Japan's Hokuriku starts biomass co-firing test runs

Spanish Market: Biomass, Electricity
21/06/24

Japan's utility Hokuriku Electric Power started coal and wood pellet co-firing test runs in April, the company said today.

Hokuriku has been conducting co-firing test runs using coal and imported wood pellets at the 700MW Tsuruga No.2 unit in Fukui prefecture since April, with the 700MW Nanao-Ohta No.2 unit in Ishikawa prefecture to follow suit.

The company also plans to increase biomass co-combustion rates at these two major coal-fired power plants to 15pc by the April 2030-March 2031 fiscal year, which means a total of 210MW of capacity and 1.5mn MWh/yr of output based on biomass-fired generation.

Hokuriku expects its increased biomass co-firing rates to reduce CO2 emissions by 1mn t/yr compared with emissions from coal-firing for the same output, although it did not disclose the volume of wood pellets that will be burned. The company has been co-firing with coal and domestically-produced wood chips at Tsuruga since 2007 and at Nanao-Ohta since 2010, but its total biomass ratio was under 1pc.

By Takeshi Maeda

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23/04/25

UK mulls GB Energy forced labour PV panels plan

London, 23 April (Argus) — The UK government is mulling steps to position the state-owned GB Energy investment vehicle as a "sector leader" in preventing solar panels produced by forced labour from entering the supply chain. The department for energy security and net zero (Desnz) is "considering" how the government can "go further" to ensure forced labour is removed from the solar supply chain. The ministry states that "no industry in the UK should rely on forced labour", a Desnz spokesperson told Argus . The government previously voted down a Lords amendment introduced by David Alton on 11 February that would have prevented the Secretary of State from disbursing GB Energy funds "if there exists credible evidence of modern slavery". The government defended rejecting the amendment on 25 March, arguing that the existing "debarment list" mechanism — introduced by the Procurement Act 2023 — was adequate "to ensure that suppliers with unethical supply chains cannot participate in [GB Energy] procurement", according to energy minister Michael Shanks. He added that the amendment would "force the government to cease all [GB Energy's] activities". The ministry has now revised that view "having listened carefully to the views of MPs and peers", and expects to "provide an update shortly" on revised guidance. Domestic industry body Solar Energy UK "welcomed" the government's move to push on with a plan to strip modern slavery from industry supply chains and added that it "look[s] forward to seeing the [amendment] text and responding in more detail." The body also stated its confidence that removing forced labour solar panels from the supply chain would produce "no slowdown in solar deployment". By Daniel Craig Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Vietnam's wood pellet exports rise on year in January

21/04/25

Vietnam's wood pellet exports rise on year in January

Singapore, 21 April (Argus) — Vietnamese wood pellet exports rose on the year in January, because of more demand from South Korea and Japan. Vietnam exported 596,000t of wood pellets in January, up by 17pc from the previous year's 507,000t, but fell by 7.3pc from a month earlier, according to customs data. The year-on-year increase in exports was because of strong demand for pellets from South Korean end-users, following a change in state subsidies for biomass-fired generators . Higher buying interest from Japan, given new biomass power plants starting up or coming on line in early 2025, also contributed to the rise in exports. The month-on-month decrease in exports was because of a lack of trading activity during Vietnam's nine-day Tet holiday from 25 January to 2 February. Vietnamese wood pellet shipments to Japan stood at 385,000t in January, up by 72pc from a year earlier, but down by 10pc from December 2024. It accounted for 65pc of the country's wood pellet exports in January. South Korea was Vietnam's second-largest buyer of wood pellets, accounting for 28pc of the country's wood pellet exports in January. Vietnam exported 166,000t to South Korea in January, up by 1.5pc from a year earlier, but down by 18pc from December 2024. There were 31,800t of wood pellets exported to France in January, down by 49pc from a year earlier, with no volumes shipped in December. By Joshua Sim Vietnam's wood pellet exports in January 2025 t Quantity on month (%) on year (%) Japan 385,335 -10.1 72.1 South Korea 166,187 -17.5 1.5 France 31,750 N/A -48.9 Total 595,956 -7.3 17.4 Source: Customs data Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Vietnam wood pellet output capacity to rise: Correction

