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EU 'unlikely' to submit new climate plan to UN in time

  • Market: Emissions
  • 16/01/25

The European Commission is "unlikely" to present the EU's new climate plan including greenhouse gas (GHG) emission reduction targets for 2035 to the UN by the February deadline, according to EU climate commissioner Wopke Hoekstra.

"We need a target for 2035 when we walk into [the UN Cop 30 climate summit in] Belem," said Hoekstra. "Whether we have that in February, I think, is unlikely," he said. Countries party to the UN Framework Convention on Climate Change (UNFCCC) must submit their nationally determined contributions (NDCs) — emissions-cut targets — for 2035 by February.

Hoekstra added that the commission will have an "ambitious" 2040 target from which it will derive the bloc's 2035 target.

He noted an obligation towards parliament to come up with the 2040 target this calendar year. In December, Hoekstra had told EU environment ministers that the legal proposal for 2040 GHG cuts will come "sooner rather than later".

The commission should in February put out new policy documents on clean industry, affordable energy, and roadmap towards ending Russian energy imports as well as on agriculture.

Hoekstra indicated that the commission is looking once again at the carbon border adjustment mechanism that is an "important add-on to prevent carbon leakage" from the bloc's emissions trading system (ETS). "We are indeed going to look into both exports but also simplification," Hoekstra said. The commissioner said that he still "needs to see" whether decarbonisation contracts will also be proposed as part of the forthcoming clean industrial deal, now due on 26 February.

Shaky start

The EU, alongside Canada, Mexico, Norway and Switzerland, has committed to submitting an NDC with "steep emission cuts" that are consistent with the global 1.5°C temperature increase limit sought by the Paris Agreement. Hoekstra reiterated today the need for "reciprocity" on climate goals from other nations. Cop 28 host the UAE and Cop 30 host Brazil have already submitted their new NDCs, and the UK set a target to cut all greenhouse gas (GHG) emissions by at least 81pc by 2035, from a 1990 baseline during the Cop 29 summit last year.

But, although Canada was planning to submit its new plan by February, the planned resignation of prime minister Justin Trudeau and a new election due this year could put the country's climate ambitions at risk.

Canada in December set a new 2035 climate goal, aiming to reduce its greenhouse gas emissions by 45-50pc by 2035, from a 2005 baseline.

Similarly, US president Joe Biden's administration has at the end of last year set a new GHG emissions reduction target for the world's second largest emitter — pursuing economy-wide emission cuts by 61-66pc below 2005 levels by 2035. The country has already submitted a new NDC, but the move is unlikely to hold much weight with president-elect Donald Trump taking office later this month.

Some countries including Indonesia and Brunei have highlighted challenges in providing new targets, such as the lack of common models between sectors, financing and economic growth. Colombia indicated that it will submit its NDC by June next year at the country seeks to address the "divisive issue" of fossil fuels, on which its economy is dependent.


