Fourth Of Businesses Unprepared For Disasters

Asia Electricity Consumption 2025 highlights an IEA forecast of surging global power demand led by China, lagging access in Africa, rising renewables and nuclear output, stable emissions, and weather-dependent grids needing flexibility and electrification.

Key Points

An IEA forecast that Asia will use half of global power by 2025, led by China, as renewables and nuclear drive supply.

✅ Asia to use half of global electricity; China leads growth

✅ Africa just 3% consumption despite rapid population growth

✅ Renewables, nuclear expand; grids must boost flexibility

Asia will for the first time use half of the world’s electricity by 2025, even as global power demand keeps rising and Africa continues to consume far less than its share of the global population, according to a new forecast released Wednesday by the International Energy Agency.

Much of Asia’s electricity use will be in China, a nation of 1.4 billion people whose China's electricity sector is seeing shifts as its share of global consumption will rise from a quarter in 2015 to a third by the middle of this decade, the Paris-based body said.

“China will be consuming more electricity than the European Union, United States and India combined,” said Keisuke Sadamori, the IEA’s director of energy markets and security.

By contrast, Africa — home to almost a fifth of world’s nearly 8 billion inhabitants — will account for just 3% of global electricity consumption in 2025.

“This and the rapidly growing population mean there is still a massive need for increased electrification in Africa,” said Sadamori.

The IEA’s annual report predicts that low-emissions sources will account for much of the growth in global electricity supply over the coming three years, including nuclear power and renewables such as wind and solar. This will prevent a significant rise in greenhouse gas emissions from the power sector, it said.

Scientists say sharp cuts in all sources of emissions are needed as soon as possible to keep average global temperatures from rising 1.5 degrees Celsius (2.7 Fahrenheit) above pre-industrial levels. That target, laid down in the 2015 Paris climate accord, appears increasingly doubtful as temperatures have already increased by more than 1.1 C since the reference period.

One hope for meeting the goal is a wholesale shift away from fossil fuels such as coal, gas and oil toward low-carbon sources of energy. But while some regions are reducing their use of coal and gas for electricity production, in others, soaring electricity and coal use are increasing, the IEA said.

The 134-page also report warned that surging electricity demand and supply are becoming increasingly weather dependent, a problem it urged policymakers to address.

“In addition to drought in Europe, there were heat waves in India (last year),” said Sadamori. “Similarly, central and eastern China were hit by heatwaves and drought. The United States, where electricity sales projections continue to fall, also saw severe winter storms in December, and all those events put massive strain on the power systems of these regions.”

“As the clean energy transition gathers pace, the impact of weather events on electricity demand will intensify due to the increased electrification of heating, while the share of weather-dependent renewables poised to eclipse coal will continue to grow in the generation mix,” the IEA said. “In such a world, increasing the flexibility of power systems while ensuring security of supply and resilience of networks will be crucial.”

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Germany Hydrogen-Ready Power Plants Tender accelerates the energy transition by enabling clean energy generation, decarbonization, and green hydrogen integration through retrofit and new-build capacity, resilient infrastructure, flexible storage, and grid reliability provisions.

Key Points

Germany tender to build or convert plants for hydrogen, advancing decarbonization, energy security, and clean power.

✅ Hydrogen-ready retrofits and new-build generation capacity

✅ Supports decarbonization, grid reliability, and flexible storage

✅ Future-proof design for green hydrogen supply integration

Germany, a global leader in energy transition and environmental sustainability, has recently launched an ambitious call for tenders aimed at developing hydrogen-ready power plants. This initiative is a significant step in the country's strategy to transform its energy infrastructure and support the broader goal of a greener economy. The move underscores Germany’s commitment to reducing greenhouse gas emissions and advancing clean energy technologies.

The Need for Hydrogen-Ready Power Plants

Hydrogen, often hailed as a key player in the future of clean energy, offers a promising solution for decarbonizing various sectors, including power generation. Unlike fossil fuels, hydrogen produces zero carbon emissions when used in fuel cells or burned. This makes it an ideal candidate for replacing conventional energy sources that contribute to climate change.

