Home Blog Page 62

Financial headwinds for renewables investors: What’s the way forward?

Foto: Unsplash
Foto-ilustracija: Unsplash (
Chris LeBoutillier)

The impressive growth in clean energy investments in recent years has been led by renewable power. Annual spending on solar PV and wind projects has risen by more than USD 300 billion in the last five years, and now accounts for one-third of the total USD 1.8 trillion that we expect to go to clean energy investments in 2023. Deployment has been driven by a virtuous circle of policy support and cost reductions. The global energy crisis, coupled with acute concern over emissions and competition among countries for positions in the clean energy economy, has redoubled policy momentum in recent years.

Through the 2010s, renewable investors and governments designing policies became used to two supportive trends: relatively cheap capital in an era of low interest rates, and steadily falling costs. However, this context changed as the world emerged from the Covid-19 pandemic into the global energy crisis.

An environment of higher interest rates (outside China) means financing becomes more expensive, with multiple effects for renewables. Projects become harder to finance; companies’ profitability is affected as they need to increase their reliance on more expensive equity; and very leveraged companies have a higher risk of default. Clean energy investments are more vulnerable to a rise in borrowing costs than other types of energy investments, as they typically involve relatively high upfront costs that are compensated over time by much lower operating expenses.

High borrowing costs exacerbate challenges facing renewable project developers in many emerging and developing economies, where the cost of capital is already two or three times higher than in advanced economies and China. According to the latest survey data from the IEA’s Cost of Capital Observatory, nine out of ten respondents expect increases in the cost of capital in emerging and developing economies in 2023.

MORE:

Foto-ilustracija: Pixabay

In addition, the extended run of cost declines for key clean energy technologies has been interrupted by volatile commodity prices and supply chain constraints. The IEA’s Clean Energy Equipment Price Index tracks prices for a basket of solar PV modules, wind turbines and lithium-ion batteries. There was a noticeable uptick in prices that started towards the end of 2020 and which remains visible for many clean technologies with the exception of solar PV.

The renewable power industry as a whole has demonstrated considerable resilience over the last few years. But the change in broader market conditions has brought signs of strain, especially in the wind sector.

Project commitments and economics have been upset by higher financing costs and higher input costs for key raw materials, including critical minerals, meaning that these projects have become difficult or impossible to deliver as planned. This has led wind developers to request price negotiations to accommodate higher costs, and in some cases to project delays and cancellations. It has also sapped willingness to bid in new auctions where the price expectations are not aligned with today’s costs. As reported in the latest Renewable Energy Market Update, auctions have been left undersubscribed as a result, especially in Europe. In 2022, unallocated capacity globally reached its highest-ever level with only around 85 percent of capacity awarded – compared with 90-95 percent in 2020 and 2021. Europe accounted for 14 out of the total 20 GW auctioned capacities that were left unallocated globally. This trend continued in 2023; a striking example came in the UK when an offshore wind auction was left with no bids.

This uncertainty is having cascading implications for supply chains, with wind manufacturing facilities operating at well under full capacity. Many manufacturers of wind turbines in the sector in Europe and the United States have posted negative net margins for seven consecutive quarters over the last two years.

The offshore wind sector has been particularly affected, with 12 GW of offshore wind capacity facing delays or cancellation in the UK and US alone. As a result, Ørsted wrote off USD 4 billion against US offshore wind projects. BP and Equinor also wrote off USD 800 million, and Iberdrola cancelled an 800 MW project in the US due to financial complications.

The solar PV industry has also been exposed to cost and financing pressures, but from a slightly different direction. Higher borrowing costs have been a concern for developers, but the main issue has been the emergence of a large excess in manufacturing capacity that is reducing the profitability of players throughout solar PV supply chains. As described in detail in the Special Report on Solar PV Global Supply Chains, the solar industry is dominated by large integrated Chinese companies and manufacturing capacity in China and elsewhere has been running ahead of deployment.

Foto-ilustracija: Unsplash
(Marcin Jozwiak)

The resulting fierce competition for market share has reduced the profits of vertically integrated manufacturers while non-integrated firms are struggling to attain profitability altogether. Smaller manufacturers are faced with extremely challenging conditions, as prices for solar PV modules reached record lows despite rising levels of demand.

Some of the challenges facing the wind and solar industries are primarily cyclical or temporary in nature. Cost pressures along supply chains are starting to ease: prices for key clean energy technologies have either levelled off or resumed their downward trajectory. Some issues facing projects have been attributable to delays in policy implementation, for example with aspects of the EU Green Deal or in finalising detailed tax credit guidance in the case of the US Inflation Reduction Act.

But the recent difficulties facing renewable projects also highlight some broader structural issues that policymakers need to address. Four issues stand out:

  • Inflexible tender designs: the trend in recent years in tenders was that renewables were able to offer increasingly lower prices in a low cost, low interest rate environment. This set expectations among governments that auction prices would only ever head downwards. Procurement and contracting terms were not flexible enough to accommodate changing macroeconomic conditions or cost pressures.
  • Long waiting times for permitting and connection: financial pressures have been compounded by long lead times required to connect to the grids and gain necessary permits. As the recent IEA report on Electricity Grids and Secure Energy Transitions makes clear, at least 3 000 GW of renewable power projects, of which 1 500 GW are in advanced stages, are awaiting grid connection. This is to equivalent to five times the solar PV and wind capacity added in 2022. In some countries, early-stage project contracts are awarded prior to securing permits and connection, which complicates final generation cost estimates for power producers.

Source: IEA

Fronius Tauro. Designed to perform – also in sustainability

Photo: Fronius Tauro

Powerful in any situation: the robust Fronius Tauro inverter impresses not only by offering maximum flexibility in terms of system design, but also by its minimal overall system operating costs. The robust project inverter makes commercial large-scale photovoltaic systems even more cost-effective.

  • Quick installation and efficient maintenance
  • Power electronics protected by active cooling
  • Double-walled housing ensures optimum temperature compensation
  • Stable high performance even at ambient temperatures of up to 50 °C

But that’s not all. Fronius Tauro is as sustainable as a project inverter can be.

Photo: Fronius Tauro

Impressive life cycle analysis

The results of the life cycle analysis for the Fronius Tauro could not be clearer: the environmental benefits exceed the environmental costs by a factor of up to 52, while in no more than ten months, the Tauro will produce more energy than was consumed to manufacture it. These are just two of the many outstanding results of the life cycle analysis demonstrating that the Fronius Tauro is “Designed to perform”.

Fronius’ sustainability experts spent eight months analysing the life cycle of the Fronius Tauro project inverter. Every step was examined, from the procurement of raw materials, through production and use, to disposal at the end of the product life cycle. Even the smallest aspects were carefully considered in incredible detail: “We evaluated 960 components with 5,050 parts and even etched components in sulphuric acid to be able to determine the weight of the semiconductors and gold elements inside even more precisely,” describes David Schönmayr, Project Manager R&D, Fronius International GmbH.

More:

Scientifically-proven sustainability

The 8,400 results in total were subsequently verified by the highly regarded IZM Fraunhofer institute in accordance with ISO 14040 and 14044. “This is scientifically-provensustainability. We deal solely with facts, because we want to know how we are doing and incorporate these results into future products,” explains Schönmayr.

Karsten Schischke, from IZM Fraunhofer, is also convinced by the results: “A life cycle analysis is not an end in itself, but should identify specific opportunities for improvement in the life cycle. This is exactly what the life cycle analysis of the Tauro […] has achieved: the detailed analysis not only confirms the important positive contribution of PV inverters for the green transformation of the energy sector, but also identifies areas with potential for us to work on from the point of view of climate protection and the circular economy.”

