder and chief executive Meg O’Neill, who had attempted to convince investors that the company was on a credible path to reduce its emissions.

Data center emissions probably 662% higher than big tech claims. Can it keep up the ruse? (The Guardian): Big tech has made some big claims about greenhouse gas emissions in recent years. But as the rise of artificial intelligence creates ever bigger energy demands, it’s getting hard for the industry to hide the true costs of the data centers powering the tech revolution. According to a Guardian analysis, from 2020 to 2022 the real emissions from the “in-house” or company-owned data centers of Google, Microsoft, Meta and Apple are likely about 662% – or 7.62 times – higher than officially reported.

Fossil fuel companies sponsor $5.6bn in global ‘sportswashing’ deals (The Guardian): Fossil fuel companies pumped at least $5.6bn (￡4.2bn) of sponsorship money into motorsports, football, golf and even snow sports in an effort to “buy social licence to operate”, according to a new report. Almost no major spectator sport remains untouched by oil and gas money, according to research carried out by the New Weather Institute (NWI), a climate thinktank, which traced more than 200 sponsorship deals between sports teams and the industry.

Coca-Cola to hit 100 pct renewables in Australia one year early with new contract for NSW solar (Renew Economy): The world’s most iconic soft-drink brand, Coca-Cola, has announced that it will meet its goal of using 100 per cent renewable electricity across its Australian operations by 1 January 2025 thanks to a newly signed deal with a New South Wales solar farm. Coca-Cola Europacific Partners (CCEP), the local subsidiary of the Coca-Cola Company responsible for Europe, Australia, the Pacific, announced on Tuesday that it had signed a new virtual power purchase agreement (VPPA) supplied by French renewable energy company Engie.

Australian-based renewables and storage major fights unwelcome bid from "serial polluter" (Renew Economy): One of Australia's biggest and most prominent renewable energy developers, Ark Energy, says it fears for its future and is fighting a bid for its parent company launched by a competitor that it says has a poor environmental record and is accused of being a serial polluter. Ark Energy is an Australian subsidiary – along with Townsville refinery Sun Metals – of Korea Zinc, and has been at the forefront of many key developments in Australia's renewable energy industry.

GREEN PROJECTS AND INITIATIVES

Yara in ammonia transfer first (Business News): The world's first transfer of ammonia between anchored ships has taken place in the Pilbara, a move billed as a milestone for the development of global clean shipping fuel.

WA Government backs in Chalice Mining’s Gonneville with Strategic Project status (The West Australian): Chalice Mining’s flagship Gonneville critical minerals discovery north of Perth has received a shot in the arm from the State Government, which will rally its departments to help bring the project online. The Tim Goyder-backed explorer told investors on Tuesday that WA Premier Roger Cook had granted Gonneville Strategic Project status, which acknowledges its importance both in terms of economic value and its benefits to push WA further along a green energy transition pathway.

Battery milestone for Horizon Power pilot (Energy Magazine): A vanadium flow battery for Horizon Power’s long duration energy storage (LDES) pilot is the first to complete its factory testing. The milestone marks the first successful utilisation of a vanadium flow battery (VFB) containing vanadium electrolyte manufactured by Australian Vanadium Limited (AVL) in Western Australia.

Trina Solar hopes to build a $400 million battery near Kemerton as coal shutdown looms (The West Australian): A Chinese company wants to build a $400 million battery near Kemerton, joining a long list of projects proposed to fill the gap as the shutdown of Western Australia’s coal power stations looms. Shanghai-listed Trina Solar has lodged a development application with the Shire of Harvey and wants to get construction under way by the September quarter of 2026.

Steel giant's venture fund inks tech pact on green iron (The West Australian): A “wild idea” about making oxygen on the moon is the source of green iron technology taken up by a big emitter to keep steelworks running. BlueScope Steel’s venture fund BlueScopeX on Wednesday signed a memorandum of understanding with Israel-based Helios Project to develop green iron technology for global steelmaking.

Fortescue begins works on 50 MW green hydrogen project (PV Magazine): Earthworks have officially commenced at Fortescue’s almost $225 million (USD 150 million) multi-stage Proton Exchange Membrane 50 MW (PEM50) green hydrogen project being developed near Gladstone in central Queensland. The initial stage of the project includes the installation of a 30 MW electrolyser plant with the first production of green hydrogen expected in 2025. The deployment of an additional 20 MW as part of the plant’s second phase is expected to be commissioned in 2028.

Seven million solar panels to power Northern Territory green e-fuels project (PV Magazine): Chinese-headquartered solar cells manufacturer Huansheng Solar PV Co signed a memorandum of understanding (MoU) in July 2024 with Perth-based chemical company Allied Green Ammonia (AGA), to supply seven million solar panels to?power AGA's green ammonia production?facility in the Northern Territory. Located on the Gove Peninsula, East Arnham, 1,000-kilometres east of Darwin, AGA has signed a host of similar agreements since 2023, to progress the $12.7 billion (USD 8.6 billion) green e-fuels project.

