Energy investors seek power projects

By Reuters


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Foreign firms are renewing interest in building power plants in Balkan countries like Romania but governments will have to show real commitment to liberalizing markets before investors step up funding.

Following decades without investing in power, these nations are boosting efforts to partner projects that expand generation capacity to meet local demand and even potentially fuel future growth through exports.

The challenge, however, is ceding state control of power generation, which for decades has been a convenient political tool to cap prices and to better ensure social stability.

Foreign firms have targeted just about every Balkan country, but for many Romania offers the most opportunity because of a strategic location and potentially large power market.

Romania is seeking to modernize its largely state-owned power generation after years of repeated delays but the cash-strapped country will only be able to do so with the help of outside investment.

"There are very few countries in the region that have what Romania has," said Frank Hajdinjak, the head of the Romanian unit of German utility group E.ON.

"It has its own oil, gas, hydro, coal, nuclear, tremendous potential for renewables and it's strategically located in the region with additional links to other markets. But are we in an investor-friendly environment in Romania right now? Unfortunately not."

That has not stopped firms from moving in but investors and analysts say to really attract a steady stream of funds governments will have to make prices more transparent, speed up project approval and clear away regulatory uncertainty.

Europe's mounting debt crisis has raised fears for the region's economic recovery but Balkan states have no choice but to move forward because funding costs could rise and the infrastructure needs are so critical, analysts say.

"Companies may delay projects by a few months and... they might take longer to pay off, but the infrastructure is so needed in the region that they will move ahead with it," said Michael LaBelle, an independent energy expert based in Budapest.

Large markets and rich energy resources have long beckoned investors to the Balkans where power demand is expected to far exceed output in coming years.

Romania is currently negotiating public-private partnerships worth around 3 billion euros US $3.65 billion, the economy ministry has said, in addition to two more nuclear reactors in the works.

Among the investors interested in developing projects in Romania are Italy's Enel, Czech firm CEZ, France's GDF Suez, AES Corporation, China National Electric Equipment Corporation and Japanese firm Itochu.

Romania also hopes to collect 1-2 billion euros by selling or listing minority stakes in energy firms this year and next. Bulgaria is also attracting hefty renewable energy interest, due to generous incentive schemes.

CEZ is building a 1 billion euro wind park in southern Romania and Iberdrola Renovables said it will have the world's largest wind park there by 2017.

Other Balkan states are also hoping to attract the same kind of funding.

Serbia is looking for strategic partners to invest 9 billion euros in various power projects over the next five years while Bosnia's Muslim-Croat federation says it will seek $2.2 billion investment for its power sector.

Austria's EVN and Norway's Statkraft are set to build three hydroelectric plants worth 950 million euros in Albania where the prime minister has invited foreign companies to build power projects.

One international banker who declined to give his name said the Balkan states governments' decisiveness to go ahead with the projects was crucial.

"Visible signs of progress are limited but I am not sure that behind the curtain there aren't things happening which will result in more investment in next year," he said, adding that attracting billions in investment could be too ambitious.

"What will determine the success of these projects will be if somebody focuses on projects, one at a time, instead of trying to do everything at once and instead of announcing for public consumption very large numbers," he said.

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Germany should stop lecturing France on nuclear power, says Eon boss

EU Nuclear Power Dispute strains electricity market reform as Germany resists state aid for French reactors, while Eon urges cooperation to meet the energy transition, low-carbon goals, renewables integration, and cross-border power trade.

 

Key Points

A policy standoff between Germany and France over nuclear energy's role, state aid, and electricity market reforms.

✅ Germany opposes state aid for existing French nuclear plants.

✅ Eon CEO urges compromise to advance market reform and decarbonization.

✅ Cross-border trade shows reliance on French nuclear amid renewables push.

 

Germany should stop trying to impose its views on nuclear power on the rest of the EU, the head of one of Europe’s largest utilities has warned, as he stressed its importance in the region’s clean energy transition.

Leonhard Birnbaum, chief executive of German energy provider Eon, said Berlin should accept differences of opinion as he signalled his desire for a compromise with France to break a deadlock amid a nuclear power dispute over energy reforms.