Photo: Fronius Tauro

Life cycle analysis delivers outstanding results

The results are undeniably impressive: the payback time of the climate impact (CO2 payback time) – in other words, the time until the inverter becomes climate neutral – is between five months and two years, depending on usage. Fronius Tauro also performs impressively when it comes to energy payback. The project inverter needs less than one year (0.34 – 0.83 years) to produce more energy than was consumed during its manufacture. Furthermore, up to 223,097 kg CO2-e are saved by the Fronius Tauro, equivalent to up to 200 flights between Vienna and New York.

“This is one of the key differences between Fronius and other manufacturers. We set ourselves apart through end-to-end transparency when it comes to the sustainability of our products. We are industry pioneers, both in terms of depth of detail and consistency of the life cycle analysis. And, our aim is to have the systems with the best carbon footprint,” says Martin Hackl, Global Director Marketing & Sales Business Unit Solar Energy, Fronius International GmbH.

From recycled materials to repairability

“Our customers are increasingly asking for life cycle analysis results. They want to know how much recycled material is in their inverter and what the situation is regarding repairability,” reveals Martin Hackl.

The Fronius Tauro is completely and fully repairable. Almost every part can be replaced, which also has a positive impact on service life. If, for example, a power stage set is replaced after ten years, up to 150 kg of CO2 is emitted. With our competitors, the entire inverter would have to be replaced, resulting in many times more CO2 being released into the atmosphere. This unique power stage set replacement option provides the ultimate in convenience for Fronius customers while also being good for the environment.

Source: Fronius Tauro

THE FUTURE GUIDED BY INNOVATIONS

Photo: BMW
Photo: BMW

The engine of the future will be powered by electricity, and the future starts here and now. Led by innovation, the BMW strives to shape a tomorrow that will offer new opportunities for a greener and more sustainable society. That’s why the BMW’s vision is evolving along with the changes of the new era, which focuses on electric cars.

The BMW Group aims to be completely CO2 neutral by 2050 at the latest, and sustainability will be the basic postulate that shapes the business of one of the largest car manufacturers in the world, while respecting the highest standards in the field of electric mobility.

For all those who resolutely keep up with the upcoming changes, BMW Serbia has prepared special promotional benefits with the purchase of electric cars in the next period.

Thus, with every purchased electric vehicle, you get a BMW Wallbox charger, a four-year warranty (valid for up to 200,000 kilometers), as well as four years of regular service.

After almost five decades of research and development on the topic of sustainable and environmentally friendly mobility, BMW Serbia offers electric models with innovative technology, modern and attractive design.

Impressive ranges make driving the BMW electric cars more flexible and practical, but also more attractive than ever before.

IN FOCUS:

That’s why we present six attractive BMW electric models that are available within our special promotional offer from BMW Serbia: BMW iX, BMW iX1, BMW iX3, BMW i4, BMW i5 and BMW i7.

Photo: BMW

BMW IX

It is an attractive SAV model was created for electric mobility. Thanks to efficient BMW eDrive technology and fully electric four-wheel drive, the BMW iX achieves the range of 403 km to 633 km according to the WLTP standard (depending on the version and equipment of the model) and delivers impressive acceleration. The intelligent BMW Operating System 8 is used intuitively, and it made its debut on this particular model. With two powerful electric motors and BMW xDrive electric four-wheel drive, the BMW iX offers outstanding performance and unique driving experience.

Photo: BMW

BMW IX1

The all-electric BMW iX1 exudes energy and functionality, as well as the ability to inspire the driver to explore new roads. The self-confident appearance of this model leaves a breathtaking impression, thanks to the modern design language and perfect proportions. Superior comfort in the interior is achieved thanks to the active seats with massage and lumbar function for sitting comfort. The modern multimedia cabin is created thanks to the innovative BMW curved touch-sensitive display and voice control concept. Its range is from 417 km to 439 km according to the WLTP standard (depending on the equipment of the model).

Photo: BMW

BMW IX3

The BMW iX3 model is characterized by attractive, sporty appearance, while the aerodynamic and blue elements emphasize the electric nature of this vehicle in full. With the range of 453 km to 461 km according to the WLTP standard (depending on the equipment of the model) with efficient consumption, this model is ideally adapted to any route. The BMW iX3 features state-of-the-art technologies that combine emission-free mobility with supreme comfort. Intelligent driver assistance systems can be easily controlled by voice command, which increases safety during the journey. More dynamic, efficient and innovative than ever, the BMW iX3 features the fifth generation of BMW eDrive technology. This attractive SAV offers top performance that will impress you every meter you drive.

BMW

Read the story in the new issue of the Energy portal Magazine ELECTROMOBILITY

Enhancing infrastructure can help boost Denmark’s clean energy investment

Foto-ilustracija: Pixabay
Photo-illustration: Pixabay (Oimheidi)

Denmark’s energy and climate ambition in sectors such offshore wind, biomethane and district heating are transforming the country’s energy system and reinforcing its image as a clean energy leader toward net zero emissions by 2050, according to a new in-depth policy review by the IEA.

In 2022, Denmark enjoyed the highest share of wind electricity (54 percent) in the IEA, which together with bioenergy and solar photovoltaics (PV) account for around 80 percent of the power mix. In the same year, almost 40 percent of Denmark’s gas consumption came from biomethane.

While great strides have been made in the energy sector, achieving Denmark’s goal of a 70 percent reduction in greenhouse gas (GHG) emissions by 2030 will require even greater efforts. By the end of the decade, Denmark must achieve in seven years what it managed over the past 30 years in terms of emissions reductions.

According to the new IEA energy policy review, additional measures will be needed most notably in the transport and buildings sectors. The completion of the green tax reform is critical, but should be accompanied by a broad transport decarbonisation strategy and a new vision for energy efficiency, focused on digitalisation, smart cities and buildings. The report offers a detailed evaluation of Denmark’s energy transition in each sector.

Denmark continues to demonstrate great leadership and innovation in the clean energy economy. As the birthplace of the modern offshore wind industry, it is now using that foundation to build an energy system for the future that will offer opportunities for its citizens and businesses on both the domestic and global stage,” said IEA Executive Director Fatih Birol. “At a time of uncertainty for energy markets, the IEA is committed to working with Denmark to achieve its energy transition and security goals.”

More:

The global energy crisis sparked by Russia’s invasion of Ukraine brought Denmark’s reliance on energy imports into sharp focus, highlighting the need for security of supply, energy diversification and an acceleration of fossil fuel phase out. In 2022, the government proposed to bring forward its climate neutrality target to 2045 and aim for a 110 percent emissions reduction goal by 2050. This increased ambition will require solutions that enable negative emissions in addition to clean energy technologies.

Denmark already has ambitious renewable energy deployment targets. Notably, in the heating sector with an aim to fully replace fossil fuels with biomethane by 2030. There are also plans to increase offshore wind capacity almost eightfold as well as quadrupling onshore wind and solar PV by the same year. Under its Power-to-X (PtX) Strategy of 2021, Denmark is targeting up to 6 GW of hydrogen electrolysis capacity by 2030.

While Denmark has led the way on streamlined permitting for offshore wind, no fast-track process exists for onshore. As such, the IEA report recommends the government review best practices for fast tracking permitting, including a one-stop shop for onshore wind developers with a focus on digitalisation and auction designs to spur further cost reduction.

Photo-illustration: Pixabay

The report finds that Denmark is well placed to advance the decarbonisation of its economy thanks to regional integration. The North Sea region is a hub for shipping, aviation and industrial clusters and a future centre of demand for low-emissions hydrogen, e-fuels as well as carbon capture utilisation and storage (CCUS). Within only three years, Denmark has created framework conditions and rules for CCUS, completed its first tender and allocated the first CO2 storage licence in addition to agreeing regional hydrogen pipelines. The PtX taskforce is supporting the roll-out of Denmark’s hydrogen and low-emission fuels strategy with more than 30 PtX projects and actions underway.