17/04/25

Vietnam wood pellet output capacity to rise: Correction

Corrects capacity in table Singapore, 17 April (Argus) — Vietnamese wood pellet producers are building new pellet mills and manufacturing facilities to increase production capacity this year to meet an anticipated increase in demand from Japan. Producers such as Uniexport — Vietnam's biggest wood pellet producer — and Tam Sen have planned expansion projects, the firms told Argus , and the country could add around 800,000 t/yr of production capacity by the end of 2026, with at least half of this likely to be developed by the end of 2025. The additional capacity would cater for Japanese utility demand, in line with the country's growth in generation capacity. Japan's biomass-fired capacity rose by over 500MW in 2024, and additions of around 700MW are expected for 2025. The simultaneous start-up of many plants could lead to logistical challenges at first. Vietnam has been unable to meet South Korean demand because of its shortage of wood pellets, exacerbated by rains and port congestions , that has prompted suppliers to focus on clearing backlog. The new lines will hence also help Vietnam to provide more supply to South Korea. Uniexport aims to complete most of its expansion projects, which are spread across the country and total 412,500 t/yr of wood pellets, by the fourth quarter of 2025. Uniexport has also planned to have an additional 315,000 t/yr of capacity by the end of 2026, with the overall expansion set to take its total production capacity to 1.46mn t/yr (see table) . The new plants will use varying types of feedstocks, such as sawdust from sawmills, and wood chips from lumber processing activities, depending on the location of the facility. Tam Sen aims to complete the construction of its new wood pellet mill in Binh Duong in southern Vietnam by September 2025. The wood pellet factory will have a 80,000 t/yr production capacity and will mainly use wood residue from sawmills as feedstock for pellet manufacturing, said Tam Sen's factory director, Mai Ly. The expansion will take its total production capacity to 380,000 t/yr. Meanwhile, Japanese energy company eRex has also started up the 150,000 t/yr Tuyen Quang pellet factory in northern Vietnam in March, with plans to build up to 20 wood pellet factories in the coming years. By Joshua Sim New pellet production capacity t Region of Vietnam Plant Location Operational Annual supply capacity Estimated capacity 2025 2026 Central UNE Gia Lai Gia Lai 1Q2025 150,000 150,000 150,000 HDV Daklak M'Drak Daklak 4Q2025 150,000 37,500 150,000 Southern Unifor Renewables Vung Tau 4Q2025 120,000 30,000 120,000 Northern UNE Phu Tho Phu Tho 1Q2025 120,000 120,000 120,000 UNE Nghi Son Thanh Hoa 3Q2025 150,000 75,000 150,000 UNE Bac Giang Bac Giang 4Q2026 150,000 - 37,500 Sub-total 412,500 727,500 Source: Uniexport Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Japan to develop geothermal power under net zero plan