Germany’s push for hydrogen-ready power plants reflects the country’s recognition of hydrogen’s potential in achieving its climate goals. Traditional power plants, which typically rely on coal, natural gas, or oil, emit substantial amounts of CO2. Transitioning these plants to utilize hydrogen can significantly reduce their carbon footprint and align with Germany's climate targets.

The Details of the Tender

The recent tender call is part of Germany's broader strategy to incorporate hydrogen into its energy mix, amid a nuclear option debate in climate policy. The tender seeks proposals for power plants that can either be converted to use hydrogen or be built with hydrogen capability from the outset. This approach allows for flexibility and innovation in how hydrogen technology is integrated into existing and new energy infrastructures.

One of the critical aspects of this initiative is the focus on “hydrogen readiness.” This means that power plants must be designed or retrofitted to operate with hydrogen either exclusively or in combination with other fuels. The goal is to ensure that these facilities can adapt to the growing availability of hydrogen and seamlessly transition from conventional fuels without significant additional modifications.

By setting such requirements, Germany aims to stimulate the development of technologies that can handle hydrogen’s unique properties and ensure that the infrastructure is future-proofed. This includes addressing challenges related to hydrogen storage, transportation, and combustion, and exploring concepts like storing electricity in natural gas pipes for system flexibility.

Strategic Implications for Germany

Germany’s call for hydrogen-ready power plants has several strategic implications. First and foremost, it aligns with the country’s broader energy strategy, which emphasizes the need for a transition from fossil fuels to cleaner alternatives, building on its decision to phase out coal and nuclear domestically. As part of its commitment to the Paris Agreement and its own climate action plans, Germany has set ambitious targets for reducing greenhouse gas emissions and increasing the share of renewable energy in its energy mix.

Hydrogen plays a crucial role in this strategy, particularly for sectors where direct electrification is challenging. For instance, heavy industry and certain industrial processes, such as green steel production, require high-temperature heat that is difficult to achieve with electricity alone. Hydrogen can fill this gap, providing a cleaner alternative to natural gas and coal.

Moreover, this initiative helps Germany bolster its leadership in green technology and innovation. By investing in hydrogen infrastructure, Germany positions itself as a pioneer in the global energy transition, potentially influencing international standards and practices. The development of hydrogen-ready power plants also opens up new economic opportunities, including job creation in engineering, construction, and technology sectors.

Challenges and Opportunities

While the push for hydrogen-ready power plants presents significant opportunities, it also comes with challenges. Hydrogen production, especially green hydrogen produced from renewable sources, remains relatively expensive compared to conventional fuels. Scaling up production and reducing costs are critical for making hydrogen a viable alternative for widespread use.

Furthermore, integrating hydrogen into existing power infrastructure, alongside electricity grid expansion, requires careful planning and investment. Issues such as retrofitting existing plants, ensuring safe handling of hydrogen, and developing efficient storage and transportation systems must be addressed.

Despite these challenges, the long-term benefits of hydrogen integration are substantial, and a net-zero roadmap indicates electricity costs could fall by a third. Hydrogen can enhance energy security, reduce reliance on imported fossil fuels, and support global climate goals. For Germany, this initiative is a step towards realizing its vision of a sustainable, low-carbon energy system.

Conclusion

Germany’s call for hydrogen-ready power plants is a forward-thinking move that reflects its commitment to sustainability and innovation. By encouraging the development of infrastructure capable of using hydrogen, Germany is taking a significant step towards a cleaner energy future. While challenges remain, the strategic focus on hydrogen underscores Germany’s leadership in the global transition to a low-carbon economy. As the world grapples with the urgent need to address climate change, Germany’s approach serves as a model for integrating emerging technologies into national energy strategies.

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Philippsburg Demolition Delay: EnBW postpones controlled cooling-tower blasts amid the coronavirus pandemic, affecting decommissioning timelines in Baden-Wurttemberg and grid expansion for a transformer station to route renewable power and secure supply in southern Germany.

Key Points

EnBW's COVID-19 delay of Philippsburg cooling-tower blasts, affecting decommissioning and grid plans.

