Netherlands 'taking steps' towards new nuclear plants

Market: Electricity, Hydrogen
13/06/22

The Dutch government is "taking steps" towards the construction of two new nuclear power plants, according to a national energy system plan outlined last week.

According to the outline published on Friday, a scenario study is being conducted into the relationship between various types of CO2-free capacity and how nuclear energy can be integrated into the Dutch power mix. The study is also looking at the cost efficiency of nuclear energy at the system level and the potential benefits in terms of use of space and infrastructure investments. The outline also says the role that nuclear energy can play in the production of hydrogen will be explored.

The outline states that future domestic capacity will cover "approximately" the Netherlands' direct annual power demand and that given the variable nature of renewable generation, flexibility must increase. The required adjustable generation — which nuclear generation offers, the outline says — would also have to be CO2-free.

The government's coalition agreement at the end of 2021 stated that the country would aim to build two nuclear reactors after 2030 and extend the lifespan of the only active reactor, the 485MW Borssele plant. Nuclear output from Borssele has averaged just over 414MW in 2022, around the same as in 2021,when it averaged 412MW.

Onshore and offshore wind output has risen by an average of 177.29MW and 282.72MW, respectively, on the year in 2022. The government last week announced tenders for six new offshore wind farms totalling 10.7GW to be held in 2025-27, with the view to launching them in 2029-31.

By Helen Senior

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28/03/25

Global energy mix evolves as electricity demand surges

Climate change is becoming a bigger factor behind electrification, but cleaner energy use is slowing the growth in global emissions, writes Georgia Gratton London, 28 March (Argus) — A substantial increase in electricity demand — boosted by extreme weather — drove an overall rise in global energy demand in 2024, lifting it well above the average pace of increase in recent years, OECD energy watchdog the IEA announced this week. This led to a rise in natural gas consumption, although renewables and nuclear shouldered the majority of the increase in demand, leaving oil's share of total energy demand below 30pc for the first time. Global energy demand rose by 2.2pc in 2024 compared with 2023 — higher than the average demand increase of 1.3pc/yr between 2013 and 2023 — according to the Paris-based agency's Global Energy Review . Global electricity consumption increased faster, by 4.3pc, driven by record-high temperatures — that led to increased cooling needs — as well as growing industrial consumption, the electrification of transport and the rapid growth of power-hungry data centres needed to support the boom in artificial intelligence, the IEA says. Renewables and nuclear covered the majority of growth in electricity demand, at 80pc, while supply of gas-fired power generation "also increased steadily", the IEA says. New renewable power installations reached about 700GW in 2024 — a new high. Solar power led the pack, rising by about 550GW last year. The power generation and overall energy mix is changing, as economies shift towards electrification. The rate of increase in coal demand slowed to 1.1pc in 2024, around half the pace seen in 2023. Coal remained the single biggest source of power generation in 2024, at 35pc, but renewable power sources and nuclear together made up 41pc of total generation last year, IEA data show. Nuclear power use is expected to hit its highest ever this year, the agency says. And "growth in global oil demand slowed markedly in 2024", the IEA says, rising by 0.8pc compared with 1.9pc in 2023. A rise in electric vehicle (EV) purchases was a key contributor to the drop in oil demand for road transport, and this offset "a significant proportion" of the rise in oil consumption for aviation and petrochemicals, the IEA says. Blowing hot and coal Much of the growth in coal consumption last year was down to "intense heatwaves" — particularly in China and India, the IEA found. These "contributed more than 90pc of the total annual increase in coal consumption globally", for cooling needs. The IEA repeatedly noted the significant effect that extreme weather in 2024 had on energy systems and demand patterns. Last year was the hottest ever recorded, beating the previous record set in 2023, and for CO2 emissions, "weather effects" made up about half of the 2024 increase, the watchdog found. "Weather effects contributed about 15pc of the overall increase in global energy demand," according to the IEA. Global cooling degree days were 6pc higher on the year in 2024, and 20pc higher than the 2000-20 average. But the "continued rapid adoption of clean energy technologies" restricted the rise in energy-related CO2 emissions, which fell to 0.8pc in 2024 from 1.2pc in 2023, the IEA says. Energy-related CO2 emissions — including flaring — still hit a record high of 37.8bn t in 2024, but the rise in emissions was lower than global GDP growth. Key "clean energy technologies" — solar, wind and nuclear power, EVs and heat pumps — collectively now prevent about 2.6bn t/yr CO2 of emissions, the IEA says. But there remains an emissions divide between advanced and developing economies. "The majority of emissions growth in 2024 came from emerging and developing economies other than China," the agency says, while advanced economies such as the UK and EU cut emissions last year and continue to push ahead with decarbonisation. Global energy suppy by fuel EJ Growth ±% 2024 2023 2022 24/23 23/22 Total 648 634 622 2.2 1.8 Renewables 97 92 89 5.8 3.1 Nuclear 31 30 29 3.7 2.2 Natural gas 149 145 144 2.7 0.7 Oil 193 192 188 0.8 1.9 Coal 177 175 172 1.2 2.0 Global power generation by fuel TWh Growth ±% 2024 2023 2022 24/23 23/22 Total 31,153 29,897 29,153 4.2 2.6 Renewables 9,992 9,074 8,643 10.0 5.0 Nuclear 2,844 2,743 2,684 3.7 2.2 Natural gas 6,793 6,622 6,526 2.6 1.5 Oil 738 762 801 -3.2 -4.8 Coal 10,736 10,645 10,452 0.9 1.8 Global power generation by country TWh Growth ±% 2024 2023 2022 24/23 23/22 World 31,153 29,897 29,153 4.2 2.6 US 4,556 4,419 4,473 3.1 -1.2 EU 2,769 2,718 2,792 1.9 -2.6 China 10,205 9,564 8,947 6.7 6.9 India 2,059 1,958 1,814 5.2 7.9 Global CO2 emissions by country mn t Growth ±% 2024 2023 2022 24/23 23/22 World 37,566 37,270 36,819 0.8 1.2 US 4,546 4,567 4,717 -0.5 -3.2 EU 2,401 2,455 2,683 -2.2 -8.5 China 12,603 12,552 12,013 0.4 4.5 India 2,987 2,836 2,691 5.3 5.4 *includes industrial process emissions — IEA Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US H2 projects stall, incentives fall short: Technip

