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Producción y mercados energéticos 09/10/19

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Latest Energy News 09 October 2019
 
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EDF raises Flamanville EPR cost by €1.5bn (France)

EDF has revised the construction schedule for its 1,650 MW Flamanville EPR nuclear project in France and raised the estimated construction cost by €1.5bn to €12.4bn (in 2015 euros), after the adoption of a scenario for upgrading the main secondary system penetration welds with robots at the project. In June 2019, the Nuclear Safety Authority (ASN) asked the group to repair eight containment penetration welds that failed to comply with the break preclusion principle. EDF expects the rework scenario to be validated by the ASN by the end of 2020, when the group will start the repair works.

The Flamanville project was initially expected to be commissioned in 2013 (completion of construction in late 2012) at a cost of €3.3bn. Technical problems have led to significant delays and cost escalation. Construction time has tripled from 5 to more than 15 years – and its cost has soared by more than 200% to nearly €11bn, and now to €12.4bn (2015 euros and excluding interim interest). Due to the postponement of the date of fuel loading (now expected at the end of 2022), no revenue will be generated during the test phase in 2020. Consequently, EDF has adjusted its net total investment target from €15bn to around €15.5bn for 2020.

 
Policy & Regulatory

Malaysia will introduce a targeted fuel subsidies programme in 2020
The Ministry Of Domestic Trade and Consumer Affairs of Malaysia will introduce a targeted fuel subsidy scheme as of January 2020.
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Five US states have introduced support measures for nuclear power plants
According to the US  Energy Information Administration (EIA), nuclear power generation has been facing an increasing pressure due to declining prices in wholesale power markets, leading several nuclear plants to close: eight nuclear plants have retired since 2013, the Three Mile Island power plant shut down in late September 2019 and another five reactors are expected to stop by the end of 20…
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Companies

JSW Energy in talks with GMR Energy to buy a 1 GW power plant (India)
JSW Energy, the energy branch of the Indian conglomerate JSW, has started exclusive negotiations with GMR Energy, for a potential buyout of its subsidiary GMR Kamalanga Energy, which owns and operates a 1,050 MW (3×350 MW) coal-fired subcritical power plant in the state of Odisha (eastern India). …
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Energy & Climate Markets

Azerbaijan, Russia, Iran plan to connect their power transmission systems
Azerbaijan, Russia and Iran are preparing a feasibility study on a «North-South» energy corridor to connect their power transmission systems. The feasibility study should be completed within one year.
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Infrastructure & Investments

Vietnam approves capacity increase at O Mon II gas-fired power project
The government of Vietnam has approved the capacity expansion of the O Mon II gas-fired power plant project in Can Tho City from 750 MW to 1,050 MW. The project will be built by the Consortium of Vietnam Construction (Vietnam) and Marubeni and is expected to be commissioned in 2022-2023.
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Rovuma LNG project reaches initial investment decision (Mozambique)
The Mozambique Rovuma Venture (MRV) has reached an initial investment decision on the Rovuma LNG project in the northern province of Cabo Delgado (Mozambique). A final investment decision could be taken in 2020, and production is expected to start in 2025.
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State Grid commissions a 1,000 kV power transmission line in China
Chinese power transmission network operator State Grid has commissioned a new 1,000 kV gas-insulated power transmission line between Suzhou and Nantong, both located in the southeastern Jiangsu Province). The ultra-high-voltage (UHV) power transmission project will complete a UHV AC ring network in eastern China, where electricity demand is steady.
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