✅ Controlled detonation shifted to mid-May at earliest

✅ Demolition links to transformer station for north-south grid

✅ Supports security of supply in southern Germany

German energy company EnBW said the coronavirus outbreak has impacted plans to dismantle its Philippsburg nuclear power plant in Baden-Wurttemberg, southwest Germany, amid plans to phase out coal and nuclear nationally.

The controlled detonation of Phillipsburg's cooling towers will now take place in mid-May at the earliest, subject to coordination as Germany debates whether to reconsider its nuclear phaseout in light of supply needs.

However, EnBW said the exact demolition date depends on many factors - including the further development in the coronavirus pandemic and ongoing climate policy debates about energy choices.

Philippsburg 2, a 1402MWe pressurised water reactor unit permanently shut down on 31 December 2019, as part of Germany's broader effort to shut down its remaining reactors over time.

At the end of 2019, the Ministry of the Environment gave basic approval for decommissioning and dismantling of unit 2 of the Philippsburg nuclear power plant, inluding explosive demolition of the colling towers. Since then EnBW has worked intensively on getting all the necessary formal steps on the way and performing technical and logistical preparatory work, even as discussions about a potential nuclear resurgence continue nationwide.

“The demolition of the cooling towers is directly related to future security of supply in southern Germany. We therefore feel obliged to drive this project forward," said Jörg Michels head of the EnBW nuclear power division.

The timely removal of the cooling towers is important as the area currently occupied by nuclear plant components is needed for a transformer station for long-distance power lines, an issue underscored during the energy crisis when Germany temporarily extended nuclear power to bolster supply. These will transport electricity from renewable sources in the north to industrial centres in the south.

As of early 2020, there six nuclear reactors in operation in Germany, even as the country turned its back on nuclear in subsequent years. According to research institute Fraunhofer ISE, nuclear power provided about 14% of Germany's net electricity in 2019, less than half of the figure for 2000.

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Juba Power Distribution Expansion accelerates grid rehabilitation in South Sudan, adding concrete poles, medium and low voltage networks, and LED street lighting, funded by AfDB and executed by Power China for reliable, affordable electricity.

Key Points

A project to upgrade Juba's grid with concrete poles, MV-LV networks, and LED lighting for reliable, affordable power.

✅ 13,350 concrete poles produced locally for network rollout

✅ Medium and low voltage network rehabilitation and expansion

✅ LED street lighting and customer care improvements funded by AfDB

The South Sudan government has launched a factory producing concrete poles that will facilitate an ambitious project done by a Chinese company to rehabilitate and expand the Power Distribution System in Juba, its capital.

The Minister of Dams and Electricity, Dhieu Mathok, said that the factory, rented by Power China, will produce some 13,350 poles for the electricity distribution in the capital and other states.

"The main objective of this project is to increase the supply capacity and reliability of the power distribution system in Juba. Access to the grid will replace the use of generators by the population, allow supply of energy at more affordable price and, hence contribute toward economic growth and poverty eradication in South Sudan," Mathok said during the inauguration of the plant along the Yei road in Juba.

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He disclosed that it will help solve the problem associated with non-availability of concrete poles for the project and to mitigate the risk of importing poles from other countries.

"This factory will create positive impact on the construction of the national grid in South Sudan. It is owned by South Sudanese business people but currently it has been taken over by Power China for a brief period of one year," he said.

South Sudan is largely generator driven economy with continued electricity blackout, and across the continent initiatives like Cape Town's municipal power build-out illustrate alternative approaches, in the wake of the collapse of the generator power plant operated by the South Sudan Electricity Corporation (SSEC) in 2013.

Wang Cun, an official with Power China said they got the contract to build the electricity project in June 2016 and that they will continue to support South Sudanese staff with skills and knowledge, drawing on advances such as PEM green hydrogen R&D that point to future low-carbon options, and also work with the government on several major power projects.

"We have achieved much from these projects and we also suffered much from the instability and continuous conflicts all these years, but we confirm and believe the year of 2018 will be a year of peace and development in South Sudan," Wang said, adding that the company has been operating in South Sudan since 2009.

He disclosed that Power China has conducted several projects before South Sudan won independence from Sudan in 2011 such as the peace road project from Renk to Malakal, Maridi water plant and Malakal municipal road projects.

Wang said they will immediately reorganize all necessary resources to increase post-production capacity and immediately shall commence the erection of these poles to all corners of Juba city and start the distribution.

