Hydropower in India – feast or famine?

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India was one of the pioneering countries in Asia to implement hydroelectric power stations. As far back as 1898, one of the first hydropower plants in the region, generating only 130 kilowatts, was established at Darjeeling in West Bengal.

In 1902, a second plant was established on the Shimsha River in Karnataka.

By the middle of this year, India's installed hydroelectric generating capacity had reached almost 37,000 megawatts MW, representing almost 23 of the country's total generating capacity. In comparison, thermal power plants using coal, gas and diesel, contributed a total of 104,400 MW, or more than 64.

In recent years, despite increased hydroelectric schemes, the proportion of electricity generated from hydropower in India has declined. In 1970, for example, the proportion was as high as 44. Now the Indian government is pushing for increased power production from renewable sources, including hydropower schemes, as it strives to cut 2005 carbon-emission levels by between 20 and 25 by 2020.

The potential for hydroelectric power in India is enormous. The Indian Central Electricity Authority CEA New Delhi estimates hydropower potential to be as much as 148,700 MW, or 84,000 MW under a 60 load capacity. Under the 12th Five-Year Plan 2012-17, the Indian government has identified possible hydropower projects totaling more than 38,000 MW.

These projects range from the 25-MW plant at Ganol, on the Barak tributary of the Brahmaputra River in Meghalaya, to the 4,000-MW project at Etalin, on the Dibang tributary of the same river in Arunachal Pradesh. A meeting of the Task Force for Hydro Power Development in April this year determined that a capacity of 20,000 MW should be commissioned during the 12th Five-Year Plan.

For the same period, India's premier hydropower utility, NHPC Limited, has commissioned 1,150 MW of hydropower and has a further 4,172 MW under construction.

Both the state and national governments in India seem to regard hydropower as a potential gold mine to generate not only power, but also wealth. A recent cabinet note from the Arunachal Pradesh state government, for example, discusses the "state floating in hydro-dollars like the Arab countries are floating in petro-dollars."

But despite the enormous potential, hydropower has its problems. While proponents point to the green benefits of hydropower, opponents counter with claims that constructing dams often involves social injustices, such as the necessary relocation of villages. Critics point to the costs involved and the environmental destruction of large tracts of land.

While the International Hydropower Association pushes the environmental aspects of hydropower, a report produced by the World Commission on Dams in 2000 that investigated the environmental impacts of large dams, stated that "a first estimate suggests that the gross emissions from reservoirs may account for between 1 and 2 of the global warming potential of greenhouse gas emissions."

Another problem with hydropower is the inconsistency of water supplies. There seems to be a "feast or famine" scenario, with either floods or droughts. The enormous potential of rivers that begin in Himalayan glaciers is under threat as these glaciers are reportedly receding because of global warming.

According to the Intergovernmental Panel on Climate Change IPCC, rivers depending on flows from the glaciers "such as the Ganga, the Indus and the Brahmaputra and others in northern India may soon become seasonal."

Not only is the volume of available water under threat, but also competition for water resources is increasing from the industrial, agricultural and domestic sectors.

Earlier this month, the Ministry of Environment and Forests commissioned two studies on the impacts of all hydroelectric schemes planned for the Bhagirathi and Alaknanda rivers. The studies are aimed at assessing whether the construction of dams on the rivers will reduce the water available for irrigation and domestic consumption downstream.

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Gulf Power to Provide One-Time Bill Decrease of 40%

Gulf Power 40% One-Time Bill Decrease approved by the Florida Public Service Commission delivers a May fuel credit and COVID-19 relief, cutting residential and business costs across rate classes while supporting budgeting and energy savings.

 

Key Points

PSC-approved fuel credit cutting May electric bills about 40% for homes and 40-55% for businesses as COVID-19 relief.

✅ One-time May fuel credit on customer bills

✅ Residential cut ~40%; business savings 40-55% by rate class

✅ Online tools show daily usage and projected bill

 

Gulf Power announced that the Florida Public Service Commission unanimously approved its request to issue a one-time decrease of approximately 40% for the typical residential customer bill beginning May 1, similar to recent Georgia Power bill reductions seen elsewhere. Business customers will also see a significant one-time decrease of approximately 40-55% in May, depending on usage and rate class.

