Japan’s J-Power steps up coal-fired power phase-out
Japanese power producer and wholesaler J-Power is stepping up efforts to halt operations of inefficient coal-fired power plants, while pushing ahead with decarbonisation of its existing plants by using clean fuels and technology.
J-Power plans to scrap the 500MW Matsushima No.1 coal-fired unit by the end of March 2025 and the 250MW Takasago No.1 and No.2 coal-fired units by 2030, according to its 2024-26 business strategy announced on 9 May. It also aims to decommission or mothball the 700MW Takehara No.3 and the 1,000MW Matsuura No.1 coal-fired units in 2030.
The combined capacity of the selected five coal-fired units accounts for 32pc of J-Power's total thermal capacity of 8,412MW, all fuelled by coal.
While phasing out its ageing coal-fired capacity, J-Power is looking to co-fire with fuel ammonia at the 2,100MW Tachibanawan coal-fired plant sometime after 2030 and ensure it runs on 100pc ammonia subsequently. The company plans to increase the mixture of biomass at the 600MW Takehara No.1 unit, along with the installation of a carbon capture and storage (CCS) technology after 2030. The CCS technology will be also applied to the 1,000MW Matsuura No.2 unit, which is expected to co-fire ammonia, after 2030.
J-Power plans to use hydrogen at the 1,200MW Isogo plant sometime after 2035. The company is also set to deploy integrated coal gasification combined-cycle and CCS technology at the 500MW Matsushima No.2 unit and the 150MW Ishikawa No.1 and No.2 units after 2035.
The company aims to cut carbon dioxide emissions from its domestic power generation by 46pc by the April 2030-March 2031 fiscal year against 2013-14 levels before achieving a net zero emissions goal by 2050. This is in line with Tokyo's emissions reduction target. The company aims to expand domestic annual renewable output by 4TWh by 2030-31 compared with 2022-23, along with decarbonising thermal capacity. Its renewable generation totalled 10.4TWh in 2023-24.
Tokyo has pledged to phase out existing inefficient coal-fired capacity by 2030, which could target units with less than 42pc efficiency. The country's large-scale power producers have reduced annual power output from their inefficient coal-fired fleet by 13TWh to 103TWh in 2022-23 against 2019-20, according to a document unveiled by the trade and industry ministry on 8 May. It expects such power generation will fall further by more than 60TWh to 39.700TWh in 2030-31.
Global pressure against coal-fired power generation has been growing. Energy ministers from G7 countries in late April pledged to phase out "unabated coal power generation" by 2035 or "in a timeline consistent with keeping a limit of 1.5°C temperature rise within reach, in line with countries' net zero pathways".
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Rio Tinto to buy out New Zealand Aluminium Smelters
Rio Tinto to buy out New Zealand Aluminium Smelters
Sydney, 31 May (Argus) — UK-Australian mining firm Rio Tinto has signed an agreement to acquire Japanese firm Sumitomo Chemical's stake in New Zealand Aluminium Smelters (NZAS) to own 100pc of NZAS. Rio Tinto will buy Sumitomo Chemical's 20.64pc stake in NZAS for an undisclosed price which will give it full control of the joint venture if all approvals — including from New Zealand's Overseas Investment Office, are secured — Rio Tinto said today. NZAS operates the Tiwai Point smelter at Southland on New Zealand's South Island, which was expected to close in December, but will now operate for at least two more decades as Rio Tinto signed 20-year supply deals with local utilities Meridian Energy, Contact Energy and Mercury NZ for a combined base-load volume of 572MW. The smelter is the largest single user of electricity in the country, and produced between 333,000-336,000 t/yr over 2021-23. The power supply agreements are expected to begin in July and run until at least 2044, with the biggest coming from Meridian Energy at 377MW, followed by 100-120MW from Contact Energy and 50-75MW from Mercury NZ. The supply deals — which are subject to regulatory approvals and other conditions — include 20-year demand response agreements with Meridian Energy and Contact Energy, under which NZAS may be requested to reduce electricity consumption by up to a total of 185MW. "The NZAS decision to extend the smelter life removes significant uncertainty for the electricity sector, which also helps pave the way for new renewable energy to be built," Meridian Energy chief executive Neal Barclay said on 31 May. Rio Tinto has also signed an agreement to buy Sumitomo Chemical's 2.46pc stake in Boyne Smelters Ltd (BSL), which owns and operates the Boyne Island aluminium smelter in Gladstone, Australia. Rio Tinto's interest in BSL will increase to 61.85pc upon completion of the deal. Sumitomo Chemical said it held shares in the Australian and New Zealand business for the purpose of importing primary aluminium for resale, but decided to sell its interests as changes in global market conditions led to "high" volatility in profitability and as it looks to strengthen its financial position. Rio Tinto originally planned to shut down NZAS in August 2021 because of high energy costs and a tough outlook for the sector, but pushed back its decision a few times. By Juan Weik Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Australia’s Queensland bans CCS in Great Artesian Basin
Australia’s Queensland bans CCS in Great Artesian Basin
Sydney, 31 May (Argus) — Australia's Queensland state government announced today it will ban carbon capture and storage (CCS) in its portion of the Great Artesian Basin. Greenhouse gas (GHG) storage activities, including CCS projects, will be permanently prohibited in the basin as the government looks to protect its water resources, Queensland premier Steven Miles said on 31 May. The ban, which will be legislated, also includes enhanced oil or petroleum recovery activities that use a greenhouse gas stream. Activities involving GHG storage or the injection of GHG streams into underground formations may be able to continue in other parts of the state, subject to existing assessment and approval processes. The government will appoint an expert panel to review projects outside the Great Artesian Basin, which will report back in 2025. The Great Artesian Basin is Australia's largest groundwater aquifer. It is made up of several sedimentary basins spanning over 1.7mn m² across Queensland, the Northern Territory, South Australia and New South