Installed renewable generating capacity in Germany has surged 31% to reach 194 billion kWh at the end of last year. Coal power, with cheaper operational costs than CCGTs, act as backup capacity. In stark contrast to Germany’s clean energy policy at home, however, is the fact that government-backed banks still finance coal power projects around the globe.
Overcapacity has lowered the utilisation rate of South Korea’s LNG-fuelled power plants to 40% in Q1-2016, down from 67.8% in February 2014, incurring massive losses for plant operators as well as grid operators. Supply exceeds demand by around 30%, not least owing to the country’s economic slowdown.
Hawaiian Electric Company (HECO) has filed for regulatory approval for a 20-year LNG import contract with Fortis that would help supply gas to power plants on O'ahu, Hawai'i Island and Maui starting from 2021. Shifting from fuel oil to natural gas is estimated to lead to up to $3.7 billion in customer savings.
Allowing for a slightly higher cost to consumers, gas and renewable energy can provide Texas’ entire electricity needs in the foreseeable future. The price of natural gas, forecast to stay below $4/mmBtu, – rather than new EPA regulation – is seen as the largest driver of how electricity will be generated in ERCOT over the next 20 years.
World energy consumption is projected to increase by 48% over the next three decades spurred by fast-growing economies in Asia, according to the EIA’s International Energy Outlook 2016 (IEO2016). Renewables are the world's fastest-growing energy source, rising by 2.6% per year through 2040, while natural gas is projected to grow by 1.9% per year.
Philippine’s major power and gas utility, First Gen, is in talks with LNG suppliers as it seeks to secure a long-term import contract over 0.5-1 mtpa to help fuel new gas power projects in Luzon. “Over the past year, we’ve been speaking with over 20 suppliers but terms vary greatly,” Jose Aldon, CEO, AXI LNGas, senior advisor to First Gen told Gas to Power Journal.