The Danish government has an important role to play in mitigating supply chain risks, supporting bilateral agreements and the development of rules at the European Union (EU) level. These include the Carbon Border Adjustment Mechanism, rules on the certification of hydrogen and negative emissions, and a framework for CO2 transportation and storage. The IEA report also recommends preparing a green infrastructure master plan at the regional level, as Denmark assumes the Presidency of the North Sea Energy Cooperation in 2024. Such a plan would help to lower cost and de-risk investment. This includes power grids, CO2 and hydrogen networks.

Source: IEA

Holding the oil and gas sector accountable to methane promises

Photo-illustration: Freepik (frimufilms)
Photo-illustration: Pixabay (catazul)

Much of the world has felt the sting of climate change this year although, as ever, the poor and vulnerable have suffered the most.

This climate chaos has arrived at estimated global average temperatures of 1.4°C above pre-industrial levels. According to UNEP’s Emissions Gap Report, we are heading for 2.5 to 2.9°C this century. At those temperatures, the sting will become debilitating and deadly for many more people and economies.

We must deliver low-carbon development transformations that slash greenhouse gas emissions, ideally by 28-42 per cent by 2030 to stay on track for 2°C and 1.5°C respectively. Deep reductions in methane emissions are an important part of this transformation. Cuts to this powerful climate-warming gas are relatively cheap, fast and easy to deliver. Such cuts will buy time for decarbonization efforts in developing countries and bring other benefits, such as reducing deadly air pollution and avoiding crop losses.

So, it is welcome to see the oil and gas sector promising action through the Oil and Gas Decarbonization Charter.

More:

However, transparency is going to be critical because trust is low. Sure, companies are saying the right things. Yet the coal, oil and gas production planned for 2030 is more than double the levels consistent with 1.5°C. It would require serious mental gymnastics for oil and gas companies to convince themselves they are doing all they can for the climate.

UNEP is working with the industry to ensure accountability. The Oil and Gas Methane Partnership 2.0, part of UNEP’s International Methane Emissions Observatory, is emerging as the global Monitoring, Reporting and Verification system on methane in the oil and gas sector. The UNEP Methane Alert and Response System detects methane emissions and notifies governments and operators so they can plug the leaks quickly. My thanks to the Bloomberg Philanthropies for providing new funding to these initiatives.

Now we need the oil and gas sector to make stronger promises, live up to them, and accompany action on methane with deep decarbonization of the energy system. This is how the sector can earn the world’s trust and adopt new business models that will allow them to remain profitable during and after the inevitable low-carbon transition.

Source: UNEP

NOVI SAD STEPS INTO THE WORLD OF ELECTROMOBILITY

Photo: JGSP Novi Sad
Photo: JGSP Novi Sad

Regarding recent investments in innovation and infrastructure, Novi Sad was one of the most engaged cities in the country. The flat terrain that the city rests on has been successfully used for the development and expansion of bicycle paths, and recently, the city held a competition for the distribution of subsidies for cyclists, thanks to which there will be fewer traffic jams, plus boosts what is the healthiest and cleanest transport for people and the environment. Recently, a so-called turbo roundabout was commissioned, whereby drivers choose their direction before entering the roundabout, which should further expedite the traffic at that section. Apart from these innovations in infrastructure and traffic, starting this summer, ten new electric buses are now cruising the city, all part of the fleet owned by the Novi Sad Public City Transport Company (JGSP Novi Sad). We spoke with Apolonija Holo, Head of the Investment Maintenance Department at JGSP Novi Sad, about new buses, the company’s plans and the advantages of electric vehicles.

Q. When and how did the idea to include electric buses in public city transport develop? Have these buses replaced the oldest models that have served their time on the roads?

A. Our company’s engineers closely follow the development of the bus industry and new technologies and analyze the current market, so every new addition to the JGSP Novi Sad’s fleet follows technological achievements that ensure a higher level of safety, affordability, comfort and environmental protection. In recent years, our fleet received a hundred new CNG-powered buses, which will be discussed later. This decision is a substantial step forward.

Investing is part of Novi Sad’s larger involvement in the European Bank for Reconstruction and Development (EBRD) programme—Green Cities— which provides support to cities that want to invest in green and sustainable infrastructure, thereby solving key environmental challenges. With its Green Cities programme, the EBRD had already helped Novi Sad’s public transport to have 29 new buses as part of the ongoing fleet renewal program, when 100 new CNG-powered vehicles were purchased. This type of bus significantly reduces emissions of polluting gases, and they were purchased in 2020 and 2021.

The Novi Sad government signed a document with the European Bank for Reconstruction and Development (EBRD) in June 2020, stipulating its intentions and ambitions for purchasing electric buses. A year later, after being granted a loan with favourable terms and conditions, the procurement ensued.

The company strives to continuously renew its vehicle fleet so that a certain number of old buses are written off by purchasing new vehicles as needed.

IN FOCUS:

Q. Could you tell us more about the performance of these buses? Which exact models did you buy, and which countries did you import them from?

Photo: JGSP Novi Sad

A. After the public procurement was completed, we decided to go for Solaris from Poland, a company whose buses are used for public transport throughout Europe. Solaris has been repeatedly awarded for quality and innovation in Poland, as well as in other countries. At the same time, Solaris Urbino 12 electric buses, which are now part of the JGSP Novi Sad fleet, won the prestigious 2017 European Bus of the Year award.

These are low-floor, twelve-meter-long buses that can take up to 80 passengers plus the driver. In addition to the equipment that is generally standard in our vehicles (built-in air conditioning, platform for disabled passengers, cameras and video surveillance), the new buses have modern Mirror Eye mirrors. It is a set of cameras that replace conventional mirrors and show the driver the area immediately around the bus, significantly increasing traffic safety. Furthermore, they are equipped with Mobileye Shield+, a solution designed to avoid traffic accidents making driving safer. Thanks to this system that notifies the driver with sound and visual signals where pedestrians and cyclists are and how far the bus is from nearby vehicles, the problem of blind spots is solved. The buses also have a fire extinguishing system and an alcohol testing device—the vehicle’s immobilizer.

Photo: JGSP Novi Sad

Q. How many vehicles does JGSP Novi Sad have in total? What are immediate and not-so-immediate plans regarding this type of electromobility?

A. The JGSP Novi Sad fleet currently has 276 vehicles. According to most research and the regulation being adopted worldwide, electromobility is currently apostrophized as the future of traffic. Following our capabilities and needs, we will adapt to sustainable and economical transportation trends.

Q. Could you compare the financial advantages and disadvantages of conventional buses and new electric ones?

A. Electric buses are more expensive to operate, but only in the beginning. However, the affordability goes in their favor from the moment they start using them. According to data for April 2023 (internal statistics of energy consumption and purchase prices), the cost per kilometer for diesel buses is 65 RSD/km, for CNG buses 46 RSD/km, while for electric buses it is 20 RSD/km. Furthermore, we all know that city traffic is one of the major sources of pollution and we are aware of that part of our responsibility, as companies whose vehicles travel millions of kilometers annually. By investing in a sustainable form of mobility, we will contribute to improving the quality of the environment.

Prepared by: Milica Vučković

Read the story in the new issue of the Energy portal Magazine ELECTROMOBILITY

Strong policy progress on energy efficiency seen in 2023

Foto-ilustracija: Pixabay
Foto-ilustracija: Pixabay (analogicus)

Policy makers around the world expanded measures to promote energy efficiency in 2023, helping consumers save money and improving the security and sustainability of the global energy system – though progress is not moving fast enough to meet the world’s climate targets, according to a new IEA report.