"We shall do as we did before to recruit more local technicians, engineers and laborers during the construction period, so that they are there in place for similar projects in the near future. We shall make more efforts to improve these local staffs' working environment and to realize sustainable development of Power China and Sino-hydro in South Sudan," said Wang.

Power China has been committing itself in the economic development of South Sudan and has signed eight commercial contracts with the government of South Sudan since independence like the Juba-hydro power project and the Tharjiath thermal power plant project, while in China projects such as the Lawa hydropower station demonstrate ongoing hydropower expertise that can inform regional work.

Liu Xiaodong, the Charge d'Affaires at the Chinese embassy in South Sudan, said Power China has been working very hard in the engineering and procurement in the earlier stage of the project, and as China expands energy ties such as nuclear cooperation with Cambodia that demonstrate broader engagement, also thanked the South Sudan government and the African Development Bank for their strong support.

Liu added upon completion Juba will have an upgraded power distribution system with 2,250 lighting points along the main roads in the capital and lamps will be LED ones.

The project falls under the Juba Power Distribution System Rehabilitation and Expansion Project, which was funded by the African Development Bank (AfDB) and has undertaken an AfDB review of a Senegal power plant to inform regional energy decisions.

It comprises of five different lots like Rehabilitation of Diesel plant substation, Rehabilitation and Expansion of medium voltage network, low voltage network, and Rehabilitation and Expansion of street lighting and improvement of customer care.

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Ofgem Renewables Obligations drive supplier payments for renewables fees, feed-in tariffs, and renewable generation, with non-payment risking supply licences amid the price cap and volatile wholesale prices across the UK energy market.

Key Points

Mandatory payments by suppliers funding renewables via feed-in tariffs; non-payment can trigger supply licence revoking.

✅ Covers Renewables Obligation and Feed-in Tariff scheme compliance.

✅ Non-payment can lead to Ofgem action and licence loss.

✅ Affected by price cap and wholesale price volatility.

Seven small British energy suppliers owe a total of 34 million pounds ($43.74 million) in renewables fees, amid a renewables backlog that has stalled projects, and could face losing their supply licences if they cannot pay, energy regulator Ofgem reports.

Under Britain’s energy market rules, suppliers of energy must meet so-called renewables obligations and feed-in tariffs, including households' ability to sell solar power back to energy firms, which are imposed on them by the government to help fund renewable power generation.

Several small energy companies have gone bust over the past two years, a trend echoed by findings from a global utility study on renewable priorities, as they struggled to pay the renewables fees and as their profits were affected by a price cap on the most commonly used tariffs and fluctuating wholesale prices, even as a 10 GW contract brings new renewable capacity onto the UK grid.

Ofgem has called on the companies to make necessary payments by Oct. 31, as moves to offer community-generated power to all UK customers progress.

“If they do not pay Ofgem could start the process of revoking their licences to supply energy,” it said in a statement, as offshore wind power continues to scale nationwide.

The seven suppliers are, amid debates over clean energy impacts, Co-Operative Energy Limited; Flow Energy Limited; MA Energy Limited; Nabuh Energy Limited; Robin Hood Energy Limited; Symbio Energy Limited and Tonik Energy Limited. ($1 = 0.7773 pounds)

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Canada Wind Energy Costs are plunging as renewable energy auctions, CfD contracts, and efficient turbines drive prices to 2-4 cents/kWh across Alberta and Saskatchewan, outcompeting grid power via competitive bidding and improved capacity factors.

Key Points

Averaging 2-4 cents/kWh via auctions, CfD support, and bigger turbines, wind is now cost-competitive across Canada.

✅ Alberta CfD bids as low as 3.9 cents/kWh.

✅ Turbine outputs rose from 1 MW to 3.3 MW per tower.

✅ Competitive auctions cut costs ~70% over nine years.

It's taken a decade of technological improvement and a new competitive bidding process for electrical generation contracts, but wind may have finally come into its own as one of the cheapest ways to create power.

Ten years ago, Ontario was developing new wind power projects at a cost of 28 cents per kilowatt hour (kWh), the kind of above-market rate that the U.K., Portugal and other countries were offering to try to kick-start development of renewables. 