28/03/25

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28/03/25

US H2 projects stall, incentives fall short: Technip

London, 28 March (Argus) — Many US hydrogen project developers have paused or cancelled plans after finding costs were too high and government incentives were insufficient, even before President Donald Trump's return to the White House added uncertainty, Paris-listed contractor Technip Energies has said. Developers rushed to hire contractors for project studies in 2022-23 in a wave of optimism after the US announced tax credits for hydrogen production , but many projects were shelved or suspended between the end of 2023 and mid-2024. This came as companies realised the true cost of many items not limited to CO2 capture, hydrogen storage, and hydrogen liquefaction, Technip Energies' director Randy Kessler said. Multiple developers hired Technip for feasibility studies and engineering designs so it witnessed the drop-off in project plans first hand, Kessler said. Renewable hydrogen projects faced the most challenges, but gas-based projects with carbon capture and storage (CCS) "did not fare too well either", Kessler said. "Nearly all" renewable hydrogen projects were suspended when true capital and operating costs became known, especially compared with conventional 'grey' hydrogen, Kessler said. "Economics generally prevail in the long run, and at 5-8 times the cost of grey H2 production, most big players and project developers found out the incentives did not cover the gap," he said. Most of Technip Energies' clients pursuing CCS-enabled projects eventually asked for estimates for conventional grey hydrogen plants, with "pre-investment" to add CO2 capture units in the future, Kessler said. Washington made matters worse for developers with "confusing" incentives and delays in finalising eligibility rules for the tax credits, which it only settled on in early 2025 , just weeks before the change in administration. "The people who made money were the consultants who told people what it all meant," Kessler said. The late-2024 US election became both an "issue" and an "an excuse" for developers to explain the lack of progress, Kessler said. Many US firms complained that political uncertainty during the election period hampered their business decisions. Politically powerful energy companies lobbying Washington for "appropriate levels of incentives to cover the gap" or relaxing tax credit rules to lower project costs would be the most likely way to revive the sector, Kessler said. The US could consider setting mandates, but this is unlikely unless there is "more global buy-in", he said. Few regions, aside from the EU, have proposed mandates, and even there they have not been firmly implemented. But US firms and industrial groups are focusing lobbying efforts on protecting the hydrogen tax credits rather than quibbling over the rules, US sources said. The return of Trump to the White House made the future of the tax credits less certain because of his preference for boosting US fossil fuel output over investing in clean energy. Another contracting firm, Black & Veatch, recently said it was unsurprised to see many speculative projects fall by the wayside, and that the best route forward is better quality and modestly-sized projects with clear offtakers. By Aidan Lea Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Singapore, Vietnam eye greater low-carbon power trade