"We are pleased that the Florida Public Service Commission has approved our request to deliver this savings to our customers when they need it most. We felt that this was the right thing to do, especially during times like these," said Gulf Power President Marlene Santos. "Our customers and communities now more than ever count on the reliable and affordable energy we deliver, and we are pleased that May bills will reflect this additional, significant savings for our customers."

In Florida, fuel savings are typically refunded to customers over the remainder of the year to provide level, predictable bills. However, given the emergent and significant financial challenges facing many customers due to COVID-19, Gulf Power instead sought approval to give customers the total annual savings in their May bill, similar to a lump-sum electricity credit approach, which will be reflected as a line-item fuel credit on their May statement.

New tools to help save energy and money

Many customers are working from home and, in general, staying at home more. More time and extra people in the home will likely increase power usage, which could lead to higher monthly bills.

Gulf Power recently added new tools to our customers' online account portal to help them better understand and manage their energy usage, including their monthly projected bill amount and a breakdown of daily energy usage, which is available for most residential customers*. Customers can now see their previous day's energy usage using their online account portal to help them more easily understand how their previous day's activities impacted energy usage, allowing them to quickly make adjustments to keep bills low. The new projected bill feature is a valuable tool to assist customers in budgeting for their next month's energy bill.

Additional energy-saving tips that can be implemented with no additional cost or equipment are also available. As always, Gulf Power's free online Energy Checkup tool will provide customers with a customized report based on their home's actual energy use.

Helping customers pay their bills

Gulf Power has a long history of working with its customers during difficult times, including periods of pandemic-related energy insecurity, and will continue to do so. Gulf Power encourages customers that are having difficulty paying their energy bill to visit GulfPower.com/help to view available resources that can provide assistance to qualifying customers.

Customers are encouraged to pay their electric bill balance each month to avoid building up a large balance, which they will continue to bear responsibility for. Gulf Power will work with the customer's personal situation and assist with a solution, similar to how utilities in Texas have waived fees during this period, to help customers fulfill their personal responsibility for their Gulf Power balance.

Those who can afford or want to help others who may need assistance with their energy bill can make a donation to Project SHARE in your online customer portal. Project SHARE donations are added to a customer's monthly bill and all contributions are distributed to local offices of The Salvation Army. Customers in need of utility bill assistance can apply for Project SHARE assistance at The Salvation Army office in their county.

Supporting our communities

The Gulf Power Foundation gave $500,000 to United Way organizations across Northwest Florida to assist those most vulnerable during this time, which has helped support food, housing and other essential needs throughout the region. In addition, the Foundation recently made a $10,000 donation to Feeding the Gulf Coast and launched an employee donation campaign to provide food for our neighbors in need, while Entergy emergency relief fund offers a similar example of industry support. In total, Gulf Power and its fellow NextEra Energy companies and employees have so far committed more than $4 million in COVID-19 emergency assistance funds that will be distributed directly to those in need and to partner organizations working on the frontlines of the crisis to provide critical support to the most vulnerable members of the community.

Lower fuel costs are enabling Gulf Power to issue a one-time decrease of approximately 40% for the typical residential customer bill in May, even as FPL faces a hurricane surcharge controversy in the state
- a significant savings amid the ongoing COVID-19 pandemic

Gulf Power will deliver savings to customers through a one-time bill decrease, rather than the standard practice of spreading out savings over the remainder of the year, even as FPL proposes multi-year rate hikes elsewhere

 

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US Automakers Will Build 30,000 Electric Vehicle Chargers

Automaker EV Fast-Charging Network will deploy 30,000 DC fast chargers across US and Canada, supporting CCS and NACS, integrating Tesla compatibility, easing range anxiety, and expanding highway and urban charging infrastructure with amenities and uptime.

 

Key Points

A $1B joint venture by seven automakers to build 30,000 DC fast chargers with CCS and NACS across the US and Canada.