The Energy Efficiency 2023 market report, published today, finds that policy momentum for energy efficiency continues to build following the global energy crisis set off by Russia’s invasion of Ukraine. Investments in efficiency have grown by 45 percent since 2020, and in the past year, countries representing three-quarters of global energy demand have strengthened energy efficiency policies or introduced new ones. Key measures are also becoming more widespread. For example, almost all countries now have efficiency standards for air conditioners, and the number of countries with standards for industrial motors has tripled within the past decade.

However, the report found that global improvements in energy intensity – a primary measure of energy efficiency – slowed in 2023. According to the report, this was the result of factors such as an economic rebound in energy-intensive sectors such as petrochemicals and aviation in some regions, as well as booming demand for air conditioning during what is on track to be the hottest year on record.

The IEA’s analysis has shown that to achieve net zero emissions from the energy sector by 2050, which is essential to limit global warming to the Paris Agreement target of 1.5 °C, annual improvements in energy efficiency need to double – rising from a level of 2 percent in 2022 to more than 4 percent per year on average between now and 2030. In 2023, global energy intensity improved by 1.3 percent, well below what is needed to achieve this target.

MORE:

“The world’s climate ambitions hinge on our ability to make the global energy system much more efficient. If governments want to keep the 1.5 °C goal within reach while supporting energy security, doubling energy efficiency progress this decade is critical,” said IEA Executive Director Fatih Birol. “The findings of this report are a stark warning to the leaders gathering shortly at the COP28 climate conference in Dubai that they all need to commit to stronger action on efficiency and to deliver on it.”

A global commitment to double energy efficiency improvements this decade is one of the IEA’s five pillars for a successful outcome at COP28, which begins this week. Other priority actions to 2030 include tripling global renewable energy capacity; oil and gas companies committing to clean energy transitions, including cutting methane emissions from their operations by 75 percent; boosting clean energy investment in emerging markets and developing economies; and ensuring the orderly decline of fossil fuel use, including an end to new approvals of unabated coal-fired power plants.

Photo-illustration: Freepik (rawpixel.com)

The slower global rate of efficiency improvements masks some strong gains at the national level. After improving energy intensity by 8 percent in 2022, the European Union is set to post a 5 percent improvement this year. The United States is also on track for a 4 percent improvement in 2023. Since the start of the energy crisis, more than 40 countries in total have improved energy efficiency at a rate of 4 percent or more for at least one year.

The report notes that consistent and widespread efficiency gains are crucial to drive down emissions, especially given expectations for global growth in electricity demand. For example, universally switching to LED technology for lighting in the United States could save enough energy to power 3 million electric vehicles per year or heat 2.6 million homes with heat pumps.

The report also finds that achieving the doubling target would deliver substantial benefits for governments, citizens and industry. Under this scenario, employing workers in activities like retrofitting homes, installing heat pumps and manufacturing more efficient cars would lead to the creation of 4.5 million more jobs. It would also cut today’s home energy bills – reducing them in advanced economies by around one-third, for example. The climate impact would also be enormous. Doubling energy efficiency improvements by 2030 would lower global carbon dioxide emissions by over 7 billion tonnes, equivalent to the emissions from the entire transport sector worldwide today, according to the report.

Source: IEA

Warming, acidification, dropping oxygen levels threaten Europe’s seas

Foto-ilustracija: Pexels
Photo-illustration: Freepik (kdekiara
kdekiara)

The EEA briefing ‘How climate change impacts marine life’ summarises how increasing levels of greenhouse gas emissions in the atmosphere are affecting marine ecosystems in Europe. Supporting the review of the EU Marine Strategy Framework Directive, the EEA briefing further highlights geographic areas of special concern and actions to support ecosystem resilience.

Climate change affects marine life negatively mainly through its ‘deadly trio’ of making seawater warmer, more acidic, and less rich in oxygen. This summer, global sea surface temperatures were record high and Europe’s regional seas experienced several marine heatwaves. Recent research indicates that climate change could be responsible for up to half of the combined impacts on marine ecosystems.

The EEA briefing warns that semi-enclosed seas, shallow areas, and coastal waters in Europe are especially vulnerable to the impacts of climate change. This concerns particularly parts of the Baltic Sea, the Adriatic Sea and the North Sea, the EEA briefing notes.

More:

The overall state of Europe’s seas is degrading but some parts of marine biodiversity show improvements where measures have been put in place and implemented. According to the EEA briefing, this suggests that it may be possible to help individual parts of marine ecosystems, such as individual species or habitats, to recover by reducing specific pressures. This could have positive effects on overall ecosystem resilience.

To support these developments, the EEA briefing highlights the importance of increasing marine protected areas to cover 30 percent of Europe’s seas, restoring damaged ecosystems, such as seagrass beds, and careful planning of where and how seas are used for human activities, such as energy production, shipping, and tourism, or designated as protected areas. These actions could help Europe’s marine ecosystems and their ability to continue providing much-needed services, including carbon sequestration, food, materials, recreation, and tourism.

Source: EEA

THE PATH TO THE DEVELOPMENT OF E-MOBILITY

Photo-illustration: Unsplash (Why Kei)
Photo: courtesy of Dalibor Ignjatović

In cooperation with the Faculty of Mechanical, Traffic and Electrical Engineering, the National Association of Autonomous and Electric Vehicles (NAAEV) is holding the sixth E-mobility Forum in Belgrade on October 11 and 12. The Forum will be organized under the auspices of the Ministry of Science, Education and Technological Development and the Ministry of Construction, Transport, and Infrastructure. The event will focus on challenges and innovative technological solutions in autonomous and urban mobility, including industry, academia, and city representatives. We spoke with Dalibor Ignjatović, Director of Innovation at NAAEV, about how far Serbia is on the road to the development of e-mobility and what measures should be implemented for people to travel safer and faster with electric vehicles.

“We started in 2015 with the idea of incorporating Serbia into the changes underway in global mobility at that time. We aim to direct Serbian scientific research and industrial potential towards cooperation on projects focused on innovative urban mobility solutions. Thanks to a contract, we have included the 11 largest technical faculties in Serbia and 14 domestic high-tech companies. In 2019, NAAEV received the status of HUB for Serbia from the European Institute of Innovation and Technology—Urban Mobility (EIT-UM), and this year we became a member of the European Association Connected, Cooperative and Automated Mobility (CCAM). As a result of the engagement of its capacities within a significant number of European urban mobility projects, NAAEV has become a contact point for scientific and research institutions, companies, and cities in Serbia, which the Association directs and includes in projects related to development, research and testing of electric and autonomous vehicles, infrastructure, and their components”.

IN FOCUS:

How have the authorities responded to NAAEV’s activities on engaging scientific and research potential in the development of electric vehicles?

Photo: courtesy of Dalibor Ignjatović

Bearing in mind the scope and dynamics of changes in electric and autonomous transport, NAAEV forwarded several strategic initiatives to the Serbian government and line ministries regarding developing this field in our country. These include the 10-point Studies Programme for Electromobility in Serbia and the Guidelines for the Development of Electromobility in Serbia from 2019 to 2025, which contains 10 measures, the implementation of which puts Serbia on an efficient path towards e-mobility. We proposed the formation of an interdepartmental working group and the deadlines within which these measures could be implemented. However, so far and despite the steps towards the improvement of e-mobility that are being undertaken in Serbia, a lot of things are done slowly and are unsynchronized, because a clear institutional infrastructure has not been established yet, nor the necessary regulatory and strategic environment.

According to your estimates, how many electric four-wheelers are there in Serbia and how many chargers? How do you evaluate infrastructure development, and how can e-mobility develop faster?

This question is seemingly easy to answer. According to certain criteria, plug-in hybrid electric vehicles and hybrid vehicles can be counted as e-vehicles. These two categories, as well as Battery Electric Vehicles, significantly contribute to green transport implementation.

