|
Hey Reader, in today's edition:
- Leveraging Australia's critical minerals advantage
- US scuppers net-zero shipping
- Getting bankability for pumped hydro
|
|
|
|
Albo goes to Washington
It’s easy to focus on a trade deal with the US as Prime Minister Anthony Albanese lands in Washington but Australia’s other significant partners have been doing the hard yards for years on reliable, long-term supplies of energy transition minerals to counter China’s stranglehold.
The Energy previews Albo’s much-hyped meeting with US President Donald Trump, with “most of the periodic table” under our soil and in demand for electrification and advanced defence technologies.
|
|
|
|
US scuppers net-zero shipping
An international vote on a plan to tackle greenhouse gas emissions from shipping has been postponed for a year after the US threatened tariffs, penalties and visa revocations on those supporting the pricing mechanism. (BBC) (Aljazeera) (The Guardian)
Calling it “a global carbon tax on the world” the US said it would not tolerate “the green scam” that increased costs for energy providers, shipping companies and their customers, with some estimates forecasting global shipping costs increasing as much as 10% or more.
The Net Zero Framework, the world’s first global carbon pricing system on any international polluter — global shipping, had already been approved by members of the International Maritime Organisation (IMO) but needed a final vote. The delay brings uncertainty for companies involved in the global trade of many key commodities.
“Moreover, the ICJ (International Court of Justice) and ITLOS (International Tribunal for the Law of the Sea) Advisory Opinions have made it crystal clear that taking climate action is not optional. But the IMO’s failure to adopt the framework this week marks a failure of this United Nations agency to act decisively on climate change. This makes the road to Bélem and beyond more difficult. But we know that we have international law on our side and will continue to fight for our people and the planet.”
Ralph Regenvanu
Vanuatu Minister for Climate Change and Energy
The mechanism, which was intended to take effect in March 2027 would require ships to pay fees for non-compliance with gradually increasing carbon intensity targets, and was expected to generate up to US$15 billion per year in finance from 2030 for green energy incentives and revenue disbursement.
|
Expert view
“The shipping industry needs clear direction on low-carbon fuel development, and the failure to adopt the Net-Zero Framework only deepens uncertainty for investors and slows innovation. It’s vital that these talks move forward toward an effective agreement, one that safeguards food and feedstock resources and leads to verifiable emissions reductions. Rather than undermining that effort, the White House should recognise the clear advantage the US has as a potential supplier of low-carbon fuels and engage constructively in setting standards for a cleaner, more competitive shipping industry.”
|
Jonathan Lewis
Director of Transportation Decarbonisation, Clean Air Task Force
|
|
Expert view
“The inability to reach an outcome is a missed opportunity to accelerate a just and equitable transition in global shipping. Another chance to scale and invest in clean fuels has been missed, stalling inclusive climate action yet again. Small Island States and the Global South will continue to pay the biggest price for this inaction.
The success of global maritime decarbonisation hinges on the sector’s ability to both deliver on equity and to leverage locally-led action. The needs of cities, local port communities, and workers must be taken into account. Despite the failure of multilateral negotiations to adopt the Net-Zero framework, cities continue to demonstrate their leadership as just transition catalysts. They are advancing equitable port decarbonisation, promoting inclusive engagement with local communities, leading with data, and pioneering unprecedented partnerships beyond their traditional powers.”
|
Alisa Kreynes
Director for Ports & Shipping at C40
|
|
Getting bankability for pumped hydro
Sunshine Hydro founder Chris Baker says he’s focused on a couple of hydro projects because it’s the cheapest way to deliver long-duration storage, particularly if you switch your thinking to a “super-hybrid” model.
“We are storage agnostic. The proposition of having an ecosystem and all the bits working together really doesn’t require it to be pumped hydro. But it should be,” he tells The Energy.
|
Expert view
“What’s happening with the Capacity Investment Scheme and the Long-Term Energy Service Agreements, they give some certainty to the merchant revenue …but it’s not making the pie bigger, it’s just adding a bit more certainty for the investors. What we’re doing here is adding another big slice that wasn’t in there before.
We don’t want to waste any electrons. There’s so much talk about gas, but all gas is going to do is fill in the hollows. It only does half the job. It doesn’t make use of the abundance of electrons we have sometimes, the abundance of energy, whereas storage mechanisms like pumped hydro, or even storage in the form of green fuel, uses those abundant electrons and makes something useful out of them.”
|
Chris Baker
Director, Sunshine Hydro
|
|
|
|
|
 Projects
|
Pilot Energy (ASX: PGY) inked a deal with UAE-based Kala Data to launch modular data centres at its Arrowsmith facility in Western Australia’s Perth Basin, targeting a 1MW unit by early next year and scaling to 4MW by mid-2026 if the financials hold up. Pilot’s existing 4.4MW gas-fired generators will power the data centre. (The West)
Ark Energy has been given the green light by the NSW Government to develop a $1.2 billion solar and BESS (battery energy storage system) project in the Richmond Valley. The project is Ark's second NSW project. (Energy)
Policy
|
The UK government published its first national plan to recruit workers needed for the clean energy mission, forecasting more than 400,000 extra jobs by 2030. Five new clean energy Technical Excellence Colleges will train the next generation of workers as part of the government’s drive for two-thirds of young people to be in higher-level learning. Oil and gas workers will share up to £20 million in total from the UK and Scottish Governments to transition into new roles. An “energy skills passport”, which identifies routes for oil and gas workers to move into roles in offshore wind, nuclear and the electricity grid will also be extended.