✅ 30,000 DC fast chargers by 2030 across US and Canada

✅ Supports CCS and NACS; Tesla compatibility planned

✅ Launching mid-2024; focus on highways, urban hubs, amenities

 

Seven major automakers announced a plan on Wednesday to nearly double the number of fast chargers in the United States in an effort to address one of the main reasons that people hesitate to buy electric cars, even as the age of electric cars accelerates.

The carmakers — BMW Group, General Motors, Honda, Hyundai, Kia, Mercedes-Benz Group and Stellantis — will initially invest at least $1 billion in a joint venture that will build 30,000 charging ports on major highways and other locations in the United States and Canada.

The United States and Canada have about 36,000 fast chargers — those that can replenish a drained battery in 30 minutes or less. In some sparsely populated areas, such chargers can be hundreds of miles apart. Surveys show that fear about not being able to find a charger during longer journeys is a major reason that some car buyers are reluctant to buy electric vehicles.

Sales of electric vehicles have risen quickly in the United States as the market hits an inflection point, but there are signs that demand is softening. As a result, Tesla, Ford and other carmakers have cut prices in recent months and are offering incentives. Popular models that had long waiting lists last year are now available in a few days or weeks.

Major carmakers are investing billions of dollars to manufacture electric vehicles and batteries and to establish supplier networks. Having staked their futures on the technology, they have a strong incentive to ensure that electric vehicles catch on with car buyers, even as gas-electric hybrids help bridge the transition.

The chargers installed by the joint venture will have plugs designed for the connections used by most carmakers other than Tesla, as well as the standard developed by Tesla, amid fights for control over charging, that Ford, G.M. and other companies have said they intend to switch to in 2025.

“The better experience people have, the faster E.V. adoption will grow,” Mary T. Barra, the chief executive of General Motors, said in a statement.

The seven automakers plan to formalize the joint venture and announce its name by the end of the year, Chris Martin, a Honda spokesman, said. The first chargers will begin operating around the middle of 2024, he said, with all 30,000 in place by the end of the decade.

The joint venture is open to adding other partners, he said. Among major automakers, Ford was a notable absence from the announcement on Wednesday. The company said in a statement on Wednesday that it would continue to iThe partnership also does not include Volkswagen. The company is a majority shareholder of Electrify America, one of the largest fast-charging providers.

Tesla accounts for more than half the fast chargers in the United States and has said it will open its networks to other car brands, though, so far, it has only made fewer than 100 ports available. Owners of Ford and G.M. vehicles, among others, will be able to connect to 12,000 Tesla fast chargers using an adapter beginning next year. In 2025, Ford and G.M. plan to make models designed to take the Tesla plug without an adapter.

The decision by the seven carmakers to form the joint venture is an indication that they do not intend to rely solely on Tesla, which dominates sales of electric vehicles, for charging.

The chargers being built by the joint venture will be concentrated in urban areas and along major highways, especially those used most heavily by vacationers and other travelers, the companies said in a joint statement. Charging stations will be close to restrooms, restaurants and other amenities. The partners said they would try to take advantage of federal and state funds available for charging infrastructure amid questions about whether the U.S. has the power to charge it at scale.

Most electric vehicle owners charge at home and rarely need to use public chargers. Home chargers typically replenish batteries overnight. Most public chargers, about 125,000 in the United States and Canada, also operate relatively slowly — taking four to 10 hours to do the job.nvest in its own network, which allows Ford owners to charge from a variety of providers with one mobile phone app.

 

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German official says nuclear would do little to solve gas issue

Germany Nuclear Phase-Out drives policy amid gas supply risks, Nord Stream 1 shutdown fears, Russia dependency, and energy security planning, as Robert Habeck rejects extending reactors, favoring coal backup, storage, and EU diversification strategies.

 

Key Points

Ending Germany's last reactors by year end despite gas risks, prioritizing storage, coal backup, and EU diversification.

✅ Reactors' legal certification expires at year end

✅ Minimal gas savings from extending nuclear capacity

✅ Nord Stream 1 cuts amplify energy security risks

 

Germany’s vice-chancellor has defended the government’s commitment to ending the use of nuclear power at the end of this year, amid fears that Russia may halt natural gas supplies entirely.

