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US to seek 'disapproval' of California tailpipe rule

  • Market: Battery materials, Crude oil, Emissions, Oil products
  • 18/02/25

President Donald Trump's administration is taking a procedural step to enable the Republican-led US Congress to block a California program requiring 100pc of in-state sales of new cars and trucks to be electric, plug-in hybrid and hydrogen models by 2035.

The US Environmental Protection Agency (EPA) said it plans to subject its previous approval of the program to "disapproval" under the Congressional Review Act, which could allow a vote to halt the standards without a potential filibuster. Oil groups backed such an approach, hoping to kill off a state program that threatened long-term demand for gasoline and diesel in California and nearly a dozen other states that are following its lead.

California's program, called Advanced Clean Cars II, requires 35pc of new vehicles sold in the state in model year 2026 to be zero emission vehicles, rising to 100pc of vehicles by 2035. Under former president Joe Biden, EPA granted federal waivers that authorized the program and a separate California plan for limiting emissions from heavy-duty trucks.

The Biden administration said its approval of the waivers were not subject to the Congressional Review Act, which aligned with a formal opinion by the US Government Accountability Office (GAO). But EPA administrator Lee Zeldin, on 14 February, said he would reverse course and "submit" all the waivers for potential disapproval. The prior administration attempted to prevent Congress from having input on an "extremely consequential action", Zeldin said, "and the Trump administration is "transparently correcting this wrong".

It remains unclear the pathway for a vote to disapprove the EPA waivers, given the conflicting opinion by GAO, which for years has served as an independent arbiter of what actions Congress could disapprove. But some outside attorneys have argued that once an agency action is made subject to the Congressional Review Act, federal courts would not have jurisdiction to "second-guess" a decision to hold a vote.

The US Supreme Court separately plans to hold oral arguments in the coming months on a lawsuit by refiners and biofuel producers that want the ability to sue EPA over its approval of an earlier version of the tailpipe program that runs through model year 2025. A federal appeals court last year said the case could not proceed.


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20/03/25

Nigeria's Trans-Niger oil pipeline restarts after fire

Nigeria's Trans-Niger oil pipeline restarts after fire

Lagos, 20 March (Argus) — Nigeria has restarted pumping crude through the 180,000 b/d Trans-Niger Pipeline (TNP) to the Bonny export terminal after an apparent attack led to a fire earlier this week, halting flows and prompting President Bola Tinubu to declare a state of emergency in Rivers State . The Renaissance Africa consortium — which only last week took over operatorship of the TNP and the Bonny terminal from Shell — said pipeline flows were restored on 19 March "following integrity inspection, testing and activation of a second pipeline within the network". The last 20km stretch of the 60km TNP, between the Cawthorne Channel and the Bonny terminal, has separate 30-inch and 24-inch lines. Renaissance Africa did not say which of the two is currently active. The fire on the pipeline caused a brief halt to operations at the Bonny terminal but loadings have now resumed. A source at state-owned oil firm NNPC told Argus that the Bryanston tanker started loading at the terminal at 23:54 local time on 19 March. Market participants said loading operations at the export terminal were behind schedule by up to two weeks anyway. Before the pipeline fire, the next scheduled operation at the terminal had been to pump 475,000 bl of Bonny Light crude to NNPC's 210,000 b/d Port Harcourt refinery. NNPC said it had to contain a flare incident at the refinery on 19 March. The company described it as "a minor incident" and said the refinery remains operational and "continues to produce on-spec refined petroleum products". The TNP has been the target of repeated oil theft, vandalism and sabotage in the past. As part of the state of emergency in Rivers State, President Tinubu appointed a former chief of the navy as the state's sole administrator for the next six months, but this is subject to the approval of the national legislature, which is expected later today. A Renaissance Africa source said its drilling operations in Rivers State have continued uninterrupted, while an energy lawyer based in the state's capital Port Harcourt told Argus that government and private business in the city have continued as normal. It is too early to say if and to what extent the pipeline incident has impacted Nigeria's crude output. Production of the Bonny Light crude grade fell by 14pc on the month to 210,000 b/d in February, according to upstream regulator NUPRC. Renaissance Africa said a TNP joint investigation visit, led by NUPRC, is scheduled for today. By Adebiyi Olusolape Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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TotalEnergies delays, cuts size of Grandpuits HVO


20/03/25
News
20/03/25

TotalEnergies delays, cuts size of Grandpuits HVO

Barcelona, 20 March (Argus) — TotalEnergies is delaying the start up of its Grandpuits hydrotreated vegetable oil (HVO) plant, and is planning to reduce the plant's proposed capacity. TotalEnergies confirmed the planned 400,000 t/yr HVO and HVO jet fuel (SAF) plant, near Paris, will not start in 2025 as previously outlined. Instead, a first phase of 210,000t of SAF output is slated to begin operations "early in 2026." TotalEnergies said there will then be a second phase of 75,000t, which will start at an unspecified point in 2027, giving 285,000 t/yr. If all production is SAF this would be equivalent to around 6,155 b/d. The CGT union said its members at Grandpuits downed tools for 24 hours yesterday, 19 March, as a result of the company's announcement. Workers say they have been promised a meeting with management in mid-April, and there does not appear to be industrial action at the site today. TotalEnergies halted crude distillation at the 93,000 b/d Grandpuits four years ago . The transformation includes a 10,000 t/yr plastics recycling unit. It said 1,200 workers are on site to undertake the conversion and this will result in 250 full time posts on completion. This is consistent with previous plans . The delay and reduction in size at Grandpuits does appear to confound targets for TotalEnergies' HVO and SAF output previously laid out by chief executive Patrick Pouyanne . The company operates a 500,000 t/yr HVO and SAF plant at La Mede, near the port of Fos-Lavera. A Grandpuits worker said management has indicated the company will look to purchase HVO and SAF, in order to honour contractual obligations. By Adam Porter Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Canberra backs Li battery projects in Western Australia


