6 September 2016, Scientific American, President Obama’s announcement Saturday that the United States and China had joined last year’s landmark Paris climate agreement together elicited tepid response from Republicans in Congress who insist the administration has shirked its obligation to submit the deal to the Senate. Instead of threatening to take down the deal through legislation or litigation, Republicans released a few muted statements arguing that the global agreement would falter on its own. “History already shows that this Paris Agreement will fail,” said Senate Environment and Public Works Chairman Jim Inhofe (R-Okla.). “This latest announcement is the president attempting to once again give the international community the appearance that he can go around Congress in order to achieve his unpopular and widely rejected climate agenda for his legacy.” Inhofe, who has called climate change a hoax, noted that the Supreme Court has stayed U.S. EPA’s flagship carbon rule for power plants. If the rule, known as the Clean Power Plan, does not survive court challenges, it could make the United States’ commitment under Paris harder to reach. Read More here
Monthly Archives: September 2016
5 September 2016, Renew Economy, One small gain for battery storage, one big win for fossil fuel industry. Australia’s principal policy maker for the energy markets has waved through a rule change that could accelerate the use of battery storage to provide grid stability as more renewables enter the market. But the rule maker has shocked participants with another decision that may reinforce the dominance of the big fossil fuel utilities. The Australian Energy Market Commission late last week made two rulings that it was first asked to consider way back in 2012 (such is the glacial pace of change in Australian regulatory circles) but which seen as critical as more wind and solar enter the market and old fossil fuel generators are phased out. One of the rulings was good news and largely expected: The AEMC said it would allow “unbundling” of ancillary services for the grid – which provide fast-acting balancing responses following a “contingency” event, usually the unexpected loss of a large thermal generator. This means that these services, known as FCAS, can now be more easily provided by more players, and not just the big generators, which currently control the supply (and thus the price) of FCAS services. Allowing new players like batteries and demand response loads should increase the supply of FCAS, and lower market prices. That ruling was largely uncontroversial and expected, with any opposition by incumbents lukewarm at best. The second ruling, however, has stunned some participants in the industry, because it effectively limits the amount of battery storage and new ideas – such as aggregating power plants in homes – by leaving it in the control of the major players. The proposal was to create a “demand response” mechanisms in the spot market to respond to times of high load, and high electricity prices, as were experienced in South Australia and other states in recent months, and which used to be frequent years ago, and may well become regular again as gas prices rise. Read more here
5 September 2016, Climate Home, G20 reaffirms climate commitments – but dodges deadlines. Leaders back rapid implementation of the Paris agreement and ramping up of green finance, but fail to set timeline for phase out of fossil fuel subsidies. Leaders of the world’s biggest economies reaffirmed their commitment to tackling climate change as the G20 summit came to a close in Hangzhou on Monday night. What they did not agree on were hoped-for deadlines to ratify the Paris climate agreement and phase out fossil fuel subsidies. The G20 communique, released in French before it was released in English, committed the nations to ratifying the Paris climate agreement. Leaders “expect a rapid implementation of the agreement in all its dimensions,” it said. However, it stopped short of calling on the entire G20 to join the agreement by the end of 2016. Arvind Panagariya, India’s chief negotiator at the G20 summit,told The Indian Express that he had argued against the inclusion of such a timeline. “I felt we were not quite ready yet in terms of the domestic actions that are required for us to ratify or at least commit to ratify within 2016. So we plan to do it as soon as possible,” said Panagariya. Read more here
5 September 2016, The conversation, Can, or should, we save ARENA? Once again the essential development of the renewable energy sector has been stymied by short-term, opportunistic politics. Included in the Turnbull government’s “omnibus” savings bill is a A$1.3 billion cut in the funding of ARENA, the Australian Renewable Energy Agency, a cut, coming on the heels of a couple of previous cuts, that basically wipes out any future role for ARENA. The proposed cut is part of the Abbott legacy that sought to effectively close down the renewable energy sector. Although the government has presented the bill in the name of budget repair, it is also very much a political manoeuvre designed to wedge opposition leader Bill Shorten, by claiming that he had committed to these cuts during the election campaign, and recognising that a couple of the proposed cuts are either inconsistent with “traditional Labor values”, or with declared Labor policy, such as their commitment to a 50% renewable energy target for 2030. Shorten is under considerable pressure to demonstrate his bona fides on budget repair, and especially as he has expressed a willingness to “reach across the aisle”, to work with the government on this urgent policy challenge. However, both sides seem to still be stuck in campaign mode, moving from one stunt to the next. It is all about short-term politics, not good policy and good government. Read more here