We welcome article submissions from experts in the areas of coal, mining,
shipping, etc.
To Submit your article please click here.
|
|
|
Saturday, 10 July 21
OVERESTIMATED LCOES OF COAL-FIRED POWER PLANTS CREATE A FINANCIAL BUBBLE - IEEFA
 Massive stranded asset risk detrimentally affects the financial and power distribution
India’s future coal-fired power project pipeline carries a massive stranded asset risk due to the collapse in the average utilisation rate of its coal-fired power fleet leading to an underestimation of financial risk for new projects, finds a new report from the Institute for Energy Economics and Financial Analysis (IEEFA).
There are currently 33 gigawatts (GW) of coal-fired power plants under construction and another 29GW of proposed projects under various stages of regulatory approval in India.
Author of the report, energy finance analyst Kashish Shah says the LCOE (levelised cost of energy) is the required tariff at which the net present value of the investment is zero.
“In other words, LCOE is the minimum required average tariff for a power asset to reach a breakeven return at the end of its life. Anything less than that suggests the asset is unviable.”
Shah found that the average utilisation rate of India’s coal-fired fleet has collapsed to a financially unsustainable low of 53% in financial year (FY) 2020/21 from a high of 78% a decade ago in FY2011/12.
For most coal plants in India, the LCOE is calculated with an assumption of utilisation factor of 85-90% throughout the life of the project. However, the LCOE turns out to be 64% higher with India’s average capacity utilisation factor sitting at ~55% for the last few years.
“The aspiration for further builds of coal capacity stems from the notion that coal is still ‘cheap’,” says Shah. “However, with tariffs now below Rs2/kilowatt hour (kWh) (US$27/MWh), solar power is cheaper than even the variable cost of coal-fired power and is ready to absorb incremental daytime demand.”
IEEFA’s report highlights that utilisation factors of coal-fired power plants have declined not just in India, but across major electricity markets including China, the United Kingdom (UK) and the United States (U.S.).
“With zero fuel costs, the marginal cost of generation for renewables is practically zero,” says Shah. “On the other hand, with increasing inflation in Indian domestic coal prices and railway transportation costs for coal, the gap between cost competitiveness of renewables versus coal is widening.
“This raises a serious concern about the viability of coal-fired power plants.
“Debt servicing for underutilised coal-fired power assets becomes extremely difficult and creates a liquidity crunch in the whole value chain. The financial stress then spills over to the power distribution sector as well as affecting India’s financial lending institutions. This further inhibits growth in other important segments of the power industry such as renewables and transmission infrastructure, which are extremely critical for India’s electricity sector transition.”
The report concludes that the financial viability of India’s proposed and under construction coal-fired power projects should be re-evaluated based on the right estimation of utilisation factors including LCOE and capacity factor to avoid further bloating of India’s non-performing assets.
If you believe an article violates your rights or the rights of others, please contact us.
|
|
Saturday, 17 July 21
COAL PRICES TRADE AT DECADE HIGH OF $140 PER TONNE, HERE ARE SOME FACTORS AT PLAY: CNBC-TV18
Coal prices are trading at $140 per tonne. In the last one week, coal has seen more than 8 percent gains; the last one month has seen 24 percent ju ...
Thursday, 15 July 21
U.S. FOSSIL FUEL CONSUMPTION FELL BY 9% IN 2020, THE LOWEST LEVEL IN NEARLY 30 YEARS - EIA
U.S. fossil fuel consumption fell by 9% in 2020, the lowest level in nearly 30 years
In 2020, total consumption of fossil fuels in t ...
Thursday, 15 July 21
IN 2020, U.S. COAL PRODUCTION FELL TO ITS LOWEST LEVEL SINCE 1965 - EIA
U.S. coal production totaled 535 million short tons (MMst) in 2020, a 24% decrease from the 706 MMst mined in 2019 and the lowest level of coal pro ...
Wednesday, 14 July 21
MARKET INSIGHT - INTERMODAL
In its latest Global Economic Prospects report, the world bank recorded the strongest post-recession global growth in 80 years, but emerging and de ...