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12/11/25

Enhanced FT tech could drop SAF cost below HEFA: Aether

Enhanced FT tech could drop SAF cost below HEFA: Aether

Singapore, 12 November (Argus) — US-based climate technology firm Aether Fuels aims to produce sustainable aviation fuel (SAF) using its enhanced Fischer-Tropsch (FT) technology at prices comparable to or lower than hydrotreated esters and fatty acids (HEFA) product by 2030, founder and chief executive Conor Madigan told Argus in an interview. Madigan was speaking on the sidelines of an agreement signing ceremony on 11 November between Aether and Singapore-based energy and infrastructure provider Aster. This was to develop a next-generation SAF facility at Aster's refining and petrochemical complex on Singapore's Pulau Bukom. Named as Project Beacon, the plant will use Aether's Aurora™ technology to convert industrial waste gas and biomethane into Corsia-certified SAF, which achieves over 70pc reduction in greenhouse gas (GHG) emissions compared to conventional jet fuel. The capital investment amount will be shared later. Construction at the plant is expected to begin in 2026. It will then be commissioned in 2027 and begin commercial operations in 2028, employing 24 full-time staff. Project Beacon is expected to produce up to 50 b/d of fuel — or 2,000t/year — by 2028, comprising 1,600t of SAF and 400t bio-naphtha. Aether had previously signed Memorandums of Understanding (MoUs) with Singapore Airlines in February and with US' JetBlue in September, for the airlines to potentially procure SAF produced. Other airlines have expressed interest as well, Madigan told reporters at a media briefing yesterday. Discussions with bio-naphtha buyers are still in early stages, but local demand for the product is expected. Aether also has plans for another SAF plant which can produce at least 1,000 b/d of fuel by 2030, Madigan added. The location is still being confirmed, but more details will likely be available in second-half of 2026 after Project Beacon is operational. With this larger plant, Aether expects to supply product at HEFA-SPK prices or below it and steadily bring the price down with subsequent plant development, Madigan said. "We expect to eventually get prices quite close to fossil fuel, although that also depends on factors slightly out of our control, including hydrogen and renewable power prices." The Argus fob Singapore SAF (class 2) price, netted back from ARA values, was at $2,892/t as of 11 November. This was over 3.5 times the fob Singapore jet/kerosine price at $745/t. Capex reduction, yield increases Madigan said that Aether's Aurora technology brings around a 50pc reduction in capital expenditure (capex) and a 20pc increase in yield, compared to existing FT SAF production technology. Capex is reduced through a few ways — one of which is reducing the amount of equipment from three to one via Aether's tri-converter. The syngas produced — comprising carbon monoxide, CO2 and hydrogen — is then input to the FT reactor. The reactor also runs on electricity rather than fuel combustion, which allows further cost reductions. Aether also has some "novel catalysts" whose robustness removes the need to get rid of certain feedstock contaminants like carbon monoxide, which contribute to cost savings too, Madigan told Argus . Actual reductions in monetary terms would vary depending on the exact feedstock used, he said. Madigan also sees an expansion in scale of FT plants from 2030 onwards, citing other plants at similar scale to Project Beacon in the US and Europe. FT likely essential with upcoming HEFA feedstock crunch "As the world electrifies and switches to more sustainable [energy] sources, industrial waste gas can become stranded and become waste streams that we can use," Madigan said. This will be essential, especially as HEFA feedstock supply tightens and prices rise, there also being less opportunities for HEFA technology costs to be reduced through innovation, as capex is less of a major driver for such plants. Regarding cover crops, Madigan noted immense challenges to change agricultural practices en-masse at existing agricultural lands, where cover crops are grown in rotation with — and generally insufficient capacity to meet the industry's full demand. Madigan also mentioned challenges around scaling up low-cost green hydrogen supply to produce SAF through the power-to-liquid pathway, also known as e-fuels. In comparison, feedstocks like biogas, industrial waste gas, or agricultural waste — which they can use— are much more abundant. And while biofuel plants running on the FT process generally need to be built near the producers of industrial waste gas or agricultural waste, this could support job creation for local communities associated with the additional collection and aggregation of such waste. "This is therefore a solution that can be one of the major long-term sources of sustainable fuel," Madigan said. By Sarah Giam Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Cop: Ethiopia on track to host Cop 32 in 2027


12/11/25
News
12/11/25

Cop: Ethiopia on track to host Cop 32 in 2027

Edinburgh, 12 November (Argus) — Ethiopia is on course to win its bid to host the UN Cop 32 climate summit in its capital Addis Ababa in 2027, after the African Group — a UN party grouping of 54 African countries — endorsed the nation. Ethiopia was running against Nigeria to host the 2027 summit — already dubbed "the Africa Cop". Nigeria is also part of the African Group. "My delegation would like to express its profound gratitude and appreciation to the African Group for endorsing for endorsing Ethiopia's bid to host Cop 32 in Addis Ababa," an Ethiopian delegate said on 11 November. "We are deeply grateful for the trust and confidence bestowed on Ethiopia's people and government", the delegate said, adding that the country looked forward to welcoming other delegations in 2027. The delegate also requested all other groups to support Ethiopia's bid. The upcoming decision at Cop 30 to pick Ethiopia for the 2027 summit should just be a formality. Meanwhile, Turkey and Australia remain in a tussle over the hosting of Cop 31 next year. The Umbrella Group, which includes Australia, New Zealand, Canada, Japan, the UK and Norway, on 11 November reiterated its support for Australia to host the summit in partnership with the Pacific islands. But Turkey also continued to express its desire to do so. "Our ambition is not limited to hosting Cop 31, we aim to leave Cop 31 as an inclusive, innovative and equitable climate action platform," a Turkish delegate said. By Caroline Varin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Age of electricity has arrived: IEA's Birol