28/03/25

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28/03/25

Singapore, Vietnam eye greater low-carbon power trade

Singapore, 28 March (Argus) — Singapore and Vietnam have signed a letter of intent (LOI) to enhance collaboration on cross-border electricity trade for the Asean power grid. Under the LOI, the countries will explore raising the targeted capacity of low-carbon electricity imports from Vietnam to Singapore to around 2GW by 2035, announced Singapore's Ministry of Trade and Industry on 26 March. This builds on the previous conditional approval that was granted by Singapore's Energy Market Authority to Sembcorp Utilities in October 2023 to import 1.2GW of low-carbon electricity from Vietnam. The electricity will be transmitted from Vietnam to Singapore via new sub-sea cables of around 1,000km. The Vietnam and Singapore governments will continue to engage interested companies that have credible and commercially viable proposals, said MTI. "This LOI reflects our enhanced level of ambition to support not just cross-border electricity trading between our two countries, but the broader development of a sustainable, inclusive and resilient Asean power grid," said Singapore's second minister for trade and industry Tan See Leng. Singapore aims to import up to 6GW of low-carbon electricity by 2035 , and has signed supply agreements with Malaysia , as well as granted conditional approvals to projects in Indonesia. There have been steps toward the development of the long-awaited Asean power grid, which once established, could help the region source and share electricity regionally. The Lao PDR-Thailand-Malaysia-Singapore power integration project (LTMS-PIP) will be enhanced under its second phase to double the capacity of electricity traded from 100MW to a maximum of 200MW, the EMA announced in September last year. By Prethika Nair Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US mulls cutting funds to H2 hubs outside of GOP states