Vice-Chancellor Robert Habeck, who is also the economy and climate minister and is responsible for energy, argued that keeping the few remaining reactors running would do little to address the problems caused by a possible natural gas shortfall.

“Nuclear power doesn’t help us there at all,” Habeck, said at a news conference in Vienna on Tuesday. “We have a heating problem or an industry problem, but not an electricity problem – at least not generally throughout the country.”

The main gas pipeline from Russia to Germany shut down for annual maintenance on Monday, as Berlin grew concerned that Moscow may not resume the flow of gas as scheduled.

The Nord Stream 1 pipeline, Germany’s main source of Russian gas, is scheduled to be out of action until July 21 for routine work that the operator says includes “testing of mechanical elements and automation systems”.

But German officials are suspicious of Russia’s intentions, particularly after Russia’s Gazprom last month reduced the gas flow through Nord Stream 1 by 60 percent.

Gazprom cited technical problems involving a gas turbine powering a compressor station that partner Siemens Energy sent to Canada for overhaul.

Germany’s main opposition party has called repeatedly to extend nuclear power by keeping the country’s last three nuclear reactors online after the end of December. There is some sympathy for that position in the ranks of the pro-business Free Democrats, the smallest party in Chancellor Olaf Scholz’s governing coalition.

In this year’s first quarter, nuclear energy accounted for 6 percent of Germany’s electricity generation and natural gas for 13 percent, both significantly lower than a year earlier. Germany has been getting about 35 percent of its gas from Russia.

Habeck said the legal certification for the remaining reactors expires at the end of the year and they would have to be treated thereafter as effectively new nuclear plants, complete with safety considerations and the likely “very small advantage” in terms of saving gas would not outweigh the complications.

Fuel for the reactors also would have to be procured and Scholz has said that the fuel rods are generally imported from Russia.

Opposition politicians have argued that Habeck’s environmentalist Green party, which has long strongly supported the nuclear phase-out, is opposing keeping reactors online for ideological reasons, even as some float a U-turn on the nuclear phaseout in response to the energy crisis.

Reducing dependency on Russia
Germany and the rest of Europe are scrambling to fill the gas storage in time for the northern hemisphere winter, even as Europe is losing nuclear power at a critical moment and reduce their dependence on Russian energy imports.

Prior to the Russian invasion of Ukraine, Berlin had said it considered nuclear energy dangerous and in January objected to European Union proposals that would let the technology remain part of the bloc’s plans for a climate-friendly future that includes a nuclear option for climate change pathway.

“We consider nuclear technology to be dangerous,” government spokesman Steffen Hebestreit told reporters in Berlin, noting that the question of what to do with radioactive waste that will last for thousands of generations remains unresolved.

While neighbouring France aimed to modernise existing reactors, Germany stayed on course to switch off its remaining three nuclear power plants at the end of this year and phase out coal by 2030.

Last month, Germany’s economy minister said the country would limit the use of natural gas for electricity production and make a temporary recourse to coal generation to conserve gas.

“It’s bitter but indispensable for reducing gas consumption,” Robert Habeck said.

 

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EDP Plans to Reject $10.9 Billion-China Three Gorges Bid

EDP Takeover Bid Rejection signals pushback on China Three Gorges' acquisition bid, as investors, shareholders, and analysts cite low premium, valuation concerns, and strategic renewables assets across Portugal, the US, Brazil, and Europe utilities.

 

Key Points

EDP's board views China Three Gorges' 3.26 euro per share offer as too low, citing valuation and renewables exposure.

✅ Bid premium 4.8% above close seen as inadequate.

✅ Stock surged above offer; market expects higher price.

✅ Advisors UBS and Morgan Stanley guiding EDP.

 

EDP-Energias de Portugal SA is poised to reject a 9.1 billion euro ($10.9 billion) takeover offer from China Three Gorges Corp. on the grounds that it undervalues Portugal’s biggest energy company, according to people with knowledge of the matter.

The board of EDP, which may meet as early as this week, views the current bid of 3.26 euros a share as too low as it indicates a premium of 4.8 percent over Friday’s close, said the people, asking not to be identified because the discussions are private. EDP is also working with advisers including UBS Group AG and Morgan Stanley on the potential deal, they said.