Tuesday, 13 July 21
JAPAN STILL SEEKING TO EXPLOIT COAL POWER LOOPHOLES - IEEFA
JBIC wants to continue burdening developing nations with its expensive coal-fired power technology
Japan is continuing to push its expensive c ...
|
|
|
Showing 521 to 525 news of total 6871 |
|
 |
|
|
|
|
| |
|
 |
|
|
| |
|
- Formosa Plastics Group - Taiwan
- Mintek Dendrill Indonesia
- Star Paper Mills Limited - India
- Mjunction Services Limited - India
- Jorong Barutama Greston.PT - Indonesia
- Xindia Steels Limited - India
- Asia Pacific Energy Resources Ventures Inc, Philippines
- Bhushan Steel Limited - India
- Planning Commission, India
- AsiaOL BioFuels Corp., Philippines
- Standard Chartered Bank - UAE
- London Commodity Brokers - England
- Antam Resourcindo - Indonesia
- Economic Council, Georgia
- Australian Commodity Traders Exchange
- Sree Jayajothi Cements Limited - India
- Meenaskhi Energy Private Limited - India
- PTC India Limited - India
- Vizag Seaport Private Limited - India
- Energy Link Ltd, New Zealand
- Global Coal Blending Company Limited - Australia
- Pendopo Energi Batubara - Indonesia
- Global Green Power PLC Corporation, Philippines
- SN Aboitiz Power Inc, Philippines
- New Zealand Coal & Carbon
- Ambuja Cements Ltd - India
- Jaiprakash Power Ventures ltd
- Bukit Asam (Persero) Tbk - Indonesia
- Metalloyd Limited - United Kingdom
- Posco Energy - South Korea
- Globalindo Alam Lestari - Indonesia
- Vijayanagar Sugar Pvt Ltd - India
- Gujarat Mineral Development Corp Ltd - India
- Banpu Public Company Limited - Thailand
- Coastal Gujarat Power Limited - India
- Carbofer General Trading SA - India
- Parliament of New Zealand
- Tata Chemicals Ltd - India
- Madhucon Powers Ltd - India
- Anglo American - United Kingdom
- The University of Queensland
- Electricity Generating Authority of Thailand
- Romanian Commodities Exchange
- White Energy Company Limited
- Petron Corporation, Philippines
- Bukit Baiduri Energy - Indonesia
- Global Business Power Corporation, Philippines
- GAC Shipping (India) Pvt Ltd
- PetroVietnam Power Coal Import and Supply Company
- Neyveli Lignite Corporation Ltd, - India
- Kartika Selabumi Mining - Indonesia
- Barasentosa Lestari - Indonesia
- Energy Development Corp, Philippines
- Orica Mining Services - Indonesia
- Rio Tinto Coal - Australia
- Filglen & Citicon Mining (HK) Ltd - Hong Kong
- Wilmar Investment Holdings
- Rashtriya Ispat Nigam Limited - India
- Semirara Mining Corp, Philippines
- MS Steel International - UAE
- Borneo Indobara - Indonesia
- Bank of Tokyo Mitsubishi UFJ Ltd
- Timah Investasi Mineral - Indoneisa
- TNB Fuel Sdn Bhd - Malaysia
- Australian Coal Association
- Siam City Cement PLC, Thailand
- CNBM International Corporation - China
- Vedanta Resources Plc - India
- Toyota Tsusho Corporation, Japan
- Salva Resources Pvt Ltd - India
- Billiton Holdings Pty Ltd - Australia
- Gujarat Sidhee Cement - India
- Malabar Cements Ltd - India
- Renaissance Capital - South Africa
- Dalmia Cement Bharat India
- Port Waratah Coal Services - Australia
- European Bulk Services B.V. - Netherlands
- Savvy Resources Ltd - HongKong
- Heidelberg Cement - Germany
- Directorate Of Revenue Intelligence - India
- Videocon Industries ltd - India
- Semirara Mining and Power Corporation, Philippines
- Offshore Bulk Terminal Pte Ltd, Singapore
- Mercuria Energy - Indonesia
- Bharathi Cement Corporation - India
- Krishnapatnam Port Company Ltd. - India
- Interocean Group of Companies - India
- Karbindo Abesyapradhi - Indoneisa
- LBH Netherlands Bv - Netherlands
- Central Java Power - Indonesia
- Chettinad Cement Corporation Ltd - India
- Bukit Makmur.PT - Indonesia
- Gujarat Electricity Regulatory Commission - India
- Meralco Power Generation, Philippines
- Coal and Oil Company - UAE