As part of the study on the development of electromobility for the city of Belgrade from 2022 to 2030, which was carried out by NAAEV and commissioned by the World Bank, an assessment was made according to which, by the end of 2022, almost 11,500 e-vehicles in Serbia that belong to the aforementioned vehicles should have been registered, which is less than one per cent of the total number of vehicles in the country. The study also showed that over 90 per cent should have been plug-in hybrid vehicles. The key point of the transition towards the electrification of private and public transport vehicles is the establishment of an adequate e-infrastructure, i.e. the availability of charging stations. In addition to undefined regulatory aspects in Serbia, the limited number of charging stations for electric vehicles is one of the main obstacles to carrying out the electric transition easily and quickly.

Photo-illustration: Pixabay (Autoknipser-de)

According to your estimates, at what rate will the number of e-vehicles and chargers increase in Serbia in the coming period? How can we improve the charger network?

Bearing in mind the analysis that the World Bank commissioned, the assumption is that the growth of the number of battery-powered electric vehicles and hybrid electric vehicles in Serbia on an annual basis in the period until 2030 will amount to five per cent. As for chargers, according to the same analysis, Serbia will need slightly more than 2,000 EV charging stations by 2030 to fulfil the needs of the expected number of users. I would like to underline that this is not only about the number of required chargers but also their structure and appropriate spatial arrangement. Fast charging (7—22 kW) and Rapid charging (50—99 kW) chargers will be installed in urban areas, while Ultra-rapid charging (100—360 kW) chargers will be installed on motorways.

How are autonomous transport solutions tested in Serbia? Where do we stand when it comes to regulations for autonomous vehicles?

Driverless autonomous vehicles are slowly becoming a reality, and statistics show that human error is the cause of more than 90 per cent of traffic accidents. In some countries, robot taxi services are already functioning and in addition to transporting passengers, robotic delivery in urban areas and, in particular, solving long-distance transportation of goods is a very near future. America and China are leading in developing legislation, which is the primary prerequisite for further developing and applying these technologies. Europe is still far behind in this matter. That’s why the arrival of Self Driving Group, a subsidiary of Yandex, which announced the testing of autonomous vehicles in Belgrade, gives Serbia a significant opportunity to become one of the first European countries to implement these state-ofthe-art services.

Interviewed by: Mirjana Vujadinović Tomevski

Read the story in the new issue of the Energy portal Magazine ELECTROMOBILITY

What is fuelling the world’s antimicrobial resistance crisis?

Foto-ilustracija: Pixabay
Foto-ilustracija: Unsplash (Bill Oxford)

Antimicrobial resistance (AMR) is one of the greatest global health threats. It was associated with an estimated five million deaths in 2019, and if left unchecked, it could have a catastrophic impact on people and the economy. Research from the United Nations Environment Programme (UNEP) shows it could shave US$ 3.4 trillion off GDP annually and push 24 million people into extreme poverty in the next decade.

Pollution from the pharmaceutical, agriculture and healthcare sectors is one of the main drivers of AMR, which occurs when bacteria, viruses, fungi and parasites evolve over time and develop the ability to defeat the drugs designed to combat them.

A recent study found that more than a quarter of some 258 rivers around the world were polluted with drugs to a toxic degree. The highest concentrations of active pharmaceutical ingredients were found in Sub-Saharan Africa, South Asia, and South America.

“Limiting the emergence and spread of antimicrobial resistance is critical to preserving the ability to treat diseases, reduce food safety and security risks, fight inequities and protect the environment,” said Jacqueline Álvarez, the Chief of the Chemicals and Health Branch at UNEP. “AMR is a complex and interconnected crisis. It requires preventative and management measures with a ‘One Health’ approach that recognizes that the health of people, animals, plants and the environment are closely linked and interdependent.”

To mark World AMR Awareness Week, which takes place from 18 – 24 November every year, here is a primer on what is driving the spread of AMR.

1. Misuse of antibiotics  

Excessive and inappropriate use of antibiotics can lead to antibiotic-resistant strains of bacteria. People can misuse antibiotics by not completing the prescribed course of antibiotics, using the incorrect dosage or being prescribed antibiotics unnecessarily. This haphazard approach, coupled with the improper disposal of drugs, allows more resistant bacteria to thrive, multiply and potentially lead to the development of superbugs that are difficult, if not impossible, to treat with existing antibiotics.

Antimicrobial misuse in the livestock sector, aquaculture, companion animals, and crop production is also a major concern with a risk for the development and spread of antimicrobial resistant microorganisms.

MORE:

2. A lack of access to clean water and sanitation 

Photo-illustration: Pixabay

Poverty, lack of clean water and poor sanitation make AMR worse. People living in places with limited access to water, sanitation and hygiene are at greater risk of coming into contact with contaminated water that may carry a variety of pathogens, including bacteria resistant to antibiotics. Animals are also more susceptible to diseases when hygiene conditions are poor.

AMR also exacerbates inequities within societies. Vulnerable groups, including women, children, migrants, refugees, and those living in informal settlements, are particularly vulnerable to drug-resistant infections and may have less access to health systems. Uncontrolled and untreated sewage exacerbates the problem.

3. Pollution from pharmaceutical companies and farming 

Pollution from pharmaceutical manufacturing, livestock farming, aquaculture, intensive crop production and the healthcare sector are key drivers of AMR. Although the pharmaceutical industry has helped to improve public health, untreated or inadequately treated waste from drug manufacturing factories often ends up in the environment, contributing to the build-up of drug-resistant microbes. The improper disposal of unused and expired medicines also fuels the spread of AMR.

The overuse of drugs in agriculture remains a concern as farmers around the world continue to rely on antimicrobials to maintain the health of animals and, in some cases, promote their growth. Meanwhile, up to 75 per cent of antibiotics used in aquaculture or aquafarming may be lost into the surrounding environment. Fungicides, antibiotics, and other chemicals used in crops are usually applied directly into the environment and could result in higher local concentrations of these pollutants with subsequent effects on antimicrobial resistance.

4. Mass movement of people 

Foto-ilustracija: Unsplash (Indrajeet Choudhary)

Rapid globalization has resulted in increasing numbers of people and goods moving across borders. In 2019 alone, a record 4.5 billion people travelled by air. The mass movement of people may contribute to the burden of antimicrobial resistance by allowing resistant microorganisms to travel from one side of the world to the other. Research has shown that antimicrobial-resistant bacteria carried by humans may persist for up to 12 months after travel, further contributing to the risk of AMR transmission.

To complicate matters, according to the UN Refugee Agency, there are currently 110 million forcibly displaced people around the world. Many of them lack access to basic rights including proper housing, healthcare, water and sanitation, which are all factors that increase the spread of AMR.

5. Climate change and biodiversity loss 

The climate crisis is exacerbating antimicrobial resistance. Extreme weather events, such as floods and rising temperatures, help proliferate microbes in the environment. Flooding can cause wastewater and sewage that is full of antimicrobial-resistant microbes to overwhelm treatment plants and contaminate surrounding areas. Biodiversity loss makes AMR worse by diminishing the richness of plant species that might hold the key to medicines that can treat infections now resistant to drugs.

Source: UNEP

The shift to the green economy leads to big and small transitions

Photo-illustration: Pixabay-StockSnap
Photo illustration: Unsplash (Micheile Henderson)

The global shift to net zero will require major structural changes in economies, as well as extensive change in daily lives. The scale of the transition is unprecedented: from the rush to source critical raw materials to the reconfiguration of global supply chains; from the rise of green skills in the workforce to the development of environmentally sustainable housing markets.

The EBRD Transition Report 2023-24: Transitions big and small, published today, offers revealing insights into the way macro-level trends leading to carbon neutrality impact the types of job sought, household management and, ultimately, the perceived level of happiness in the regions where the Bank operates.