20/03/25
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20/03/25

Canberra backs Li battery projects in Western Australia

Sydney, 20 March (Argus) — Australia's federal government will partly underwrite four lithium-ion battery projects in Western Australia (WA), boosting the state's energy storage capacity by 2.6GWh from late 2027. Canberra is supporting the projects through its Capacity Investment Scheme (CIS), which sets a revenue floor on big battery projects for up to 15 years. The government has not revealed the specific revenue floors linked to the newly underwritten projects. Australian renewable energy developer PGS Energy will build the largest of the four newly-underwritten batteries, a 1.2GWh energy storage system in Marradong. The company's Marradong battery will be co-located with a solar farm and connected to WA's South West Interconnected System (Swis), a grid stretching across its most populous regions, once it becomes operational. French energy producer Neoen is also developing a 615MWh project just outside Perth, under the scheme. The company has been building large batteries across Australia, with public support, for multiple years. Its Collie Battery Energy Storage System is connected to Swis, and has been storing and discharging 877MWh of energy since October 2024. The two other batteries underwritten on 20 March are smaller, with a combined capacity of 780MWh, and located in rural parts of the state. The Australian government's latest funding announcement comes just months after it on 11 December 2024 underwrote eight other Australian battery projects capable of storing 3.6GWh of power under the CIS. Those projects were scattered across the country, covering three states but excluding WA. Canberra will also underwrite another set of batteries, with a combined capacity of 16GWh, in September. Over 100 projects, with a combined capacity of 135GWh, have applied to be part of CIS' September funding round. By Avinash Govind Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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UK wealth fund to prioritise ‘clean energy’ investment


19/03/25
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19/03/25

UK wealth fund to prioritise ‘clean energy’ investment

London, 19 March (Argus) — The UK government has set "clean energy" as a priority investment sector for its new national wealth fund, and set out a plan for the fund to interact with newly-formed Great British Energy to drive decarbonisation. The two organisations will interact to provide a "strong end-to-end clean energy development and finance offer" and help the country hit its net zero targets, the government said. Great British Energy — staffed by specialists in the sector — will provide "development expertise", while the wealth fund will deliver finance, the government said. Great British Energy "will develop, invest in, build and operate clean energy projects across the UK", including owning stakes in the projects it develops itself, the government said. The organisation will develop "clean energy assets from inception", as well as co-develop and invest in more advanced projects. The national wealth fund "will unlock over £70bn ($90.7bn) in private investment to help deliver economic growth, make Britain a clean energy superpower, and strengthen the defence sector", the government said. The fund will prioritise investment in "clean energy, advanced manufacturing, digital technologies, and transport", and flagged likely spending on carbon capture and green hydrogen projects, as well as gigafactories and "green steel". The government has made commitments to "clean power" deployment and hitting the UK's legally-binding net zero by 2050 target central to its approach, sticking to pledges made ahead of last July's election . The government is targeting 95pc "clean power" by 2030 and consulted on a "clean energy future" for the North Sea earlier this month . 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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EU mulls competitive metals decarbonisation


19/03/25
News
19/03/25

EU mulls competitive metals decarbonisation

Brussels, 19 March (Argus) — The European Commission today presented its steel and metals action plan, setting out actions to boost the sector's decarbonisation while countering unfair competition from outside the bloc. The plan has a strong focus on combatting global market distortion, whether in terms of trade or combined with circumvention of the bloc's emissions trading system (ETS) and carbon border adjustment mechanism (CBAM). "We will strengthen the current safeguard clause. We aim for a reduction of up to 15pc in [steel] imports," said industry commissioner Stephane Sejourne. Aside from revised steel safeguard measures , trade actions include a ferro-alloys safeguards investigation "expeditiously" by 18 November. And the commission promises to assess whether the bloc's use of the lesser duty rule regime requires changes. In addition to a CBAM scheme for exported goods , the measures also cover energy prices, decarbonisation through electrification and more flexible rules for low-carbon hydrogen. The commission promises revised rules to enable more EU states to provide indirect cost compensation for steel and aluminium firms for carbon costs passed on through electricity bills. And Brussels wants EU states to lower costs for energy-intensive industries through network tariffs, facilitating power purchase agreements (PPAs) and lowering electricity taxation to zero. With direct electrification not always possible or cost-effective, the commission points to hydrogen as a key enabler of decarbonisation in the steel and metals industries. Some measures have been toned down from drafts. The commission's plan no longer mentions implementing a melt and pour clause , "effective immediately". The commission will now "assess" whether it should adapt its practice by introducing a melted and poured rule, regardless of the place of subsequent transformation and origins. But the commission now promises that the delegated act on low-carbon hydrogen will provide rules that are "as flexible as possible" to achieve greenhouse gas emission-reduction goals for low-carbon fuels in a "technology neutral way". Industry association Hydrogen Europe welcomed the commission's direct acknowledgment of hydrogen as the best route to decarbonisation for primary steel production. "Labelling schemes, sustainability criteria, and dedicated funding mechanisms are necessary first steps to incentivise the offtake of green products," said Hydrogen Europe's industrial policy director Laurent Donceel. The commission's paper sends a clear message that "a strong European Union needs a strong European steel industry", said Henrik Adam, president of European steel association Eurofer. But the association also called on the EU to implement "meaningful solutions through ambitious measures". By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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