CEFC commits further $120M to VNI West (Energy Magazine): The Australian Energy Market Operator (AEMO) will receive a further $120 million for the Victorian component of the VNI West transmission project, which aims to improve the reliability and security of electricity supply in Victoria and New South Wales. The Clean Energy Finance Corporation (CEFC) has committed the funding via the Rewiring the Nation (RTN) program as AEMO continues the development of VNI West – an actionable Integrated Systems Plan (ISP) project that is critical to Australia’s clean energy transition and net zero ambitions.

CEFC invests $70m to help electrify and decarbonise maritime ports (Renew Economy): The Clean Energy Finance Corporation (CEFC) has announced a “landmark” investment to help decarbonise maritime ports in South Australia, focusing on the electrification of vehicles and equipment. The CEFC says is committing $70 million to Flinders Port Holdings (FPH), a privately owned port and logistics services group based in Port Adelaide that own and operate the Flinders Adelaide container terminal, the port of Port Adelaide, and six key regional ports at Port Giles, Port Lincoln, Wallaroo, Port Pirie, Klein Point, and Thevenard.

Port upgrades to aid renewable projects (Business News): Significant marine infrastructure upgrades at the Port of Geraldton could aid the development of renewable energy projects and the long-touted Oakajee port proposal. Mid West Ports is proposing to undertake major marine infrastructure upgrades under its wider Geraldton Port Maximisation Project, priced at $350 million back in 2022.

Genex lines up new partner for biggest solar farm as coal giant steps in to fill Fortescue’s hydrogen void (Renew Economy): Renewable energy and battery storage developer Genex Power has found a new major off-taker for its giant Bulli Creek solar and battery project in Queensland, which will be the biggest in the country. The company – now fully owned by Japan’s J-Power after a takeover earlier this year – announced on Tuesday a 15-year power purchase agreement with Stanwell, the state government owned utility that is transitioning away from coal to a mix of wind, solar and storage.

Qld Gov invests in waste gas-to-energy project (Energy Magazine): The Queensland Government is investing in Kestrel Coal Resources’ coal mine waste gas-to-electricity project as part of the $520 million Low Emissions Investment Partnerships (LEIP) program. The power project will expand the underground mine’s drainage system to capture more fugitive gas, preventing it from being released into the atmosphere.

Milestone for Qld pumped hydro (Energy Magazine): The Borumba Pumped Hydro Project is entering its next stage, with Queensland Hydro awarding three major works packages totalling almost $190 million. Once completed, the 2,000MW renewable energy project will provide the long-duration energy storage needed to reliably transition to Queensland’s future clean energy system.

OTHER MATTERS OF INTEREST

WA battery recycling specialist to scale up UK ambitions (PV Magazine): Perth-based lithium battery recycling company Renewable Metals has added $8.1 million (USD 5.47 million) to its coffers in an oversubscribed extension of its seed capital raise, less than 12 months after raising $8 million. Renewable Metals said the new funds will accelerate the scale-up of its alkali-based recycling technology that it claims can recover from end-of-life lithium-ion batteries more than 95% of the valuable materials including lithium, nickel, cobalt, copper, manganese and graphite.

Legal bid against Beetaloo exploratory fracking project dismissed in court as protesters front resources conference in Darwin (ABN News): The Northern Territory Supreme Court has rejected an environmental group's legal challenge against the NT government's approval of a fracking exploration project in the Beetaloo Basin. The Central Australian Frack Free Alliance (CAFFA)?launched legal action in January 2023?over a decision by then environment minister Lauren Moss to approve gas company Tamboran Resources' environment management plan (EMP) to drill and frack 12 exploratory wells. Tamboran Resources has been exploring for shale gas in the Beetaloo Basin, about 500 kilometres south-east of Darwin, after the NT government?approved a full-scale fracking industry last year.

Cattle breathalyser captures burps to track emissions, battle climate change (ABC News): The agriculture industry is the third largest source of Australia's greenhouse gas emissions, however, new technology could help cattle farmers reduce their impact by "breathalysing" their herds. Livestock accounts for around 70 per cent of the agricultural greenhouse gas emissions in New South Wales.

Australia could double solar power by 2030, report says (The West Australian): Solar power policies targeting new and existing homes, social housing and businesses could create a second renewable energy boom in Australia, a report has found, potentially doubling the nation's solar capacity by 2030. The Seize the Sun report, released by the Climate Council on Thursday, also recommended governments invest in more training to grow the energy workforce, including free vocational courses for electricians and gas fitters.