EBRD Chief Economist Beata Javorcik said: “The change and upheaval that stems from these trends will affect people’s lives for the foreseeable future. Policymakers will need to establish a deep understanding of those effects in order to plan future stages of the green transition, as individual attitudes will both shape and be shaped by that transition process. […]

“The success of the green transition will depend on winning their hearts and minds as we continue our journey towards a cleaner future. If there is one thing we have learned from 30 years of transition in the EBRD regions, it is that reforms will not last unless they have broad-based support.”

Big transitions

Climate change, technological development and geopolitical tensions are all reshaping global supply chains in significant ways.

The production of green and digital technologies requires reliable access to critical raw materials. Several EBRD economies, including the Czech Republic, Morocco, Tajikistan and Türkiye, are major producers or home to relatively large reserves of raw materials used for solar power and the fuel cell sector. However, establishing new mines and refining facilities will require considerable time and investment.

Meanwhile, geopolitical tensions and the fragmentation of global trade are transforming value chains in a way that offers a potential opportunity to increase exports from economies in the EBRD regions.

More:

Small transitions

Happiness

Using rich data recently collected by the EBRD and the World Bank through the fourth Life in Transition Survey, the Transition Report reveals that average life satisfaction in the Bank’s regions has risen further since 2016. 

People in Central Asia are the happiest, followed by notably increased scores in south-eastern Europe and eastern Europe and the Caucasus.

Overall, the upward trend probably reflects rising incomes, a shift towards more pleasant and higher-skilled jobs and improvements in health.

Jobs

In the labour market, the green economy is increasing demand for workers with green skills (who are paid an extra 4 per cent, on average). However, the ability to move from brown to green jobs remains sluggish across the EBRD regions, partly because of the slow pace of green innovation.

Green policies affect different labour-market segments in different ways, potentially upending local job markets. For example, the loss of existing jobs in the most polluting manufacturing sectors is likely to be concentrated in specific regions. Also, lower-skilled workers tend to be more sceptical about the need for environmental policies.

Housing

Post-war housing blocks are still prevalent across many of the EBRD regions. Levels of home ownership remain high, but there is limited new construction and little social housing. 

Housing also has a substantial environmental footprint. Even though households consume less energy in emerging Europe, Central Asia and North Africa, residential emissions are on a par with advanced European comparators, partly reflecting a continued reliance on coal. However, there is scope for significant emission reductions through home improvements in insulation and metering.

Structural reforms

The annual publication also analyses progress on economic development and structural reforms, looking at whether economies are competitive, well governed, green, inclusive, resilient and integrated.

Over the last year, scores in the areas of inclusion and integration have increased substantially, while those for governance have declined. Across all areas, improvements have been concentrated mainly in central Europe, the Baltic states and south-eastern Europe, with declines observed in the southern and eastern Mediterranean, and eastern Europe and the Caucasus.

 Source: EBRD

THE TREND OF GROWING ELECTRIC CAR SALES

Photo-illustration: Unsplash (Michael Fousert)
Photo-illustration: Unsplash (chuttersnap)

The decarbonization of road transport, which accounts for more than 15 per cent of global energy-related emissions, is a challenge that almost the entire planet is grappling with. Alternative fuel vehicles, which would replace diesel and gasoline, are one way of reducing emissions. However, electric vehicles remain the key to achieving zero emissions.

The latest Announced Pledges Scenario shows the extent to which the set goals for getting to net zero emissions by 2050 are achieved. The Scenario was published by the International Energy Agency (IEA) in August 2023, and it is estimated that the growth from the current 17 million electric cars to 800 million by 2040 would lead to a reduction of transport emissions by 36 per cent.

The data also show that a significant increase in the sale of electric vehicles worldwide was recorded from the beginning of 2020 to the end of 2022 when, in three years, sales increased from 4 to 14 per cent. In 2022, sales exceeded 10 million vehicles and taking 2022 as a benchmark year, the People’s Republic of China had the highest global sales of electric cars, followed by Europe and the US. With such a result, China’s share in world sales was 60 per cent.

IN FOCUS:

The EU has been investing significant effort in the decision-making process to reduce carbon dioxide emissions, including the decarbonization of transport.

One of the more important decisions, which is certainly an incentive for increasing the sale of electric vehicles, is that from 2035, only cars with zero emissions will be sold, with possible exceptions that vehicles with internal combustion engines (IE engines), which rely on e-fuels, will remain in use.

Photo-illustration: Pixabay

Although binding measures and national policies implemented by countries worldwide are good incentives, financial measures remain the most important ones.

According to the IEA, in 2022, the global spending on electric cars went up by 425 billion dollars, and only about 10 per cent of that spending could be attributed to government support and incentives, while the rest comes from individual consumer money.

Government incentives will not be enough to make electric cars more affordable, depending on the overall market situation. Namely, as the electric car market becomes increasingly competitive, the range of affordable models grows.

Compared to 2018, the number of available models more than doubled in 2022, reaching 500. Speaking of prices, if crude oil prices remain at last year’s quite high level, that could also boost electric car sales.

Growth in sales is expected to continue in 2023, as evident in the results that we are going to see at the end of this year. It is estimated that 14 million vehicles will have been sold by the end of the current year. If the forecasts are true, sales of electric cars could account for 18 per cent of total car sales this year.

Prepared by: Katarina Vuinac

Read the story in the new issue of the Energy portal Magazine ELECTROMOBILITY

The oil and gas industry faces a moment of truth and an opportunity to adapt

Foto-ilustracija: Pixabay
Foto: Unsplash

Oil and gas producers face pivotal choices about their role in the global energy system amid a worsening climate crisis fuelled in large part by their core products, according to a major new special report from the IEA that shows how the industry can take a more responsible approach and contribute positively to the new energy economy.

The Oil and Gas Industry in Net Zero Transitions analyses the implications and opportunities for the industry that would arise from stronger international efforts to reach energy and climate targets. Released ahead of the COP28 climate summit in Dubai, the special report sets out what the global oil and gas sector would need to do to align its operations with the goals of the Paris Agreement.

Even under today’s policy settings, global demand for both oil and gas is set to peak by 2030, according to the latest IEA projections. Stronger action to tackle climate change would mean clear declines in demand for both fuels. If governments deliver in full on their national energy and climate pledges, demand would fall 45 percent below today’s level by 2050. In a pathway to reaching net zero emissions by mid-century, which is necessary to keep the goal of limiting global warming to 1.5 °C within reach, oil and gas use would decline by more than 75 percent by 2050.

Yet the oil and gas sector – which provides more than half of global energy supply and employs nearly 12 million workers worldwide – has been a marginal force at best in transitioning to a clean energy system, according to the report. Oil and gas companies currently account for just 1 percent of clean energy investment globally – and 60 percent of that comes from just four companies.

Foto: Unsplash

“The oil and gas industry is facing a moment of truth at COP28 in Dubai. With the world suffering the impacts of a worsening climate crisis, continuing with business as usual is neither socially nor environmentally responsible,” said IEA Executive Director Fatih Birol. “Oil and gas producers around the world need to make profound decisions about their future place in the global energy sector. The industry needs to commit to genuinely helping the world meet its energy needs and climate goals – which means letting go of the illusion that implausibly large amounts of carbon capture are the solution. This special report shows a fair and feasible way forward in which oil and gas companies take a real stake in the clean energy economy while helping the world avoid the most severe impacts of climate change.”

The global oil and gas industry encompasses a large and diverse range of players – from small, specialised operators to huge national oil companies. Attention often focuses on the role of the private sector majors, but they own less than 13 percent of global oil and gas production and reserves.