Germany this year shut down its final three nuclear power plants as it followed through on a long-held promise to drop the use of the energy source, effectively turning its back on nuclear for now, while France has made it a priority to modernise its nuclear power plants.

The differences are delaying reforms to the region’s electricity market and legislation designed to meet greenhouse gas emissions targets.

One sticking point is Germany’s refusal to back French moves to allow governments to provide state aid to existing power plants, which could enable Paris to support the French nuclear fleet.

The Eon chief, whose company has 48mn customers across Europe, said it would be “better for everyone” if the two countries could approach the dispute with the mindset that “everyone does their part”, even as Germany has at times weighed a U-turn on the nuclear phaseout in recent debates.

“Neither the French will be able to persuade us to use nuclear power, nor we will be able to persuade them not to. That’s why I think we should take a different approach to the discussion,” he added.

Birnbaum said Germany “would do well to be a bit cautious about trying to impose our way on everyone else”. This approach was unlikely to be “crowned with success”.

“The better solution will not come from opposing each other, but from working together.”

Birnbaum made the comments at a press conference announcing Eon’s second-quarter results.

The company raised its profit outlook, predicting adjusted net income of €2.7bn to €2.9bn, and promised to reduce bills for customers as it hailed “diminishing headwinds” following the energy crisis caused by the war in Ukraine.

Birnbaum, whose company owned one of the three German nuclear plants shut down this year, pointed out that French nuclear energy was helping the conversion to a system of renewable energy in Germany at a time when Europe is losing nuclear power just when it needs energy.

This was a reference to Europe’s shared power market that allows countries to buy and sell electricity from one another. 

Germany has been a net importer of French electricity since shutting down its own nuclear plants, which last month prompted the French energy minister Agnès Pannier-Runacher to accuse Berlin of hypocrisy. 

“It’s a contradiction to massively import French nuclear energy while rejecting every piece of EU legislation that recognises the value of nuclear as a low-carbon energy source,” Pannier-Runacher told the German business daily Handelsblatt.

She also criticised Berlin’s drive to use new gas-fired power plants as a “bridge” to its target of being carbon neutral by 2045, even as some German officials contend that nuclear won’t solve the gas issue in the near term, arguing that it created a “credibility problem” for Germany: “Gas is a fossil fuel.”

Berlin officials responded by pointing out that Germany was a net exporter of electricity to France over the winter when its nuclear power stations were struggling to produce because of maintenance problems. 

They added that the country only imported French power because it was cheaper, not because their country was suffering shortages.

Berlin argues that renewable energy is cleaner and safer than nuclear, despite renewable rollout challenges linked to cheap Russian gas and grid expansion, and accuses France of seeking to protect the interests of its nuclear industry.

In Paris, officials see Germany’s resistance to nuclear energy as wrong-headed given the need to fight climate change effectively, and worry it is an attempt to undercut a key aspect of French industrial competitiveness.
 

 

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Powering Towards Net Zero: The UK Grid's Transformation Challenge

UK Electricity Grid Investment underpins net zero, reinforcing transmission and distribution networks to integrate wind, solar, EV charging, and heat pumps, while Ofgem balances investor returns, debt risks, price controls, resilience, and consumer bills.

 

Key Points

Capital to reinforce grids for net zero, integrating wind, solar, EVs and heat pumps while balancing returns and bills.

✅ 170bn-210bn GBP by 2050 to reinforce cables, pylons, capacity.

✅ Ofgem to add investability metric while protecting consumers.

✅ Integrates wind, solar, EVs, heat pumps; manages grid resilience.

 

Prime Minister Sunak's recent upgrade to his home's electricity grid, designed to power his heated swimming pool, serves as a microcosm of a much larger challenge facing the UK: transforming the nation's entire electricity network for net zero emissions, amid Europe's electrification push across the continent.

This transition requires a monumental £170bn-£210bn investment by 2050, earmarked for reinforcing and expanding onshore cables and pylons that deliver electricity from power stations to homes and businesses. This overhaul is crucial to accommodate the planned switch from fossil fuels to clean energy sources - wind and solar farms - powering homes with electric cars, as EV demand on the grid rises, and heat pumps.