27/03/25

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27/03/25

US mulls cutting funds to H2 hubs outside of GOP states

Houston, 27 March (Argus) — The US Department of Energy (DOE) is considering cutting funding to hydrogen hubs that are located in primarily Democratic states, while sparing those mostly spread across Republican states, according to a list shared with Argus . A table circulating among officials shows hubs that are to receive federal funding labeled as either "cut" or "keep." Out of the seven hubs, only three are set to "keep": HyVelocity, in Texas and Louisiana, the Appalachian hub spanning Ohio, Kentucky and West Virginia and the Heartland hub spread across Minnesota, South Dakota and North Dakota. The hubs that may lose federal support include California's ARCHES; the Pacific Northwest Hydrogen Association (PNWH2) spanning Oregon, Washington and Montana; the Midwest hub encompassing Illinois, Indiana and Michigan, and the Mid-Atlantic hub in Pennsylvania, Delaware, and New Jersey. With the exception of the Midwest hub, most of the hubs facing potential cuts would use renewable and nuclear power to produce hydrogen. Most of the projects in the hubs on the "keep" list would be powered by natural gas and use carbon capture and storage (CCS) facilities to reduce emissions. The DOE did not immediately respond to requests for comment. Fuel Cell and Hydrogen Energy Association (FCHEA) chief executive Frank Wolak said the list came from DOE but cautioned the department's plans are still unclear."We're aware a list has been created that shows four of seven hubs being cut," said Wolak. "We haven't seen anything formal and don't understand exactly what is the DOE intention." Hydrogen hub funding advanced by the administration of former president Joe Biden was expected to come under scrutiny after President Donald Trump paused disbursements and ordered a review of clean-energy initiatives. Federal funding for the hubs grew out of the bipartisan Inflation Reduction Act and the Infrastructure and Investment Jobs Act, which together dedicated $8bn to jump start domestic hydrogen production in industrial clusters from the east to west coasts. The funding was structured to pay out to the hubs over four phases spanning a decade, with disbursements dependent upon projects meeting defined objectives related to operational progress and private-investment commitments. The first tranches to the seven hubs, totaling over $20mn, have been delivered but the list of potential cuts puts the fate of the second phase into doubt. "So far the Trump administration hasn't attempted to claw back that phase-one funding," said Sara Gersen, senior attorney for Earthjustice. "The question is, what happens in 2026 when they try to renew contracts for phase 2?" ARCHES chief executive Angelina Galiteva said the California hub "remains committed to working with our partners to establish a secure, reliable and competitive hydrogen ecosystem". Spokespeople for the others hubs vulnerable to losing federal funds did not immediately respond to requests for comment. However, at least one of the hubs put out a public statement highlighting how its goals align with the administration's objectives. "Many of these opportunities will support rural communities" and "advance American energy independence", the Pacific Northwest hub said in a social media post. Environmental advocates argue that the climate benefits from hydrogen originating from natural gas with CCS, the technology proposed for projects on the "keep" list, evaporate when net emissions are taken into account and do not justify the potentially billions of dollars in federal support they may receive when compared to other decarbonization techniques. "Spending billions of dollars on untested carbon capture technology in applications with no net-climate benefit is a waste of taxpayer money," said Anika Juhn, IEEFA energy data analyst and co-author of the report Blue Hydrogen's Carbon Capture Boondogle . "Building out renewable power infrastructure, improving energy efficiency, and reducing methane leakage from the natural gas system are more cost-effective and proven approaches to a clean energy transition." For now, both fossil-fuel based and renewable energy companies have been lobbying the Trump administration to keep clean energy incentives enacted by the IRA without differentiating how the hydrogen is produced. The potential cut to federal funding is not expected to affect industry support for the most lucrative incentives that come in the form of tax cuts, such as the support that has coalesced around protecting the 45V hydrogen production credit, said Wolak. "I don't see any change to the agenda of 45V, that effort is primary," said Wolak. "I see an effort perhaps arising to define the hubs and the merit of the hubs rising parallel to the 45V effort." FCHEA is advising its members that may be affected by hub funding cuts to contact their congressional representatives, Wolak said. By Jasmina Kelemen Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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France delays solar subsidy reductions

27/03/25

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27/03/25

France delays solar subsidy reductions

London, 27 March (Argus) — Planned cuts in subsidies to building-mounted solar installations will not be made retroactive after the solar sector successfully lobbied the French government, but other changes will still go ahead. The government today published final legislation on changes to feed-in tariffs for new solar sites under 500kW capacity mounted on buildings or above fields or car parks. The legislation is intended to reduce the amount of capacity being built in this sector, as it is less cost-effective than larger sites, the government said. For the 100-500kW segment, for which the government proposed to reduce the tariff retroactively from 1 February, the drop to €95/MWh from €105/MWh will take place for all projects registered from now, rather than since the beginning of February. And a planned monthly reassessment of the tariff — to allow it be to be reduced if too many projects applied — will only kick in from 1 July. But sharp cuts remain on tariffs for smaller installations, and for self-consumption, although they too are no longer retroactive. Project developers on large installations will now also need to provide a €10,000 deposit, intended to reduce the drop-out rate from projects which do not advance to construction. The government intends to put in place a tender mechanism for the 100-500kW sector, replacing the current open window system. It hopes to set this up by September to take over when the cut in tariffs for this sector begin to kick in. Solar actors' reaction to the news was mixed. Renewables association SER welcomed the delay to cuts for the 100-500kW segment. But much uncertainty remains over the volume to be offered and the frequency with which the tenders to replace this sector will take place. There is a risk that the "cliff edge" the association had warned about has just been pushed back to 1 July from 1 February, SER president Jules Nyssen said, if the tenders are not ready to go in time. By Rhys Talbot Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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