Every company’s transition strategy can and should include a plan to reduce emissions from its own operations, according to the report. The production, transport and processing of oil and gas results in nearly 15 percent of global energy-related greenhouse emissions – equal to all energy-related greenhouse gas emissions from the United States. As things stand, companies with targets to reduce their own emissions account for less than half of global oil and gas output.

To align with a 1.5 °C scenario, the industry’s own emissions need to decline by 60 percent by 2030. The emissions intensity of oil and gas producers with the highest emissions is currently five-to-ten times above those with the lowest, showing the vast potential for improvements. Furthermore, strategies to reduce emissions from methane – which accounts for half of the total emissions from oil and gas operations – are well-known and can typically be pursued at low cost.

Photo-illustration: Pixabay

While oil and gas production is vastly lower in transitions to net zero emissions, it will not disappear – even in a 1.5 °C scenario. Some investment in oil and gas supply is needed to ensure the security of energy supply and provide fuel for sectors in which emissions are harder to abate, according to the report. Yet not every oil and gas company will be able to maintain output – requiring consumers to send clear signals on their direction and speed of travel so that producers can make informed decisions on future spending.

The USD 800 billion currently invested in the oil and gas sector each year is double what is required in 2030 on a pathway that limits warming to 1.5 °C. In that scenario, declines in demand are sufficiently steep that no new long-lead-time conventional oil and gas projects are needed. Some existing oil and gas production would even need to be shut in.

In transitions to net zero, oil and gas is set to become a less profitable and riskier business over time. The report’s analysis finds that the current valuation of private oil and gas companies could fall by 25 percent from USD 6 trillion today if all national energy and climate goals are reached, and by up to 60 percent if the world gets on track to limit global warming to 1.5 °C.

Opportunities lie ahead despite these challenges. The report finds that the oil and gas sector is well placed to scale up some crucial technologies for clean energy transitions. In fact, some 30 percent of the energy consumed in 2050 in a decarbonised energy system comes from technologies that could benefit from the industry’s skills and resources – including hydrogen, carbon capture, offshore wind and liquid biofuels.

However, this would require a step-change in how the sector allocates its financial resources. The oil and gas industry invested around USD 20 billion in clean energy in 2022, or roughly 2.5 percent of its total capital spending. The report finds that producers looking to align with the aims of the Paris Agreement would need to put 50 percent of their capital expenditures towards clean energy projects by 2030, on top of the investment required to reduce emissions from their own operations.

Foto-ilustracija: Pixabay

The report also notes that carbon capture, currently the linchpin of many firms’ transition strategies, cannot be used to maintain the status quo. If oil and natural gas consumption were to evolve as projected under today’s policy settings, limiting the temperature rise to 1.5 °C would require an entirely inconceivable 32 billion tonnes of carbon captured for utilisation or storage by 2050, including 23 billion tonnes via direct air capture. The amount of electricity needed to power these technologies would be greater than the entire world’s electricity demand today.

“The fossil fuel sector must make tough decisions now, and their choices will have consequences for decades to come,” Dr Birol said. “Clean energy progress will continue with or without oil and gas producers. However, the journey to net zero emissions will be more costly, and harder to navigate, if the sector is not on board.”

Source: IEA

IRENA and DP World Join Forces to Advance Decarbonisation Solutions for Ports and Maritime Logistics

Photo-illustration: Freepik (tawatchai07)
Photo: Pixabay

The International Renewable Energy Agency (IRENA) has signed a collaboration agreement with DP World, a UAE-based global supply chain solutions company. Through the agreement, the two organizations will collaborate on decarbonising the shipping and ports sectors, aligning current infrastructure, logistics and processes with the demands of the energy transition, and scaling up the use of renewable-based fuels and electrification.

The signing took place at the DP World’s Headquarters in Dubai between IRENA Director-General, Francesco La Camera and DP World Group Chairman and Chief Executive Officer, Sultan Ahmed bin Sulayem, just days ahead of the United Nations (UN) Climate Conference COP28 in Dubai.

IRENA Director-General Francesco La Camera said, “To align with the goals of the Paris Agreement and meet the demands of a transforming energy landscape, we must overcome existing infrastructure barriers, including in shipping and ports. By partnering with DP World, we aim to transform these sectors, making them more conducive to the global energy transition, where renewables-based fuels will play an increasingly prominent role.”

More:

The Director-General also commended DP World’s innovative use of smart electrification and its efforts to decarbonise its operations by 2040. Carbon emissions from the company’s UAE operations have been reduced by nearly 50 percent this year, with Jebel Ali port’s electricity now sourced entirely from renewable sources provided by the local utility provider.

DP World Group Chairman and Chief Executive Officer, Sultan Ahmed bin Sulayem said: “We are honoured to partner with IRENA on our collective journey towards a shared vision of renewable energy powering global supply chains. Together, we will drive meaningful change and set new standards for a greener future. We continue to integrate renewable energy into DP World’s business operations across our global footprint. IRENA’s work towards the tripling of renewable energy capacity by 2030 means it will be an important partner for us as we continue on DP World’s own decarbonisation journey – both in the region and around the world”.

According to IRENA’s World Energy Transitions Outlook, infrastructure upgrades need to accommodate the global trade of renewable fuels between low-cost supply and high demand regions, proactively linking countries to promote the diversification and resilience of energy systems. The shipping sector itself must also rely on a diverse mix of low-carbon fuels to stay in line with the 1.5°C target, with ammonia, methanol, and hydrogen making up nearly 61 percent of the fuel mix by 2050.

Through the agreement, IRENA and DP World aim to collaborate on scaling up efforts to address supply, infrastructure and technological challenges that can increase the uptake of these renewables-based fuels.

Source: IRENA

WMO leads new research project on early warning systems in Mediterranean

Photo-illustration: Unsplash ( Matt Palmer)
Photo-illustration: Unsplash (Johannes Plenio)

The densely populated Mediterranean basin region is warming more rapidly than global average rates. It is increasingly subject to a range of devastating extreme weather and climate events, which in recent years have caused major loss of life, infrastructure damage, and economic shocks.

Floods, wildfires, and droughts have all hit the headlines in 2023, and there are also major volcanic centers and active seismic zones across the region. Yet there is lack of coordinated preparedness and response mechanisms to natural hazards and extreme events.

A new WMO-led research project, funded by the European Commission’s Horizon Programme, aims to help protect citizens and infrastructure and enhance disaster response mechanisms right across the Europe-Mediterranean-North African region.

The MedEWSa project started this month and will run for three years. With five million euros of funding from Horizon Europe, it will develop a connected system of Multi-Hazard Early Warning Systems (MHEWS) to support first responders and facilitate informed decision-making by governments and civil society organizations. In doing so, it will directly contribute to the United Nations’ Sustainable Development Goals, enhance the European Union’s competitiveness and growth, and protect citizens of the EU and beyond.

More:

The project was launched on 9-10 November 2023 in Athens, Greece. WMO Chief Scientist, Director of Science and Innovation, and MedEWSa project co-Ordinator, Prof Jürg Luterbacher, said:

“MedEWSa is perfectly aligned, in both its overall mission and schedule, with the 2022 call by United Nations Secretary-General António Guterres to protect everyone on earth with early warning systems (EWS) by the end of 2027. The project will hopefully make a substantial contribution to WMO’s involvement and activities supporting implementation of the #earlywarningsforall Initiative. We are already hard at work with our superb team of partners and look forward to ensuring that all citizens in the region are better warned of, and able to respond to, any extreme events that may occur in the future.”

Photo-illustration: Unsplash (Fiona Smallwood)

Key focus

The MedEWSa project emphasizes the importance of research and multi-stakeholder collaboration in enhancing Mediterranean and European countries’ operational EWS capabilities. It aims to enhance collaboration, research, innovation, and the dissemination of knowledge and technologies in support of EU policies addressing global challenges.