The UK government's Climate Change Committee warns of potentially doubled electricity demand by 2050, the target date for net zero, even though managing EV charging can ease local peaks. This translates to a significant financial burden for companies like National Grid, SSE, and Scottish Power who own the main transmission networks and some regional distribution networks.

Balancing investor needs for returns and ensuring affordable energy bills for consumers presents a delicate tightrope act for regulators like Ofgem. The National Audit Office criticized Ofgem in 2020 for allowing network owners excessive returns, prompting concerns about potential bill hikes, especially after lessons from 2021 reshaped market dynamics.

Think-tank Common Wealth reported that distribution networks paid out a staggering £3.6bn to their owners between 2017 and 2021, raising questions about the balance between profitability and affordability, amid UK EV affordability concerns among consumers.

However, Ofgem acknowledges the need for substantial investment to finance network upgrades, repairs, and the clean energy transition. To this end, they are considering incorporating an "investability" metric, recognizing how big battery rule changes can erode confidence elsewhere, in the next price controls for transmission networks, ensuring these entities remain attractive for equity fundraising without overburdening consumers.

This proposal, while welcomed by the industry, has drawn criticism from consumer advocacy groups like Citizens Advice, who fear it could contribute to unfairly high bills. With energy bills already hitting record highs, public trust in the net-zero transition hinges on ensuring affordability.

High debt levels and potential credit rating downgrades further complicate the picture, potentially impacting companies' ability to raise investment funds. Ofgem is exploring measures to address this, such as stricter debt structure reporting requirements for regional distribution companies.

Lawrence Slade, CEO of the Energy Networks Association, emphasizes the critical role of investment in achieving net zero. He highlights the need for "bold" policies and regulations that balance ambitious goals with investor confidence and ensure efficient resource allocation, drawing on B.C.'s power supply challenges as a cautionary example.

The challenge lies in striking a delicate balance between attracting investment, ensuring network resilience, and maintaining affordable energy bills. As Andy Manning from Citizens Advice warns, "Without public confidence, net zero won't be delivered."

The UK's journey to net zero hinges on navigating this complex landscape. By carefully calibrating regulations, fostering investor confidence, and prioritizing affordability, the country can ensure its electricity grid is not just robust enough to power heated swimming pools, but also a thriving green economy for all.

 

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Germany turns its back on nuclear for good despite Europe's energy crisis

Germany nuclear phase-out underscores a high-stakes energy transition, trading reactors for renewables, LNG imports, and grid resilience to secure supply, cut emissions, and navigate climate policy, public opinion shifts, and post-Ukraine supply shocks.

 

Key Points

Germany's nuclear phase-out retires reactors, shifting to renewables, LNG, and grid upgrades for low-carbon power.

✅ Last three reactors: Neckarwestheim, Isar 2, and Emsland closed

✅ Supply secured via LNG imports, renewables, and grid flexibility

✅ Policy accelerated post-Fukushima; debate renewed after Ukraine war

 

The German government is phasing out nuclear power despite the energy crisis. The country is pulling the plug on its last three reactors, betting it will succeed in its green transition without nuclear power.

On the banks of the Neckar River, not far from Stuttgart in south Germany, the white steam escaping from the nuclear power plant in Baden-Württemberg will soon be a memory.

The same applies further east for the Bavarian Isar 2 complex and the Emsland complex, at the other end of the country, not far from the Dutch border.

While many Western countries depend on nuclear power, Europe's largest economy is turning the page, even if a possible resurgence of nuclear energy is debated until the end.

Germany is implementing the decision to phase out nuclear power taken in 2002 and accelerated by Angela Merkel in 2011, after the Fukushima disaster.

Fukushima showed that "even in a high-tech country like Japan, the risks associated with nuclear energy cannot be controlled 100 per cent", the former chancellor justified at the time.

The announcement convinced public opinion in a country where the powerful anti-nuclear movement was initially fuelled by fears of a Cold War conflict, and then by accidents such as Chernobyl.