12/11/25
News
12/11/25

Age of electricity has arrived: IEA's Birol

London, 12 November (Argus) — Global electricity demand grows much faster than overall energy use and renewables grow faster than any other major energy source in all scenarios of the latest World Energy Outlook (WEO) from energy watchdog the IEA. "Last year, we said the world was moving quickly into the age of electricity — and it's clear today that it has already arrived," said IEA executive director Fatih Birol. The rise in electricity demand stems from households, for mobility, for cooling, and "increasingly for data and AI-related services", the IEA said. It sees power demand rise by around 40pc to 2035, from current levels, in two scenarios and by more than 50pc in the same timeframe across its Net Zero Emissions (NZE) by 2050 scenario. The growth in renewable energy deployment in all scenarios is led by solar power, the IEA said, and it envisages "a revival of fortunes for nuclear energy" across all scenarios, for large plants and small modular reactors. The lift in power consumption "is no longer limited to emerging and developing economies", Birol said, as electricity demand, driven by data centres and AI, is rising in advanced economies. Birol said the IEA estimates global investment in data centres to reach $580bn in 2025, which "surpasses the $540bn being spent on global oil supply." The IEA sets out three scenarios in its 2025 WEO, none of which are a forecast. The Current Policies Scenario (CPS) is based on policies and regulations already in place, the Stated Policies Scenario (Steps) looks at "a broader range of policies" including some that have been proposed but not formally adopted. The NZE scenario considers a path to reach the 2050 goal, in line with the Paris climate agreement, "while recognising that each country will have its own route." Global investment in electricity generation has jumped by almost 70pc since 2015, the IEA said. But it said annual spending on grids has risen at less than half that pace, with relatively slow investment, "slow permitting" and "tight markets" for some components holding back grid projects. The watchdog also warned of the energy sector's "need to prepare for the security risks brought by higher temperatures." The global rise in temperature in all scenarios exceeds 1.5°C above pre-industrial levels "on a regular basis by around 2030", the IEA said. The Paris agreement seeks to limit the rise in temperature to "well below" 2°C above the pre-industrial average, and pursues a 1.5°C threshold. Annual global energy-related CO2 emissions reached a record high of 38bn t in 2024 and remain around this level to 2050 in the IEA's CPS. The 2050 emissions level is 10bn t lower than the last time the IEA modelled it in 2019, the organisation said. CPS and Steps indicate a temperature rise of nearly 3°C and 2.5°C, respectively, in 2100. In the NZE, global warming "peaks around 2050 at about 1.65°C and declines slowly after that, largely due to active measures to remove CO2 from the atmosphere," the IEA said. By Georgia Gratton Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Cop: US state efforts outweigh Trump stance - Newsom


11/11/25
News
11/11/25

Cop: US state efforts outweigh Trump stance - Newsom

Belem, 11 November (Argus) — President Donald Trump's antagonism toward climate change policy should not cloud how the rest of the world views the US because many states are filling the void, California governor Gavin Newsom (D) said on Tuesday at the UN Cop 30 climate summit. Even as the Trump administration seeks to roll back many US climate and clean energy policies, states are stepping up with their own initiatives, Newsom said, citing his state's "cap and invest" and Low Carbon Fuel Standard programs. "I'm here because I don't want the United States of America to be a footnote at this conference. And I want you to know that we recognize our responsibility, and we recognize our opportunity," he said. Other countries should focus on state efforts that contrast what happens in Washington, DC, according to Newsom. "I don't want that to shape your perception of my country," he said. The governor has been a leading voice among Democrats against the Trump administration and has indicated he could run for president in 2028. But to succeed in the next election, Democrats "have some work to do" in how they talk to voters about climate change, Newsom said. "We have to change our language. We have to talk in terms that people understand," he said. That means instead of discussing the need to limit global warming to 1.5°C, a measurement many American voters may not understand, Democrats should instead focus on the economic side of climate change. Newsom pointed to California's success in reducing greenhouse gas (GHG) emissions while still growing its economy, as well as estimates that the recent rollback of clean energy incentives enacted under former president Joe Biden will cost ratepayers more this year. "That's a kitchen table issue. That's a cost-of-living issue," he said. In terms of the global economy, the US is at risk of falling behind China in the clean energy and electric vehicle markets, according to Newsom. Trump "simply doesn't understand how enthusiastic President Xi [Jinping] is today that the Trump administration is nowhere to be found at Cop 30", he said. By Michael Ball Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Cop: Freight next step in Latin America's NDCs


