Author: Graham Foster

Key Highlights: Four governors, alongside nine state utility commissions and ratepayer advocates, are joining forces in a complaint aimed at reducing the capacity auction price cap set by the PJM Interconnection, as detailed in submissions to the Federal Energy Regulatory Commission (FERC). Constellation Energy Generation, the Electric Power Supply Association, and the PJM Power Providers Group are voicing opposition to this complaint initiated last month by Pennsylvania Governor Josh Shapiro. They argue that approving the complaint risks sending a “wait-and-see” signal to investors, which could further jeopardize the reliability of the capacity market. Utility firms Exelon and FirstEnergy have encouraged…

New research suggests that harnessing floating wind energy off the West Coast could provide up to 33 gigawatts (GW) of power. This development is crucial for enhancing the necessary transmission infrastructure but faces some significant challenges. A recent report from the Department of Energy’s Pacific Northwest National Laboratory (PNNL) and National Renewable Energy Laboratory (NREL) outlines these findings. After two years of research, PNNL and NREL have modeled the costs and advantages of deploying floating wind across the Pacific by 2050. The most cost-effective scenario highlights the addition of 13 GW off California and 2 GW off Oregon by 2035,…

China’s energy landscape is undergoing a notable transformation, but it’s a mixed bag. Last year, the country set records in adding capacity for wind, solar, and energy storage. However, at the same time, the use of fossil fuels surged to new heights, showcasing a complex relationship between economic growth and energy progress. Despite the significant push toward renewable energy, China’s thermal power generation saw a 1.5 percent increase, predominantly fueled by coal. This uptick comes amidst rising electricity demands that have outstripped GDP growth for five consecutive years. A major factor contributing to this increased energy demand is the rise…

This week marked a significant moment for BP as the company’s financial struggles continue to weigh heavily on its operations. Despite being a key player in the oil and gas sector with extensive assets in Texas and the Gulf of Mexico, its market value continues to lag behind major rivals like ExxonMobil and Shell, with BP’s worth only a fraction of these giants. In a recent announcement, BP revealed plans to cut 4,700 jobs aimed at simplifying its operations and increasing overall value. This decision comes amid a history of ambitious declarations about the company’s future, many of which have…

Tankers transporting liquefied natural gas (LNG) are shifting their routes in the Atlantic and heading towards Europe. This change comes as cargo owners seek to capitalize on the gas market, which has been significantly impacted by reduced Russian gas supplies via Ukraine. According to data from commodities firm ICIS, at least seven LNG shipments departing from the United States have abruptly changed their course this month. Initially, six ships were on their way to the Cape of Good Hope and Asia, while another was heading towards Colombia. However, all have now redirected to European ports. Alex Froley, an LNG market…

Good morning! Welcome back to Energy Source, straight from New York. Recent developments reveal that Donald Trump’s initial moves in office are putting over $300 billion in federal funding for green energy projects at risk. This comes after he halted disbursements linked to Joe Biden’s industrial policies, raising concerns over pending loan applications with the Department of Energy’s Loan Programs Office, often referred to as the nation’s green bank. This decision marks the beginning of Trump’s efforts to dismantle Biden’s economic initiatives aimed at rejuvenating the industrial sector while also cutting emissions. In addition to the immediate freezing of funds,…

As electric utilities face an increasing electricity demand, they are exploring all available resources to meet the needs of their customers. During a discussion hosted by the U.S. Energy Association on January 15, experts emphasized that while there is a pressing need to develop dispatchable generation sources, additional investments in gas and nuclear energy will be crucial for addressing the soaring demand. Experts attribute the rise in U.S. electricity consumption to a surge in data centers, manufacturing, and the broader shift toward electrification. After years of little to no growth, electricity demand is expected to increase by 9% by 2028…

In a significant shift in policy, President Donald Trump has announced the suspension of all funding from the Inflation Reduction Act. This executive order, issued on Monday, is part of a wider initiative to establish the new administration’s energy policies. The suspension also includes halting funding from the Infrastructure Investment and Jobs Act, a key element of former President Joe Biden’s domestic agenda aimed at supporting clean energy projects. Federal agencies are now tasked with reviewing various programs and will have 90 days to submit their findings and recommendations regarding spending to the Office of Management and Budget and the…

In 2017, Elon Musk expressed his disappointment when former President Donald Trump decided to pull the United States out of the Paris Agreement on climate change. Musk wasn’t alone; several renowned CEOs, like Tim Cook from Apple and Sundar Pichai from Google, also voiced their concerns. Fast forward to this week, as Trump reinstated the US’s withdrawal from the Paris accord on the first day of his new term, the reactions from these corporate leaders have drastically changed, showcasing a shift in corporate attitudes towards environmental policies. Trump’s decision to leave the Paris Agreement signifies a broader strategy affecting climate…

TotalEnergies has announced another delay for its $20 billion liquefied natural gas (LNG) project in Mozambique, as ongoing security issues and political instability continue to affect one of Africa’s major energy ventures. The LNG project, which began in 2020, aimed to significantly boost Mozambique’s economy and was touted as Africa’s largest foreign investment at the time. However, the company declared a force majeure in 2021 after a brutal attack by Islamist insurgents resulted in numerous fatalities, including foreign workers, near a site designated for gas processing in Cabo Delgado province. Plans to resume the project by the end of 2024…