IEA Clean coal presentation

Carbon capture and storage - an essential compontent of the global future generation portfolio.

Since this is from the International Energy Agency it's probably pretty accurate and not biased.

On that note I read an article from Euractiv about Eco-religion. It summed up what I've been feeling for quite some time - Eco-religion hampers EU research and development efforts.

We'd almost be better off if this was recognised as a religion - the eco-warriors couldn't get away with so much. What would you think if you say some Nun's chain themselves to stanstead runway? It's different, isn't it?

Financing the low carbon economy

I found out recently that the price of electricity has dropped somewhat - I presume that this is because demand (with the recession and all) has tailed away.

I'm told that coal generators aren't running their opted out plants (those that aren't part of the large combustion plant directive and as such have to shut either by 2015 or after 200000 operating hours, as measured from 1st Jan 2008).
Why run the plant now to generate for minimal return if you can run it later for a better return - espectially as RWE think we're going to run out of electricity in the summer of 2012 (and that means an increased electricity price).

So it makes sense that EurActive is talking about problems financing the low carbon economy - afterall if a construction firm can't get credit (or only at a high rate of return for the banks) they're going to more which can only be passed on to the consumer.

Cofiring, CCS and Risk.

Okay, I've not been posting for a few months.

A few things have happened since then - the governemnt said yes, in principle to coal fired power stations, simultaneously re-anouncing the same money that had already been announced a few months earlier (actually less a bit).
They're calling for CCS from startup.

That should be possible, but understandably carries a big risk to the energy companies which they want to mitigate.

It's not about wrigging out, but about putting a limit on the cheque they have to sign if unexpectant things happen.

Perhaps this is why RWE are apparently pulling out of building new coal fired power stations in the UK.

To add to this picture the UK's first CCS plant has gone live - up on the Forth estuary, scotland.

Bloomberg have also written a piece about cofiring and dedicated wood burning plant. Remember that dedicated plant, whilst earning more ROCs (so making more money) are less efficient, so if there's a squeeze on the supply of wood give you less electricity for the same fuel supply.
RWE ag opperate in the UK under the name npower (RWE npower).

Coal good, kingsnorth bad

What really gets my goat is the way that "environmental" pressure groups randomly pick on their subject - what they will campaign for, or against.

Take for example heathrow - runways don't emit, nor do they enable extra flights (it's all about planes and economics) - yet they're campaigning against the runway.

Kingsnorth gets it in the neck because that could actually save the world - yet the underground gasification plant to be built in Fife has been ignored - even though that will generate emissions that cannot be sequestered.
So has the Hatfield gasification plant.

It takes the piss.

Coal seems to be good, whilst Kingsnorth is bad. Who are these people who are leading the campaign? I've almost given up blogging because I think they have won and I don't believe we will see our old power stations replaced with more efficient modern ones.

It's really depressing.

40 New coal mines within the decade

Here's the thing, no matter what the labour government believes coal isn't going away.
South Africa think that they need 40 new coal mines by 2020. That's a lot of coal.

This is a flat fact, not opinion. Obvious question - why are we going to stop building coal fired power stations when the south africans are developing 40 new mines?

The price of carbon

The EU carbon price has, of course, dropped with the recession. It's a concern that this low price will stifle investment in CCS - after all what is the requirement to invest in CCS if the abatment cost (per tonne) is more than the cost of an emission allowance from the open market?

The report is that Ed Miliband is seeking to implement a floor in the price of carbon, therefore ensuring that the price does not drop too far.

Ofcourse this isn't popular - it will cost some people money (but make money for those people with allowances to sell, such as steel producers).

I doubt things will change.

$3 400 000 000 for Carbon capture and storage

The american stimulus package (possibly a little old now - I've not been following that closely) has $3.4bn included for carbon capture and storage. That's probably somewhere around enough for two demonstration plants.

The trouble is that america has no price on carbon - so this really is money pushed underground. Once they have a price on carbon the bean counters in every company can price in CCS and find some reason to use it - as they can in the EU.

...and in that respect we're a long way ahead.