11/11/25
News
11/11/25

Cop: Freight next step in Latin America's NDCs

Belem, 11 November (Argus) — Latin American and Caribbean countries have made strides in commitments to reduce emissions from the transport sector in their Nationally Determined Contributions (NDCs) but there is room to do more, especially on freight, panelists at a side event at the UN Cop 30 climate summit said. Vehicles carrying freight represent around 20pc of all modes of transport in Latin American and Caribbean cities', but they are responsible for around 40-50pc of emissions, panelist Felipe Ramirez, a director of urban mobility at the non-profit World Resources Institute, said on Tuesday. Road freight is responsible for moving around 70pc of Latin American and Caribbean countries' commodities, said Maruxa Cardama, the secretary general of Slocat, a global partnership that promotes sustainable, low-carbon transport. Ramirez laid out the main challenges to decarbonize freight in the region, such as replacinghigher-emitting older fleets and increasing electrification. He also called on future NDCs to address the decarbonization of ports and airports more directly. The Latin American and Caribbean countries' NDCs also lack clearer targets to decarbonize railways, Joo Hyun Ha, the head of advocacy at the International Union of Railways, said. The transport sector in general also needs to look beyond electrification, which would mean giving people more access to alternative modes of transport in cities, such as walking, biking and the public transit. But the main issue that looms is financing, Ramirez and Ha said. "That is still the question that none of us has an answer for," Ramirez said. "We know there is not a lot of money to go around." Financing for climate is one of the main issues to be discussed at Cop 30. But the topic was left off the initial agenda and will instead be discussed in presidency consultations . The climate finance topic is encompassed in a request from a group of developing countries to discuss the Paris climate agreement's Article 9.1. This section of the accord states that "developed country parties shall provide financial resources to assist developing country parties" — a topic that dominated Cop 29 , with many developing nations disappointed at the outcome. Cop 30 president Andre Correa do Lago said on the summit's sidelines that the topic was not left off the agenda, but rather "fit in in an original way". Delegates will discuss the issues not on the official agenda in a plenary on 12 November. Road before But some Latin American and Caribbean countries have shown some progress on reducing carbon dioxide emissions from the transport sector, panelists said. Most Latin American and Caribbean countries included transport in their latest NDCs, but approaches vary. Chile and Colombia, for example, are focused on electrification, with the first targeting 100pc of the public transport in the capital Santiago to be electric by 2035 and a nationwide fleet of 4,400 electric buses by 2026. Santiago had around 3,000 electric buses in 2024, according to a report by Agora Verkehrswende, an NGO focused on climate neutrality in transport. That represented 40pc of the city's fleet and was the largest in Latin America. Mexico also focuses on electrifying vehicle infrastructure, but also has plans to increase fuel efficiency. Brazil is eyeing the expansion of biofuels. It has one of the largest mandatory blending requirements of anhydrous ethanol in gasoline and for biodiesel in diesel in the region and is the world's second-largest biofuel producer, trailing only the US. Brazil also has $40bn mapped to expand its road infrastructure in the next 20 years, the undersecretary of sustainability for Brazil's transport ministry Cloves Benevides said. The country is also expecting to auction 15 highways in 2026, he added. Chile, Colombia and Mexico are early adopters of decarbonizing their transport sectors and "have strong policies, the right instruments and are working on the right direction", Reinaldo Fioravanti, the Inter-American Development Bank's infrastructure coordinator for Brazil said. Brazil is also trying to electrify the public transportation fleet in the Amazon region, but wording in general on transportation is limited in the current NDCs, Fioravanti said. By Lucas Parolin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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