Wales. Water extracted from the basin is used for agriculture, irrigation and stock watering, as well as for industry and household supply in over 80 Queensland towns, according to the government. Queensland's Department of Environment, Science and Innovation last week rejected the environmental impact statement for commodities producer and trading firm Glencore's CTSCo Surat Basin CCS project, which aimed to demonstrate carbon capture from a coal-fired power station and the permanent storage of CO2. The project was unsuitable to proceed because of the potential impact on groundwater resources in the Great Artesian Basin, the department said. The CCS ban follows the state's decision late last year to ban unconventional oil and gas extraction in its portion of the Lake Eyre basin to protect inland waterways, as well as conventional production alongside rivers and on floodplains. By Juan Weik Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Trump found guilty in criminal 'hush money' case
Trump found guilty in criminal 'hush money' case
Washington, 30 May (Argus) — Former president Donald Trump was found guilty today on 34 felony counts of falsifying business records in relation to the reimbursement of a $130,000 payment to an adult film star ahead of the 2016 presidential election. The unanimous guilty verdict, from a 12-member jury in New York, will inject further uncertainty into the presidential election on 5 November, where Trump is the presumed Republican nominee and is leading in many polls against President Joe Biden. Trump is the first former US president to face a criminal trial, and his conviction means he will run for office — on a campaign focused in part on rolling back energy sector regulations and expanding drilling — as a convicted felon. Sentencing is scheduled for 11 July. Trump has argued the criminal charges, filed by New York state prosecutors, were "ridiculous" and were a politically motivated attempt to interfere with his campaign. At trial, Trump's attorneys argued against the credibility of a key witness, Trump's former attorney Michael Cohen, who testified that Trump directed the falsification of the business records to conceal a "hush money" payment to the adult film star following an alleged affair. "This was a rigged, disgraceful trial," Trump said following the verdict, "but the real verdict is going to be November 5 by the people, and they know what happened here." Despite the conviction, Trump, if elected, could still serve as president. Trump could face up to four years in prison, and sentencing will be decided by the judge overseeing the case. Trump is separately facing dozens of other felony charges in federal and Georgia state court, but those cases have faced delays and may not go to trial before the election. President Joe Biden's campaign said Trump has "always mistakenly believed" he would not face consequences. Biden's campaign said that despite the verdict, it would be up to voters to decide whether Trump is re-elected. "Convicted felon or not, Trump will be the Republican nominee for president," Biden's campaign said. By Chris Knight Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
E3 seeks IAEA action against Iranian nuclear activity
E3 seeks IAEA action against Iranian nuclear activity
Dubai, 30 May (Argus) — The E3 group — a diplomatic coalition comprising France, the UK and Germany — has prepared a draft resolution against Iran for the UN's nuclear watchdog the IAEA to consider at its board of governors meeting next week. The draft focuses on a probe into two previously undeclared nuclear sites in Iran and suggests the possibility that IAEA chief Rafael Grossi might provide a more "comprehensive report" on Tehran's nuclear activities than his regular quarterly ones. But it stops short of asking the IAEA to refer Iran to the UN Security Council for non-compliance, a diplomatic source with knowledge of the matter told Argus . "The E3 has prepared a draft resolution and circulated it, despite opposition by the US," the source said. "They have also begun negotiations with other members of the board of governors to ensure the largest number of votes… which will give the adopted resolution weight." The draft builds on three previous resolutions against Iran "but will stop short of a very important step — referring the issue to the UN Security Council as a situation of non-compliance, which would require an intervention," the source said. Since June 2020, the IAEA's board of governors has adopted three resolutions against Iran in response to insufficient co-operation on outstanding issues relating to its legal obligations under its Non-Proliferation Treaty (NPT) Safeguards Agreement. The board of governors will convene on 3 June for a week-long meeting, where "the draft resolution is surely going for a vote," the source said, an indication that unanimity among the 35 board members is unlikely. The US is keen to manage tensions with Tehran at a highly sensitive time for the country following the death of its president and foreign minister in a helicopter crash earlier this month. An editorial published by Iran's state news agency Irna on 29 May suggests Washington's concerns may not be unfounded. "As per previous experience, if a resolution is issued against Iran, Tehran will react to it and take countermeasures," the editorial said. Iran responded to two previous IAEA resolutions in June and November 2022 by removing more than 20 IAEA surveillance cameras at its nuclear facilities, and starting the production of 60pc enriched uranium at its Fordow nuclear site. "Based on history, issuing this resolution will be more detrimental to those issuing it than to Iran," Irna said. Building blocks "What is happening right now is the process of accumulation of resolutions, so that when the day comes and the IAEA makes a referral to the UN Security Council, there will be enough resolutions to make a case for action at the security council level," the source noted. Concerns among western officials over Iran's nuclear activity have been mounting since Tehran began breaching restrictions in 2019 in response to former US president Donald Trump's decision to pull Washington out of a 2015 nuclear deal between Iran and a group of world powers. Iran is enriching uranium to up to 60pc purity, according to the IAEA. Near 90pc is considered to be weapons grade. By Bachar Halabi and Nader Itayim Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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