Toshiba commissions the first unit of a 110 MW plant in Indonesia
Electricity - Geothermal - Renewables - Capacities - Projects - Supply
Toshiba and Ormat Technologizes have announced the commissioning of the first unit (110 MW) of the Sarulla geothermal power plant project in Indonesia.
The Sarulla plant is located in the North Sumatra province and it will have a complete capacity of 320.8 MW. The planning process foresees a development in three phases of approximately 110 MW each. The plant combines flash (Toshiba) and binary technologies (Ormat).
It will be operated by SOL (Sarulla Operations Ltd), a consortium encompassing Itochu (25%), Kyushu Electric Power (25%), PT Medco Power Indonesia (18.9975%), Inpex (18.2525%) and Ormat International 12.75%. Toshiba is in charge of the geothermal steam turbines and generators supply. The EPC contractor is Hyundai Engineering and Construction Co. Ltd.
Indonesia commissions 500 MW of new mobile power plants
Electricity - Natural gas - Thermal - Projects
Eight gas-fired mobile power plants with a cumulated capacity of 500 MW have been officially inaugurated in Indonesia. The plants' capacities range between 25 MW and 100 MW and the eight projects have been installed in Lombok (West Nusa Tenggara), on Bangka Island, in Lampung (South Sumatra), in Pontianak (West Kalimantan), in Bengkalis (Riau Islands), on Belitung Island and in Nias and Medan in North Sumatra. Some of the plants started operations in 2016. The projects have been developed as part of the national programme to add 35,000 MW of power capacity by 2019.
In addition, national power utility PT PLN has signed contracts for 16 projects with a total generating capacity of 1,825 MW. The company has signed four contracts amounting to 927 MW, including the 650 MW Muara Tawar 2-3-4 add-on project, the 140 MW PLTMG Bangkanai (Peaker) Stage-2 project, the 100 MW MPP Package 7 (Flores, Nabire, Ternate and Bontang) and 37.5 MW of diesel power plants. Six diesel-fired and gas-fired power projects will also be developed, for a total capacity of 328 MW. PT PLN has also signed six construction contracts for 500 kV transmission lines in North Java. The power plants are expected to be commissioned in 2018 and the lines should be added by 2019, to achieve the government plans to reach an electrification rate of 99% by 2019.
Source(s): National pressNational press IIPT PLN press release (Indonesian)
Global energy-related CO2 emissions were stable in 2016
CO2 emissions - Data - Market
According to the International Energy Agency (IEA), global energy-related CO2 emissions remained stable in 2016, for the third consecutive year, thanks to rising renewable power generation, switches from coal to gas in the power sector, improvements in energy efficiency, as well as structural changes in the global economy.
According to the IEA, global CO2 emissions stood at 32.1 Gt in 2016, while the global economy grew by 3.1%, resulting in an improved carbon intensity (CO2 emissions per unit of GDP). This improvement was mainly attributable to the United States, where CO2 emissions contracted by 3% while the economy grew by 1.6% (higher renewable power generation and surge in gas supplies to the detriment of coal), and to China, where emissions dipped by 1% in 2016 (lower coal demand) while the economy grew by 6.7%. Renewable power generation (mainly hydro and wind power) and nuclear generation (five new reactors commissioned, boosting nuclear generation by 25%) covered 2/3 of China's electricity demand growth. In the European Union, emissions were stable, as coal demand contracted by 10%, while gas demand rose by 8%.
Over the last three years, CO2 emissions and economic activity have continued to decouple, thanks to technology cost reductions and concerns about climate change and air pollution.
This announcement is in line with the first 2016 estimates Enerdata published in January 2017.
Source(s): IEA press releaseInternational press
Petronas (Malaysia) increased its profit in 2016 by 12%
Natural Gas - Oil - Companies
The Malaysian company Petronas has published its 2016 financial year results. The Group's profit increased by 12% mainly thanks to lower OPEX and tax expenses (US$5.2bn). The company's CAPEX decreased in 2016 by 22% to RM50.4bn (US$11.3bn). Petronas revenues dipped by 17% and this figure reflects the lower average prices and the lower sales volumes.
Petronas' total hydrocarbon production rose by 3% to 2,363 kboe/d in 2016, thanks to the resumption of operations of the Sabah-Sarawak gas pipeline, higher facilities uptime in Malaysia and Canada, and higher production from Malaysia, Indonesia and Australia. Petronas acquired four international blocks in 2016 (two in Mexico and two in Myanmar) and commissioned the PFLNG Satu and Train 9 at Bintulu in Malaysia. Higher LNG production from Train 9 in Bintulu and GLNG in Australia contributed to the 1.8% increase in LNG third-party sales to 29 Mt (partially offset by lower trading volume). Average sales gas volume for Malaysia increased in 2016, in line with higher demand.
In the downstream segment, the utilisation rate of Petronas' refineries in Malaysia stood at 90.5% in 2016. Total petroleum products sales volume was 268.1 mbl (-5.1%), while crude oil sales volume was 189.3 mbbl (-11.5%).
Source(s): Petronas press releaseLNG World News
Daklak province (Vietnam) approves 3 large solar power projects
Electricity - PV - Renewables - Solar - Investments
The authorities of the Daklak province in Vietnam have granted several licenses for the development of solar power projects with a combined value of US$3.3bn.
