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Producción y mercados energéticos 16/10/18

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Latest Energy News 16 October 2018
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The EEG surcharge will decrease for the second year in a row (Germany)

The four main German transmission system operators (TSOs), namely 50Hertz, Amprion, TenneT and TransnetBW, have published the update for the 2019 German renewable energy surcharge (EEG-Umlage, a levy on power prices to support the expansion of renewable energies). It will stand at €6.405c/kWh, which is 5.7% lower than in 2018. In 2018, the EEG-Umlage stood at €6.792c/kWh, which was 1.3% lower than in 2017 (€6.880c/kWh) due to an increase in the wholesale electricity price.

The four TSOs also predict the installation of 6 GW of renewable energy capacity in 2019 and a renewable power production increase by 13 TWh (corresponding to a subsidy volume of approximately €27.3bn, or €24.8bn after deducting the forecast stock market prices). This corresponds to an allocation of around €7c/kWh, including €2.5c/kWh for solar PV, €1.7c/kWh for biomass, €1.6c/kWh for onshore wind and €1.1c/kWh for offshore wind. In addition, amended offshore grid expansion levy will stand at €0.416c/kWh in 2019.

The German electricity production from renewable energies has been regulated by the Renewable Energy Sources Act (EEG, Erneuerbare Energien Gesetz) since 2000 and it has been amended several times (2004, 2009, 2011, 2012 and 2014 and 2016). The rapid development of renewable capacities since 2000 has significantly raised the EEG surcharge, from around €1c/kWh in 2006 to €6.24c/kWh in 2014. It declined to €6.17c/kWh in 2015, before increasing again up to €6.35c/kWh in 2016. However, it has remained quite stable while the renewable power production has been soaring.

Policy & Regulatory

UK government will set a target for achieving net zero GHG emissions

As per the Green GB Week initiative, the British government has sought advice from the Committee on Climate Change (CCC) in a move towards a future with zero emissions of greenhouse gases and how and when to take this leap forward.

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US government sets up new framework on nuclear cooperation with China

Following a government policy review led by the United States National Security Council, the US of Energy (DoE) has set up a new policy framework on civil nuclear cooperation with China covering exports of US civil nuclear advanced technology, material, and equipment to China.

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Energy Markets

Equinor starts production at Oseberg Vestflanken 2 oil field in Norway

Norwegian state-run oil and gas company Equinor (formerly known as Statoil) has started to produce oil at the NOK6.5bn (€688m) Oseberg Vestflanken 2 offshore oil field, located 8 km from the Oseberg field in the North Sea. The new Oseberg H platform is the first unmanned platform on the Norwegian Continental Shelf.

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Infrastructure & Investments

FERC issues draft EIS for Rio Grande LNG export project (US)

The United States Federal Energy Regulatory Commission (FERC) has issued a draft environmental impact statement (EIS) for NextDecade Corporation’s Rio Grande LNG liquefaction project in Brownsville, South Texas (United States) and the associated Rio Bravo gas pipeline. The final EIS is expected for April 2019,…

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Canadian regulator will reconsider Trans Mountain oil pipeline expansion

The Canadian National Energy Board (NEB) has released a schedule regarding the next steps of the C$7.4bn (US$5.5bn) Trans Mountain oil pipeline expansion project, which was rejected by the Canadian Federal court of appeal in September 2018 on ground that government had failed to consider the concerns of some First Nations.

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French nuclear regulator clears Flamanville project’s RPV commissioning

The French nuclear safety regulator ASN (Autorité de Sûreté Nucléaire) has given its conditional authorisation to EDF to commission and use the reactor pressure vessel (RPV) of the Flamanville-3 nuclear project. The ASN has reported that the mechanical properties of both the vessel head and bottom head are adequate and serviceable. However,…

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