The invasion of Ukraine on 24 February 2022 brought everything into question. Deprived of Russian gas, the flow of which was essentially interrupted by Moscow, Germany found itself exposed to the worst possible scenarios, from the risk of its factories being shut down to the risk of being without heating in the middle of winter.

With just a few months to go before the initial deadline for closing the last three reactors on 31 December, the tide of public opinion began to turn, and talk of a U-turn on the nuclear phaseout grew louder. 

"With high energy prices and the burning issue of climate change, there were of course calls to extend the plants," says Jochen Winkler, mayor of Neckarwestheim, where the plant of the same name is in its final days.

Olaf Scholz's government, which the Green Party - the most hostile to nuclear power - is part of, finally decided to extend the operation of the reactors to secure the supply until 15 April.

"There might have been a new discussion if the winter had been more difficult if there had been power cuts and gas shortages nationwide. But we have had a winter without too many problems," thanks to the massive import of liquefied natural gas, notes Mr Winkler.

 

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Sudbury, Ont., eco groups say sustainability is key to grid's future

Sudbury Electrification and Grid Expansion is driving record power demand, EV charging, renewable energy planning, IESO forecasts, smart grid upgrades, battery storage, and industrial electrification, requiring cleaner power plants and transmission capacity in northern Ontario.

 

Key Points

Rising electricity demand and clean energy upgrades in Sudbury to power EVs, industry, and a smarter, expanded grid.

✅ IESO projects system size may need to more than double

✅ EVs and smart devices increase peak and off-peak load

✅ Battery storage and V2G can support reliability and resiliency

 

Sudbury, Ont., is consuming more power than ever, amid an electricity supply crunch in Ontario, according to green energy organizations that say meeting the demand will require cleaner energy sources.

"This is the welfare of the entire city on the line and they are putting their trust in electrification," said David St. Georges, manager of communications at reThink Green, a non-profit organization focused on sustainability in Sudbury.

According to St. Georges, Sudbury and northern Ontario can meet the growing demand for electricity to charge clean power for EVs and smart devices. 

According to the Independent Electricity System Operator (IESO), making a full switch from fossil fuels to other renewable energy sources could require more power plants, while other provinces face electricity shortages of their own.

"We have forecasted that Ontario's electricity system will need significant expansion to meet this, potentially more than doubling in size," the IESO told CBC News in an emailed statement.

Electrification in the industrial sector is adding greater demand to the electrical grid as electric cars challenge power grids in many regions. Algoma Steel in Sault Ste. Marie and ArcelorMittal Dofasco in Hamilton both aim to get electric arc furnaces in operation. Together, those projects will require 630 megawatts.

"That's like adding four cities the size of Sudbury to the grid," IESO said.

Devin Arthur, chapter president of the Electric Vehicle society in Greater Sudbury, said the city is coming full circle with fully electrifying its power grid, reflecting how EVs are a hot topic in Alberta and beyond.

"We're going to need more power," he said.

"Once natural gas was introduced, that kind of switched back, and everyone was getting out of electrification and going into natural gas and other sources of power."

Despite Sudbury's increased appetite for electricity, Arthur added it's also easier to store now as Ontario moves to rely on battery storage solutions.

"What that means is you can actually use your electric vehicle as a battery storage device for the grid, so you can actually sell power from your vehicle that you've stored back to the grid, if they need that power," he said.

Harneet Panesar, chief operating officer for the Ontario Energy Board, told CBC the biggest challenge to going green is seeing if it can work around older infrastructure, while policy debates such as Canada's 2035 EV sales mandate shape the pace of change.

"You want to make sure that you're building in the right spot," he said.

"Consumers are shifting from combustion engines to EV drivetrains. You're also creating more dependency. At a very high level, I'm going to say it's probably going to go up in terms of the demand for electricity."

Fossil fuels are the first to go for generating electricity, said St. Georges.

"But we're not there yet, because it's not a light switch solution. It takes time to get to that, which is another issue of electrification," he said.

"It's almost impossible for us not to go that direction."

