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Germany’s lastest solar tender was oversubscribed again

31 Jul 2020

The German Federal Network Agency (Bundesnetzagentur) has published the results of the latest tenders for onshore wind and solar capacity, with a bidding date set for July 2020. The onshore wind auction for 275 MW of capacity attracted 26 bids for 191 MW of capacity, with price ranging from €5.50c/kWh to €6.20c/kWh (weighted average of €6.14c/kWh). All bids were selected, including 3 bids in Schleswig Holstein (49 MW), 9 in Lower Saxony (48 MW) and 4 in Brandenburg (41 MW); 3 were submitted by communities.

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The Philippines plans to develop a national nuclear energy policy

30 Jul 2020

The government of the Philippines has created an inter-agency panel to study the adoption of a national nuclear energy policy. It will evaluate the feasibility of adding nuclear to the Philippines’ power mix, considering economic, security and environmental implications. The country could either build new plants or rehabilitate the 621 MW Bataan nuclear project, which was completed in 1984 after a US$2.3bn investment but was mothballed in 1986 due to safety concerns and issues regarding corruption.

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Greece’s latest wind auctions sets new price record

30 Jul 2020

Greece’s latest wind auction for 481 MW of capacity attracted 15 bids for nearly 472 MW of capacity, with prices ranging between €53.86/MWh and €57.70/MWh (weighted average of €55.67/MWh). Ascent Power submitted the lowest bid, while Vysima Ventavel submitted a bid of €54/MWh. Other winners included Thalia Energy, Greenfield Wind and Valorem.

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Companies

Total writes down US$7bn of Canadian oil sands assets

31 Jul 2020

Total will take an US$8.1bn impairment on the value of its assets, including US$7bn on Canadian oil sands assets alone. The French company, which sharply lowered its short-term price scenario, recognised an US$2.6bn impairment charge in the second quarter of 2020, mainly on Canadian oil sands assets (for US$1.5bn) and on LNG assets in Australia (for US$0.8bn). In addition, Total wrote off a further U$5.5 billion in the value of its Fort Hills and Surmont Canadian oil sand projects after cutting its long-term price. These oil sands projects are considered as "stranded", i.e.

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Energy Prices & Taxes

South Africa allows Eskom to raise electricy prices by 12% in 2021-2022

31 Jul 2020

The High Court of South Africa has reversed a decision by the National Energy Regulator of South Africa (NERSA) to deduct a ZAR69bn (US$4.1bn) equity injection from Eskom’s allowable revenue for the current three-year period, authorising the state-owned electric utility to claw back the full amount over the next three years from customers in the form of higher electricity tariffs. Consequently, the average standard Eskom tariffs approved by NERSA for the 2021/2022 financial will be increased by 12% from around ZAR1.17/kWh (US$6.96c/kWh) to ZAR1.28/kWh (US$7.64c/kWh).

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Infrastructure & Investments

CrossWind wins a tender for a 759 MW offshore wind project (Netherlands)

31 Jul 2020

CrossWind, a joint venture between Shell and Eneco, has won the tender for the 759 MW Hollandse Kust Noord offshore wind project, located off Egmond aan Zee in the Netherlands. The subsidy-free project is expected to be operational by 2023. The wind project would generate 3.3 TWh/year of renewable electricity, which would be supplied to a 200 MW hydrogen plant producing hydrogen and oxygen through electrolysis; CrossWind is working on a green hydrogen hub project on the Tweede Maasvlakte, in the port of Rotterdam (Netherlands).

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Vietnam plans two new floating solar plants totalling 450 MW

31 Jul 2020

The local authorities of the Nghe An province (Vietnam) plans to build two floating solar projects on the Vuc Mau and Khe Go lakes in Quynh Luu district totalling 450 MW of capacity. The Vuc Mau project will have an installed capacity of 200 MW, requiring an investment of VND3,100bn (US$134m), while the 250 MW Khe Go project will cost VND3,473bn (US$150m). Power generation will be sold to the national power utility Electricity of Vietnam (EVN).

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Sembcorp completes 800 MW of wind projects in India

31 Jul 2020

Sembcorp Energy India, an affiliate of Singapore-listed group Sembcorp Industries, has completed 800 MW Corporation of India (SECI) wind power projects. The three projects, which have a 25-year power purchase agreement (PPA) with the Solar Energy Corporation of India (SECI), are the 250 MW SECI 1 wind project in Tamil Nadu, as well as the 250 MW SECI 2 and the 300 MW SECI 3 in Gujarat.

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Greenlink Interconnector (Ireland/UK) wins new approval in Wales (UK)

31 Jul 2020

The Pembrokeshire County Council in Wales (United Kingdom) has approved remaining planning application for onshore works for a portion of the proposed 500 MW Greenlink Interconnector project between Pembroke in Wales (UK) and the County Wexford in Ireland. Earlier in July 2020, the project received planning consent for a section of the interconnector from the Pembrokeshire Coast National Park Authority (United Kingdom), authorising onshore works in Wales.

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MHI and CIP create a JV to develop offshore wind projects in Japan

31 Jul 2020

Mitsubishi Heavy Industries (MHI) and Copenhagen Infrastructure Partners (CIP) have created a joint venture to develop offshore wind projects in Hokkaido, in northern Japan. The joint venture is jointly owned by MHI (50%) and CIP (50%).

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