Now some wind companies say they've brought generation costs down to between 2 and 4 cents — something that appeals to provinces that are looking to significantly increase their renewable energy deployment plans.

The cost of electricity varies across Canada, by province and time of day, from an average of 6.5 cents per kWh in Quebec to as much as 15 cents in Halifax.

Capital Power, an Edmonton-based company, recently won a contract for the Whitla 298.8-megawatt (MW) wind project near Medicine Hat, Alta., with a bid of 3.9 cents per kWh, at a time when three new solar facilities in Alberta have been contracted at lower cost than natural gas, underscoring the trend. That price covers capital costs, transmission and connection to the grid, as well as the cost of building the project.

Jerry Bellikka, director of government relations, said Capital Power has been building wind projects for a decade, in the U.S., Alberta, B.C. and other provinces. In that time the price of wind generation equipment has been declining continually, while the efficiency of wind turbines increases.

Increased efficiency

"It used to be one tower was 1 MW; now each turbine generates 3.3 MW. There's more electricity generated per tower than several years ago," he said.

One wild card for Whitla may be steel prices — because of the U.S. and Canada slapping tariffs on one other's steel and aluminum products. Whitla's towers are set to come from Colorado, and many of the smaller components from China.

Canada introduces new surtaxes to curb flood of steel imports

"We haven't yet taken delivery of the steel. It remains to be seen if we are affected by the tariffs." Belikka said.

Another company had owned the site and had several years of meteorological data, including wind speeds at various heights on the site, which is in a part of southern Alberta known for its strong winds.

But the choice of site was also dependent on the municipality, with rural Forty Mile County eager for the development, Belikka said.

Alberta aims for 30% electricity from wind by 2030

Alberta wants 30 per cent of its electricity to come from renewable sources by 2030 and, as an energy powerhouse, is encouraging that with a guaranteed pricing mechanism in what is otherwise a market-bidding process.

While the cost of generating energy for the Alberta Electric System Operator (AESO) fluctuates hourly and can be a lot higher when there is high demand, the winners of the renewable energy contracts are guaranteed their fixed-bid price.

The average pool price of electricity last year in Alberta was 5 cents per kWh; in boom times it rose to closer to 8 cents. But if the price rises that high after the wind farm is operating, the renewable generator won't get it, instead rebating anything over 3.9 cents back to the government.

On the other hand, if the average or pool price is a low 2 cents kWh, the province will top up their return to 3.9 cents.

This contract-for-differences (CfD) payment mechanism has been tested in renewable contracts in the U.K. and other jurisdictions, including some U.S. states, according to AESO.

Competitive bidding in Saskatchewan

In Saskatchewan, the plan is to double its capacity of renewable electricity, to 50 per cent of generation capacity, by 2030, and it uses an open bidding system between the private sector generator and publicly owned SaskPower.

In bidding last year on a renewable contract, 15 renewable power developers submitted bids, with an average price of 4.2 cents per kWh.

One low bidder was Potentia with a proposal for a 200 MW project, which should provide electricity for 90,000 homes in the province, at less than 3 cents kWh, according to Robert Hornung of the Canadian Wind Energy Association.

"The cost of wind energy has fallen 70 per cent in the last nine years," he says. "In the last decade, more wind energy has been built than any other form of electricity."

Ontario remains the leading user of wind with 4,902 MW of wind generation as of December 2017, most of that capacity built under a system that offered an above-market price for renewable power, put in place by the previous Liberal government.

In June of last year, the new Conservative government of Doug Ford halted more than 700 renewable-energy projects, one of them a wind farm that is sitting half-built, even as plans to reintroduce renewable projects continue to advance.

The feed-in tariff system that offered a higher rate to early builders of renewable generation ended in 2016, but early contracts with guaranteed prices could last up to 20 years.

Hornung says Ontario now has an excess of generating capacity, as it went on building when the 2008-9 bust cut market consumption dramatically.

But he insists wind can compete in the open market, offering low prices for generation when Ontario needs new  capacity.

"I expect there will be competitive processes put in place. I'm quite confident wind projects will continue to go ahead. We're well positioned to do that."

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