 

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Electricity turns garbage into graphene

Waste-to-Graphene uses flash joule heating to convert carbon-rich trash into turbostratic graphene for composites, asphalt, concrete, and flexible electronics, delivering scalable, low-cost, high-quality material from food scraps, plastics, and tires with minimal processing.

 

Key Points

A flash heating method converting waste carbon into turbostratic graphene for scalable, low-cost industrial uses.

✅ Converts food scraps, plastics, and tires into graphene

✅ Produces turbostratic flakes that disperse well in composites

✅ Scalable, low-cost process via flash joule heating

 

Science doesn’t usually take after fairy tales. But Rumpelstiltskin, the magical imp who spun straw into gold, would be impressed with the latest chemical wizardry. Researchers at Rice University report today in Nature that they can zap virtually any source of solid carbon, from food scraps to old car tires, and turn it into graphene—sheets of carbon atoms prized for applications ranging from high-strength plastic to flexible electronics, and debates over 5G electricity use continue to evolve. Current techniques yield tiny quantities of picture-perfect graphene or up to tons of less prized graphene chunks; the new method already produces grams per day of near-pristine graphene in the lab, and researchers are now scaling it up to kilograms per day.

“This work is pioneering from a scientific and practical standpoint” as it promises to make graphene cheap enough to use to strengthen asphalt or paint, says Ray Baughman, a chemist at the University of Texas, Dallas. “I wish I had thought of it.” The researchers have already founded a new startup company, Universal Matter, to commercialize their waste-to-graphene process, while others are digitizing the electrical system to modernize infrastructure.

With atom-thin sheets of carbon atoms arranged like chicken wire, graphene is stronger than steel, conducts electricity and heat better than copper, and can serve as an impermeable barrier preventing metals from rusting, while advances such as superconducting cables aim to cut grid losses. But since its 2004 discovery, high-quality graphene—either single sheets or just a few stacked layers—has remained expensive to make and purify on an industrial scale. That’s not a problem for making diminutive devices such as high-speed transistors and efficient light-emitting diodes. But current techniques, which make graphene by depositing it from a vapor, are too costly for many high-volume applications. And higher throughput approaches, such as peeling graphene from chunks of the mineral graphite, produce flecks composed of up to 50 graphene layers that are not ideal for most applications.

Graphene comes in many forms. Single sheets, which are ideal for electronics and optics, can be grown using a method called chemical vapor deposition. But it produces only tiny amounts. For large volumes, companies commonly use a technique called liquid exfoliation. They start with chunks of graphite, which is just myriad stacked graphene layers. Then they use acids and solvents, as well as mechanical grinding, to shear off flakes. This approach typically produces tiny platelets each made up of 20 to 50 layers of graphene.

In 2014, James Tour, a chemist at Rice, and his colleagues found they could make a pure form of graphene—each piece just a few layers thick—by zapping a form of amorphous carbon called carbon black with a laser. Brief pulses heated the carbon to more than 3000 kelvins, snapping the bonds between carbon atoms; for comparison, researchers have also generated electricity from falling snow using triboelectric effects. As the cloud of carbon cooled, it coalesced into the most stable structure possible, graphene. But the approach still produced only tiny qualities and required a lot of energy.

Two years ago, Luong Xuan Duy, one of Tour’s graduate students, read that other researchers had created metal nanoparticles by zapping a material with electricity, creating the same brief blast of heat behind the success of the laser graphene approach. “I wondered if I could use that to heat a carbon source and produce graphene,” Duy says. So, he put a dash of carbon black in a clear glass vial and zapped it with 400 volts, similar in spirit to electrical weed zapping approaches in agriculture, for about 200 milliseconds. Initially he got junk. But after a bit of tweaking, he managed to create a bright yellowish white flash, indicating the temperature inside the vial was reaching about 3000 kelvins. Chemical tests revealed he had produced graphene.

It turned out to be a type of graphene that is ideal for bulk uses. As the carbon atoms condense to form graphene, they don’t have time to stack in a regular pattern, as they do in graphite. The result is a material known as turbostatic graphene, with graphene layers jumbled at all angles atop one another. “That’s a good thing,” Duy says. When added to water or other solvents, turbostatic graphene remains suspended instead of clumping up, allowing each fleck of the material to interact with whatever composite it’s added to.