The US company AES Corporation has signed a Memorandum of Understanding (MoU) with the Daklak province authorities regarding the development of a solar project worth US$750m. Under the frame of this agreement, AES Corporation agrees to invest this sum in a solar plant which is expected to reach a capacity of 300-500 MW.
In addition, the Vietnamese firm Xuan Thien Daklak has been granted a governmental license for a 2 GW solar power project. The company will invest US$2.2bn in the project.
Finally, the Vietnamese company Long Thanh Infrastructure Development and Investment Company will invest US$308m in a 250 MW solar power project in the province.
All these projects occur in a context of development of renewable energies in the country which has been mostly reliant on coal-fired and hydro plants for its demand.
Source(s): International press
IEA estimates global oil supply could lag demand after 2020
Crude oil - Oil - Demand - Forecasts - Production - Supply
According to the Medium-Term Oil Market Report released by the International Energy Agency (IEA), global oil supply could lag behind demand after 2020 if new projects are not approved soon.
The IEA expects oil supply to grow in the United States, Canada, Brazil and elsewhere in the next few years but this growth should stall by 2020 if investments don't pick up in 2017. The IEA plans the United States to account for the bulk of new supplies by 2022, with production rising by 1.4 to 3 mb/d by 2022 (depending if oil prices remain around US$60/bbl or rise to US$80/bbl); a decline in global oil prices to US$50/bbl could reduce US oil production from the early 2020s. Within the OPEC, major low-cost Middle Eastern producers, namely Iraq, Iran, and the United Arab Emirates should account for the bulk of new supplies, while oil production should decline in Nigeria, Algeria and Venezuela. Oil production in Russia is expected to remain stable by 2022.
Oil demand, on the other side, should pass the 100 mb/d threshold in 2019 and reach 104 mb/d by 2022, as developing countries and Asia should continue to account for 70% of the additional demand. The IEA expects Indian oil demand growth to outpace China by 2022.
Source(s): IEA press release
Second competitive bid process for a 460 MW project in Malaysia
Electricity - PV - Renewables - Solar - Projects
The Malaysian Energy Commission (Suruhanjaya Tenaga) has recently announced it plans to start a second competitive bid process in order to select developers for large scale PV projects which would have a combined capacity of 460 MW. The involved projects are a 360 MW project in the Malaysian peninsula and a 100 MW in the Labuan territory.
The projects will be completed in 2019-2020 and will deliver their output to the utility companies Tenaga Nasional Berhad (TNB) or Sabah Electricity Sdn Bhd (SESB).
Source(s): PV Tech
Saudi Aramco will invest US$7bn in Petronas RAPID refinery
Natural Gas - Oil - Investments - Market
Saudi Aramco will invest US$7bn into the RAPID refinery (Refinery and Petrochemical Integrated Development) in the region of Johor (Malaysia).
In January 2017, many sources believed Saudi Aramco would withdraw from the project because of the volatile environment and the low prices. Petronas said in the meantime it would go forward regardless of Saudi Aramco's decision. Saudi Aramco eventually decided to maintain its share in the project.
The US$16bn RAPID project will consist of a 300,000 bbl/d refinery and a petrochemical complex with a combined capacity of 7.7 Mt/year of various grades of products, including differentiated and speciality chemical products (synthetic rubbers and high-grade polymers). The project is part of Petronas' Pengerang Integrated Petroleum Complex (PIPC), estimated at US$27bn. Construction works are currently 54% complete and the project is currently on track to be commissioned in 2019.
Saudi Aramco is also expected to buy a stake in the refinery and could also supply around 50% the crude that will be processed there.
Source(s): ReutersMarkets Insider
Vietnam plans to commission its second refinery in May 2017
Oil - Refined oil - Projects
The Vietnam Nghi Son oil refinery expects to receive first crude oil in May 2017 and to start production by the third quarter of the year. The project is valued at US$7.5 bn and is expected to produce 200 000 bbl/d.
The Nghi Son facility will be Vietnam's second refinery. It will process mostly Kuwaiti crude oil and generate LPGs (700 kt/year), gasoline (2.9 Mt/year), diesel (2.9 Mt/year), kerosene and jet fuel (900 kt/year) mainly for the domestic markets.
The Nghi Son Refinery and Petrochemicals stakeholders are: the Japanese company Idemitsu Kosan (35.1%), Kuwait Petroleum International (35.1%), PetroVietnam (25.1%) and Mitsui Chemicals (4.7%).
At the moment, Vietnam's only Dung Quat refinery meets about 30% of the country's domestic demand. The new refinery will be able to match 70% of the domestic demand.
Source(s): International pressVietstock
Singapore will implement a carbon tax from 2019
CO2 emissions - Carbon Tax - Policy - Taxes
Singapore will implement a new carbon tax as of 2019 which will cost between US$10 and US$20 per ton of emissions. The exact schedule will be published in March, after consultations with the industry.
The tax will be more likely applied on largest emittors rather than on individuals. According to Singapore's finance minister, the idea is to create an incentive to push the industry to reduce its emissions. The tax has been put forward within the frame of the Paris Agreement which Singapore has signed. The country committed itself to reduce its emissions by 36% by 2030.
Singapore will also change its current diesel taxes and restructure them into a volume-based duty. The current carbon emissions-based vehicle scheme will be deleted and transformed into a new vehicular emissions scheme.
Source(s): Straits TimeCNBC