Representatives for EDP, UBS and Morgan Stanley declined to comment. Representatives for Three Gorges didn’t immediately respond to requests for comment.

#google#

Shares of EDP surged the most in a decade to above the bid level on Monday, signaling that investors expect the Chinese utility, which is its biggest investor, to sweeten the offer to gain full control. For Three Gorges, which spent two decades building a hydro-power plant spanning China’s Yangtze River, the deal would bolster its efforts to expand abroad and give it deeper access to markets in Europe, the U.S. and Brazil.

China’s biggest renewable-energy developer already is the largest shareholder of EDP with a 23 percent stake and now is seeking more than 50 percent. While the government in Lisbon has indicated it’s comfortable with the Chinese offer, EDF electricity price deal illustrates policy dynamics in the region and it holds out little incentive for shareholders to tender their stock.

 

Stock Jumps

Shares of EDP rose 9.3 percent to 3.40 euros in Lisbon on Monday, even as rolling back European electricity prices remains challenging, after earlier jumping by the most since October 2008.

“We believe the price offered is too low for China Three Gorges to achieve full control of a vehicle that provides, among other things, a strategic footprint into U.S. renewables,” Javier Garrido, an analyst at JPMorgan Chase & Co., said in a note. “We expect management and minorities to claim a higher price.”

The offer adds to a wave of investments China has made overseas, both to earn a yield on its cash and to gain expertise in industries ranging from energy to telecommunications and transport. Concern about those deals has been mounting in the U.S. regulatory arena recently. European Union governments have been divided in their response, with Portugal among those most supportive of inward investment.

“China Three Gorges is an ambitious company, with expansion already in international hydro, Chinese onshore wind and floating solar, and European offshore wind,” said Angus McCrone, a senior analyst at Bloomberg New Energy Finance in London. “It may have to do better on bid price than the 5 percent premium so far offered for EDP.”

 

Fortum’s Troubles

The low premium offered by Three Gorges echoes the struggle Fortum Oyj had in winning over investors in its bid for Uniper SE last year, while North American deals such as Hydro One’s Avista bid faced customer backlash as well, highlighting parallels. The Finnish utility offered 8 billion euros to buy out the remainder of Uniper in September, immediately sending shares of the German power generator above the offer prices. At least for now, Fortum has settled for a 47 percent stake it bought in Uniper from EON SE, and most other shareholders decided to keep their stake.

The EDP transaction would advance a wave of consolidation among Europe’s leading utilities, which are acquiring assets and development skills in renewables as governments across the region crack down on pollution. EDP is one of Europe’s leading developers of renewable energy, building mainly wind farms and hydro plants, and has expanded in markets including Brazil and the U.S. electrification market.

 

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U.S. Electricity and natural gas prices explained

Energy Pricing Factors span electricity generation, transmission, and distribution costs, plus natural gas supply-demand, renewables, seasonal peaks, and wholesale pricing effects across residential, commercial, and industrial customers, usage patterns, weather, and grid constraints.

 

Key Points

They are the costs and market forces driving electricity and natural gas prices, from generation to delivery and demand.

✅ Generation, transmission, distribution shape electricity rates

✅ Gas prices hinge on supply, storage, imports/exports

✅ Demand shifts: weather, economy, and fuel alternatives

 

There are a lot of factors that affect energy prices globally. What’s included in the price to heat homes and supply them with electricity may be a lot more than some people may think.

Electricity
Generating electricity is the largest component of its price, according to the U.S. Energy Information Administration (EIA). Generation accounts for 56% of the price of electricity, while distribution and transmission account for 31% and 13% respectively.

Homeowners and businesses pay more for electricity than industrial companies, and U.S. electricity prices have recently surged, highlighting broader inflationary pressures. This is because industrial companies can take electricity at higher voltages, reducing transmission costs for energy companies.

“Industrial consumers use more electricity and can receive it at higher voltages, so supplying electricity to these customers is more efficient and less expensive. The price of electricity to industrial customers is generally close to the wholesale price of electricity,” EIA explains.