16/04/25

Japan to develop geothermal power under net zero plan

Osaka, 16 April (Argus) — The Japanese government is gearing up to develop geothermal energy, as the clean power can help to decarbonise the power sector with stable output, unlike weather-dependent renewables such as solar and wind. The trade and industry ministry Meti on 14 April launched a public-private council to discuss the development of next-generation geothermal energy, aiming to formulate a draft guideline, including capacity and cost targets, by around October this year. The new technology could lift the country's potential geothermal capacity to at least 77GW, compared with 23.5GW based on conventional methods, according to the council. The draft plan aims to establish the next-generation geothermal technology as early as the 2030s, to expand the use of the clean energy with competitive prices toward 2040, while tacking geological challenges, such as fault and complex geology, in Japan. Should the next-generation technology, such as closed-loop and supercritical geothermal, prove practical, Japan could utilise its potential, said Meti minister Yoji Muto on 15 April. Japan could consider exporting the next-generation technology globally, as it has around 70pc global share in conventional geothermal turbines, he added. The geothermal strategy is in line with the country's new strategic energy plan (SEP) , which was published in February, as well as prime minister Shigeru Ishiba's push to develop geothermal capacity. Ishiba had focused on less-utilised and high potential geothermal, as well as micro-hydropower, during his [campaign for the ruling Liberal Democratic Party presidential election](https://direct.argusmedia.com/newsandanalysis/article/2608517) last year. The SEP assumes geothermal will account for 1-2pc of Japan's power mix in the April 2040-March 2041 fiscal year, which is relatively marginal compared with other renewables such as solar at 23-29pc, wind at 4-8pc, hydroelectric at 8-10pc and biomass at 5-6pc. But even the small share would be much higher compared with its actual share of 0.3pc of total power generation in 2023-24. Diversification of renewable power sources would be necessary to achieve Japan's plan to reduce its greenhouse gas emissions by 60pc in 2035-36 and by 73pc in 2040-41, respectively, against the 2013-14 level, before achieving its net zero goal in 2050. Under the SEP, Tokyo aims to reduce its dependence on thermal power to 30-40pc in 2040-41 from 71pc in 2024. Japanese private firms are already involved in further developing domestic and overseas geothermal projects. Japanese utility Hokkaido Electric Power and construction firm Obayashi said on 16 April that they will study potential geothermal resources in Hokkaido during April 2025-February 2026, taking advantage of subsidies provided by state-owned energy agency Jogmec. Japanese battery maker Panasonic Energy said on 8 April that it has signed a power purchase agreement with regional utility Kyushu Electric Power's renewable arm Kyushu Mirai Energy to secure around 50GWh/yr of geothermal-based electricity from 1 April. The stable geothermal supplies, unaffected by weather, could double a renewable ratio in its domestic power consumption to around 30pc, Panasonic said. By Motoko Hasegawa Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Dozens of US coal plants eligible for MATS extension

15/04/25

Dozens of US coal plants eligible for MATS extension

Cheyenne, 15 April (Argus) — The White House has identified more than 60 fossil fuel-fired power plants that will have two extra years to comply with the more stringent mercury and air toxics standards (MATS) finalized in 2024. Under a proclamation signed by US president Donald Trump last week, the plants on the list will be able to operate under whatever existing mercury and air toxics standards they currently are subject to until 8 July 2029. That is two years after the compliance deadline put in place in May 2024. The Environmental Protection Agency (EPA) rules finalized last year tightened mercury and air toxics standards for coal- and oil-fired units by 67pc, included new emissions-monitoring requirements and added standards for lignite-fired coal plants that put them in line with those for other coal plants. EPA in March said it was reviewing the new standards and said companies could seek exemptions to the mercury rule and other emissions rules. Trump followed that up last week with a proclamation that certain generating facilities would be given a two-year exemption in complying with the 2024 rule. The White House released the list of exempt power plants late on 14 April. Most of the plants on the list are coal-fired generators, some of which were scheduled for retirement by the end of 2027. These include Tennessee Valley Authority's Kingston plant and one unit of its Cumberland plant, as well as Vistra Energy's Kincaid, Baldwin and Newton plants and two coal units of Vistra's Miami Fort plant. The two coal units at Southern Company's Victor J Daniel plant in Mississippi also have been exempted from the new mercury and air toxics rules for two years. Southern had planned on retiring those units by the end of 2027, but in February, the Mississippi Public Service Commission approved two special contracts that were expected to need unit 2 of the Daniel plant and possibly a unit of a natural gas plant to run into the 2030s. Some other coal plant units owned by Southern, TVA and Vistra also are now exempt from the July 2027 mercury and air toxics compliance deadline. So are some plant units owned by East Kentucky Power Cooperative (EKPC), NRG, Ameren and Entergy. At least two natural gas plant units — unit 5 of Southern's Plant Barry and City Utilities of Springfield's John Twitty Energy Center, which has coal and natural gas generation — are exempt from the July 2027 deadline. So is unit 5 of Entergy's RS Nelson plant, which runs on petroleum coke. Essentially all of the other units in the White House's list are coal units, including Otter Tail Power's Big Stone and Coyote Station plants in North Dakota. Otter Tail said it had requested the exemptions "to avoid making unnecessary expenditures" if EPA decides to roll back the 2024 rule. EKPC said it was "grateful" its request to exempt the Spurlock and Cooper coal-fired power plants in Kentucky was granted and that the company "will continue to operate the plants in accordance with all market and environmental rules." NRG said it was still reviewing the order, but did not expect it to have any effect on its plans. TVA, Southern, Vistra and owners of other power plants given compliance extensions did not respond to requests for comment. By Courtney Schlisserman Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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