“This will make it a very good material for applications,” says Monica Craciun, a materials physicist at the University of Exeter. In 2018, she and her colleagues reported that adding graphene to concrete more than doubled its compressive strength. Tour’s team saw much the same result. When they added just 0.05% by weight of their flash-produced graphene to concrete, the compressive strength rose 25%; graphene added to polydimethylsiloxane, a common plastic, boosted its strength by 250%.

As digital control spreads across energy networks, research to counter ransomware-driven blackouts is increasingly important for grid resilience.

Those results could reignite efforts to use graphene in a wide range of composites. Researchers in Italy reported recently that adding graphene to asphalt dramatically reduces its tendency to fracture and more than doubles its life span. Last year, Iterchimica, an Italian company, began to test a 250-meter stretch of road in Milan paved with graphene-spiked asphalt. Tests elsewhere have shown that adding graphene to paint dramatically improves corrosion resistance.

These applications would require high-quality graphene by the ton. Fortunately, the starting point for flash graphene could hardly be cheaper or more abundant: Virtually any organic matter, including coffee grounds, food scraps, old tires, and plastic bottles, can be vaporized to make the material. “We’re turning garbage into graphene,” Duy says.

 

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Class-action lawsuit: Hydro-Québec overcharged customers up to $1.2B

Hydro-QuE9bec Class-Action Lawsuit alleges overbilling and monopoly abuse, citing RE9gie de l'E9nergie rate increases, Quebec Superior Court filings, and calls for refunds on 2008-2013 electricity bills to residential and business customers.

 

Key Points

Quebec class action alleging Hydro-QuE9bec overbilled customers in 2008-2013, seeking court-ordered refunds.

✅ Filed in Quebec Superior Court; certification pending.

✅ Alleges up to $1.2B in overcharges from 2008-2013.

✅ Questions RE9gie de l'E9nergie rate approvals and data.

 

A group representing Hydro-Québec customers has filed a motion for a class-action lawsuit against the public utility, alleging it overcharged customers over a five-year period.

Freddy Molima, one of the representatives of the Coalition Peuple allumé, accuses Hydro-Québec of "abusing its monopoly."

The motion, which was filed in Quebec Superior Court, claims Hydro-Québec customers paid more than they should have for electricity between 2008 and 2013, to the tune of nearly $1.2 billion, even as Hydro-Québec later refunded $535 million to customers in a separate case. 

The coalition has so far recruited nearly 40,000 participants online as part of its plan to sue the public utility.

A lawyer representing the group said Quebec's energy board, the Régie de l'énergie, also recently approved Hydro-Québec rate increases for residential and business customers without knowing all the facts, even as Manitoba Hydro hikes face opposition in regulatory hearings.

"There's certain information provided to the Régie that isn't true," said Bryan Furlong. "Hydro-Québec has not been providing the Régie the proper numbers."

In its motion, the group asks that overcharged clients be retroactively reimbursed.

Hydro-Québec denies allegations

Hydro-Québec, for its part, denies it ever overbilled any of its clients, while other utilities such as Hydro One plan to redesign bills to improve clarity.

"All our efficiencies have been returned to the government through our profits, and to Quebecers we have billed exactly what we agreed to bill," said spokesperson Serge Abergel, adding that the utility won't seek a rate hike next year according to its current plans.

Quebec Energy Minister Pierre Moreau also came to the public utility's defence, saying it has no choice but to comply with the  energy board's regulations, while customer protections are in focus as Hydro One moves to reconnect 1,400 customers in Ontario.

The group says the public utility has overbilled clients by up to $1.2 billion. (Radio-Canada)

It would be "shocking" if customers were charged too much money, he added.

"I know for a fact that Hydro-Québec is respecting the decision of this body," he said.

While the motion has been filed, the group cannot say how much each customer would receive if the class-action lawsuit goes ahead because it all depends on how much electricity was consumed by each client over that five-year period.

The coalition plans to present its motion to a judge next February.

 

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