NYSEG said based on the average use of 600 kilowatt-hours per month, its customers spent the most money on delivery and transition charges in 2020, 57% or about $42, and residential electricity bills increased 5% in 2022 after inflation, according to national data. They also spent on average 35% (~$26) on supply charges and 8% (~$6) on surcharges.

Electricity prices are usually higher in the summer. Why? Because energy companies use sources of electricity that cost more money. It used to be that renewable sources, like solar and wind, were the most expensive sources of energy but increased technological advances have changed this, according to the International Energy Agency’s 2021 World Energy Outlook.

“In most markets, solar PV or wind now represents the cheapest available source of new electricity generation. Clean energy technology is becoming a major new area for investment and employment – and a dynamic arena for international collaboration and competition,” the report said.

Natural gas
The price of natural gas is driven by supply and demand. If there is more supply, prices are generally lower. If there is not as much supply, prices are generally higher the EIA explains. On the other side of the equation, more demand can also increase the price and less demand can decrease the price.

High natural gas prices mean people turn their home thermostats down a few degrees to save money, so the EIA said reduced demand can encourage companies to produce more natural gas, which would in turn help lower the cost. Lower prices will sometimes cause companies to reduce their production, therefore causing the price to rise.

The three major supply factors that affect prices: the amount of natural gas produced, how much is stored, and the volume of gas imported and exported. The three major demand factors that affect price are: changes in winter/summer weather, economic growth, and the broader energy crisis dynamics, as well as how much other fuels are available and their price, said EIA.

To think the price of natural gas is higher when the economy is thriving may sound counterintuitive but that’s exactly what happens. The EIA said this is because of increases in demand.

 

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Energy crisis: EU outlines possible gas price cap strategies

EU Gas Price Cap Strategies aim to curb inflation during an energy crisis by capping wholesale gas and electricity generation costs, balancing supply and demand, mitigating subsidies, and safeguarding supply security amid Russia-Ukraine shocks.

 

Key Points

Temporary EU measures to cap gas and power prices, curb inflation, manage demand, and protect supply security.

✅ Flexible temporary price limits to secure gas supplies

✅ Framework cap on gas for electricity generation with demand checks

✅ Risk: subsidies, higher demand, and market distortions

 

The European Commission has outlined possible strategies to cap gas prices as the bloc faces a looming energy crisis this winter. 

Member states are divided over the emergency measures designed to pull down soaring inflation amid Russia's war in Ukraine. 

One proposal is a temporary "flexible" limit on gas prices to ensure that Europe can continue to secure enough gas, EU energy commissioner Kadri Simson said on Tuesday. 

Another option could be an EU-wide "framework" for a price cap on gas used to generate electricity, which would be combined with measures to ensure gas demand does not rise as a result, she said.

EU leaders are meeting on Friday to debate gas price cap strategies amid warnings that Europe's energy nightmare could worsen this winter.

Last week, France, Italy, Poland and 12 other EU countries urged the Commission to propose a broader price cap targeting all wholesale gas trade. 

But Germany -- Europe's biggest gas buyer -- and the Netherlands are among those opposing electricity market reforms within the bloc.

Russia has slashed gas deliveries to Europe since its February invasion of Ukraine, with Moscow blaming the cuts on Western sanctions imposed in response to the invasion, as the EU advances a plan to dump Russian energy across the bloc.

Since then, the EU has agreed on emergency laws to fill gas storage and windfall profit levies to raise money to help consumers with bills. 

Price cap critics
One energy analyst told Euronews that an energy price cap was an "unchartered territory" for the European Union. 

The EU's energy sector is largely liberalised and operates under the fundamental rules of supply and demand, making rolling back electricity prices complex in practice.

"My impression is that member states are looking at prices and quantities in isolation and that's difficult because of economics," said Elisabetta Cornago, a senior energy researcher at the Centre for European Reform.

"It's hard to picture such a level of market intervention This is uncharted territory."

The energy price cap would "quickly start costing billions" because it would force governments to continually subsidise the difference between the real market price and the artificially capped price, another expert said. 

"If you are successful and prices are low and you still get gas, consumers will increase their demand: low price means high demand. Especially now that winter is coming," said Bram Claeys, a senior advisor at the Regulatory Assistance Project. 

 

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