Joining calls for a Fossil Fuel Non-Proliferation Treaty, the International Union for Conservation of Nature (IUCN) World Congress, a coalition of more than 1,400 governmental and conservation organisations, passed Motion 42 for supply-side analysis and an assessment of governance gaps in existing international frameworks on supply. While recognising many states are dependent on coal, oil and gas revenue, there was “deep concern” that governments plan to extract more than double the amount of fossil fuels than would be compatible with the 1.5°C limit on global warming.
Regulation
|
California Attorney General Rob Bonta last week announced two lawsuits by a group of states that received grants under the Environmental Protection Agency's Solar for All program, suing the Trump administration over its cancellation of the $7 billion program, with the booming data centre economy making energy affordability worse for many consumers. (Reuters) (Sacramento Bee) (Arizona Mirror)
Technology
|
Global investment in green technology for the first three quarters of the year has already surpassed all of 2024 as energy demand fueled by data centers sparked a reversal in a three-year decline, BloombergNEF data shows. (Economic Times/Bloomberg)
Climate
|
A key biological carbon pump is weakening, threatening ecosystems and the climate. The fading ocean green, a sign of phytoplankton decline, is a red flag for key ocean systems that sustain food chains and regulate the climate. (Inside Climate News)
People
|
Clean Energy Investor Group CEO Richie Merzian was appointed Adjunct Fellow at the UNSW Institute for Climate Risk and Response (ICRR).
Research
|
The woody biomass of Australia's tropical rainforests has switched from being a net carbon absorber to a carbon source, research shows. Lead author Hannah Carle, Western Sydney University’s Hawkesbury Institute for the Environment, said the study could have broader implications for tackling climate change, as the findings build on existing research suggesting the world’s tropical rainforests are becoming weaker carbon sinks. (AAP)
Random
|
Queensland anti-renewables group Rainforest Reserves Australia cited nonexistent papers and made “absurd” claims in inquiry submissions, including to the Senate inquiry on misinformation and disinformation on climate change and energy. (Guardian)
|
|
|
|
What's On
October 21-22
AFR Energy and Climate Summit
AEMC Chair Anna Collyer, AEMO CEO Daniel Westerman, Climate Change Authority Chair Matt Kean, Origin Energy CEO Frank Calabria, Squadron Energy CEO Rob Wheals, EnergyCo Chair Paul Binsted, Climate 200 Convenor Simon Holmes à Court, Grattan Institute Energy & Climate Change Director Tony Wood, BlueScope’s Head of Energy & Carbon Megan Wheeldon and the nation’s energy ministers will speak at this Sydney event.
October 22
2025 Order of Australia Lecture
Emeritus Professor Mark Howden will deliver this year’s Order of Australia keynote - Go hard or go slow on climate change? What’s in the national interest? - at this Canberra event.
October 23
Understanding Australia's 2035 Net Zero numbers
Climate Change Authority Chair Matt Kean will speak at this UTS event in Sydney, in conversation with Professor Stuart White, Director of the UTS Institute for Sustainable Futures.
October 23
UNSW Institute for Climate Risk and Response Industry Forum
NSW Net Zero Commission Chair Nicholas Rowley, Climate Change Authority Chair Matt Kean, and UNSW Professor Elizabeth Thurbon are among the line-up at this Sydney conference.
October 27
The real costs of the transition
Powerlink CEO Paul Simshauser will speak at this lunchtime webinar from The Energy, alongside Aurecon Managing Director, Energy (Australia) Paul Gleeson and moderated by Beyond Zero Emissions CEO Heidi Lee.
October 29-30
All Energy Australia
Victorian Energy Minister Lily D’Ambrosio, incoming Clean Energy Council CEO Jackie Trad and Pacific Green CEO Joel Alexander are among the speakers at this year’s All Energy event in Melbourne.
November 5
National Press Club address
Outgoing ASIC Chair Joe Longo will address the National Press Club on “Open for opportunity: Taking charge of the future of our financial markets” at this Canberra event.
November 6
ANU Solar Oration
Merryn York, who has led system design at AEMO, will speak at this Canberra event, following an opening statement by ACT Energy Minister Suzanne Orr.
November 5
National Press Club address
Outgoing ASIC Chair Joe Longo will address the National Press Club on “Open for opportunity: Taking charge of the future of our financial markets” at this Canberra event.
|
|
|
|