Central to MedEWSa is a suite of carefully selected pairs of pilot sites, or “twins”, that highlight discrepancies in coverage and capabilities and that foster collaboration and demonstrate the transferability of MedEWSa’s tools.

The four twins are:

  • Greece (Attica) – Ethiopia (National Parks): wildfires and extreme weather events (droughts, wind)
  • Italy (Venice) – Egypt (Alexandria / Nile Delta): coastal floods and storm surges
  • Slovakia (Kosice) – Georgia (Tbilisi): floods and landslides
  • Spain (Catalonia) – Sweden (countrywide): heatwaves, droughts and wildfires.

The main objectives of MedEWSa are:  a) Provide multi-hazard information and conduct risk analysis b) Contribute to impact-based forecasting c) Develop a fully integrated impact-based Multi-Hazard Early Warning System d) Use AI-based decision-support solutions to enhance multi-hazard impact prediction e) Develop innovative financial solutions through risk transfer to capital markets, including Insurance-Linked Securities and parametric insurance.

With 30 partners across the region, project members include WMO, the European Centre for Medium Range Weather Forecasts, National Meteorological and Hydrological Services, the African Union, the Red Cross Climate Centre, academia, research institutions, small and medium-sized enterprises, and a broad cohort of civil society, government, private sector and first responder organizations.

Source: WMO

ENERGY REHABILITATION CONTRIBUTES TO ENERGY SAVING AND ENVIRONMENTAL PROTECTION

Photo: Municipality of Raška
Photo: courtesy of Nemanja Popović

Raška, a small town in the southwest of Serbia, situated between the mountains of Kopaonik and Golija, on the rivers Ibar and Raška, works efficiently to preserve the environment.

This municipality is one of the leaders in the district in terms of the number of subsidized solar power plants for private use, and it is working on establishing a regional waste management system and plans to invest in improving energy efficiency in the coming period. We spoke with Nemanja Popović, the Mayor of the municipality of Raška, about subsidies for solar power plants, air quality control, remediation of landfills, and wastewater processing, as well as plans for investments in environmental issues in the coming period.

Q. Last year, the Ministry of Mining and Energy and the municipality set aside 28 million dinars for subsidies for private-use solar power plants. How big is the interest in these subsidies, what are the plans, and when will the other public calls be launched?

A. The state’s strategic determination is to implement a responsible energy policy and work on improving energy efficiency following domestic legislation and EU directives. Energy policy programmes are implemented to boost energy efficiency. The effects of such measures are multiple and long-lasting and contribute to the safety of the electricity supply, the industry’s competitiveness, the increase in the population’s living standard and the reduction of the negative impact of energy on the environment. With the support of the line ministry, the Raška municipality started to implement the first energy rehabilitation measures in 2021 to improve the energy-related features of residential buildings, save energy and reduce heating costs.

A total of 17 million dinars was earmarked to implement three measures: procurement and installation of thermal insulation materials, procurement and installation of windows and exterior doors with accompanying construction works, and procurement and installation of biomass boilers/stoves. The Ministry allocated 5 million dinars to the municipality of Raška, while 12 million dinars were allocated from the local budget. At that time, 208 beneficiaries—205 owners of family houses and apartments and three housing associations—were eligible for financial support. The Solar Panel Installation Programme was given almost six million dinars in the same year, and 14 citizens opted for this type of support. A year later, 240 owners of apartments and family houses signed contracts on the allocation of subsidies for boosting energy efficiency. The Ministry of Mining and the Municipality of Raška allocated nearly 28 million dinars to implement the programme. Another 7 million dinars have been earmarked for installing solar panels—the Ministry of Mining and the municipality gave 3.5 million dinars each. A competition for the allocation of subsidies for the installation of solar panels is underway.

IN FOCUS:

Q. What is the situation in the municipality of Raška regarding air pollution? What kind of air do people breathe, and how is the air quality measurement control performed considering there is a developed industry there and households that use solid fuel for heating?

Photo: Municipality of Raška

A. The only official air quality measuring station on the municipality’s territory is located in the Kopaonik National Park (more than 34 km from the town centre), where SO2 (sulfur dioxide) and O3 (ground ozone) are monitored, and the data are published on the website of the Environmental Protection Agency. In the last month, there were no violations of the monitored parameters. Since there is no measuring point within the state air quality monitoring grid in other parts of the municipality, nor has local monitoring been established, it is impossible to reliably determine whether the prescribed limit values of air pollutant emissions are exceeded in any area. We can assume that pollution exists, especially in winter, and that home fireplaces cause it. The local government participated in the project to replace the fireplaces in households, so I hope that the residents of Raška will also have better-quality air in the winter months. The industrial zone is separated from the residential one, and possible pollutants are subject to the control of the environmental protection inspection. In the case of industrial companies, regular air pollution measurements are carried out according to the law and emissions are controlled within the prescribed permitted values. The municipality of Raška does not have a heating plant, and the main road does not pass through the town centre, but it detours in the direction of Kosovska Mitrovica and Novi Pazar. That is why monitoring of the air pollution emission has not been established.

Q. What is the municipality doing to rehabilitate landfills, what has been done so far and what are the plans? How do you plan to solve the problem of solid waste disposal?

A. Waste management on the municipal territory is not carried out following the prescribed standards because the collected municipal waste is disposed of in an unsanitary landfill, which is also designated as a landfill for the disposal of construction waste and, as such, is a major environmental risk. According to the 2010-2019 Waste Management Strategy, together with the municipalities of Vrnjačka Banja and Tutin and the towns of Novi Pazar and Kraljevo, Raška was included in the waste management region. In the meantime, activities have been carried out to establish a regional waste management system for the municipalities of Raška and Tutin and the town of Novi Pazar, which form a waste management region according to the 2022-2031 Waste Management Programme in the Republic of Serbia. The conceptual project titled “Remediation, closure and recultivation of the existing unsanitary solid waste landfill in the municipality of Raška” was carried out by the Architectural and Construction Institute from Novi Sad in 2019. There is also a project that stipulates issuing a building permit for the construction of a Recycling Centre in Raška at KP 1/41 KO Raška, in the Razdolje location.

Photo: Municipality of Raška

In the Batnjik area, halfway along the course of the Raška River from Novi Pazar to Raška, a net dam was installed in 2017, which prevents plastic bottles, bags and other packaging waste from floating down the river. The dam is located on a narrow stream of the riverbed. It is built of high-quality stainless steel that is 100 per cent environmentally friendly and does not damage the river ecosystem. The packaging waste collected in this way is then reused, thanks to the recycling industry.

The Raška Public Utility Company (JKP Raška) installed special bins for ash disposal in several locations, ensured the free removal of bulky waste according to the established schedule and installed larger containers in places with a higher frequency of garbage disposal. In the last twenty years, the relevant municipal services and PUC Raška have regularly removed landfills and recultivated the terrain. In cooperation with the line ministry, large landfills were rehabilitated years ago in the municipality of Raška. Certain areas are covered by video surveillance to establish an additional supervision system and help with penalizing those individuals or companies who damage the environment through their negligent behavior. Despite all the activities aimed at environmental protection, requests and appeals sent out by the relevant services and environmental associations, we are still witnessing the emergence of new illegal landfills, which spoil the environment and pollute the land, water and air. Suppose we all preserve nature, park areas, promenades and riverbanks, i.e. everything that is recognizable and characteristic of Raška. In that case, we will have a more beautiful town and higher quality of life. I would like to believe that all residents love Raška equally and that we want the town to have a clean and orderly environment. Nature has been generous to our town and its surroundings. It is up to us whether we will succeed in fighting bad habits and persevere in our intention to leave a healthy environment for generations to come.

Interviewed by: Mirjana Vujadinović Tomevski

Read the story in the new issue of the Energy portal Magazine ELECTROMOBILITY