- Sojitz Corporation - Japan
- Oldendorff Carriers - Singapore
- Kumho Petrochemical, South Korea
- Thai Mozambique Logistica
- Kohat Cement Company Ltd. - Pakistan
- Samtan Co., Ltd - South Korea
- Kaltim Prima Coal - Indonesia
- Dr Ramakrishna Prasad Power Pvt Ltd - India
- Aboitiz Power Corporation - Philippines
- Holcim Trading Pte Ltd - Singapore
- PowerSource Philippines DevCo
- Binh Thuan Hamico - Vietnam
- Alfred C Toepfer International GmbH - Germany
- Agrawal Coal Company - India
- GMR Energy Limited - India
- Edison Trading Spa - Italy
- Therma Luzon, Inc, Philippines
- Bahari Cakrawala Sebuku - Indonesia
- India Bulls Power Limited - India
- Indonesian Coal Mining Association
- Independent Power Producers Association of India
- Bayan Resources Tbk. - Indonesia
- Ind-Barath Power Infra Limited - India
- Lanco Infratech Ltd - India
- ICICI Bank Limited - India
- Coalindo Energy - Indonesia
- Indian Energy Exchange, India
- Tamil Nadu electricity Board
- Bulk Trading Sa - Switzerland
- Makarim & Taira - Indonesia
- Goldman Sachs - Singapore
- The State Trading Corporation of India Ltd
- IEA Clean Coal Centre - UK
- Dong Bac Coal Mineral Investment Coporation - Vietnam
- Cigading International Bulk Terminal - Indonesia
- Bangladesh Power Developement Board
- Jindal Steel & Power Ltd - India
- PNOC Exploration Corporation - Philippines
- The Treasury - Australian Government
- Attock Cement Pakistan Limited
- Ministry of Finance - Indonesia
- Kapuas Tunggal Persada - Indonesia
- Mercator Lines Limited - India
- OPG Power Generation Pvt Ltd - India
- Indika Energy - Indonesia
- Simpson Spence & Young - Indonesia
- Commonwealth Bank - Australia
- SMG Consultants - Indonesia
- CIMB Investment Bank - Malaysia
- Eastern Energy - Thailand
- Kideco Jaya Agung - Indonesia
- Uttam Galva Steels Limited - India
- Ministry of Mines - Canada
- Directorate General of MIneral and Coal - Indonesia
- Truba Alam Manunggal Engineering.Tbk - Indonesia
- Electricity Authority, New Zealand
- Manunggal Multi Energi - Indonesia
- Ministry of Transport, Egypt
- Aditya Birla Group - India
- Africa Commodities Group - South Africa
- Indo Tambangraya Megah - Indonesia
- Grasim Industreis Ltd - India
- Indogreen Group - Indonesia
- Altura Mining Limited, Indonesia
- Intertek Mineral Services - Indonesia
- Baramulti Group, Indonesia
- Bhatia International Limited - India
- Wood Mackenzie - Singapore
- Maheswari Brothers Coal Limited - India
- Merrill Lynch Commodities Europe
- Minerals Council of Australia
- Kobexindo Tractors - Indoneisa
- Sinarmas Energy and Mining - Indonesia
- Price Waterhouse Coopers - Russia
- Essar Steel Hazira Ltd - India
- Petrochimia International Co. Ltd.- Taiwan
- Georgia Ports Authority, United States
- McConnell Dowell - Australia
- VISA Power Limited - India
- Leighton Contractors Pty Ltd - Australia
- Riau Bara Harum - Indonesia
- Sical Logistics Limited - India
- Kalimantan Lumbung Energi - Indonesia
- Siam City Cement - Thailand
- Karaikal Port Pvt Ltd - India
- Ceylon Electricity Board - Sri Lanka
- South Luzon Thermal Energy Corporation
- SMC Global Power, Philippines
- Bhoruka Overseas - Indonesia
- Maharashtra Electricity Regulatory Commission - India
- Deloitte Consulting - India
- Orica Australia Pty. Ltd.
- International Coal Ventures Pvt Ltd - India
- Parry Sugars Refinery, India
- Iligan Light & Power Inc, Philippines
- Straits Asia Resources Limited - Singapore
- Miang Besar Coal Terminal - Indonesia
- Central Electricity Authority - India
- Pipit Mutiara Jaya. PT, Indonesia
- TeaM Sual Corporation - Philippines
- Cement Manufacturers Association - India
- Indian Oil Corporation Limited
- GN Power Mariveles Coal Plant, Philippines
- Latin American Coal - Colombia
- Medco Energi Mining Internasional
- Kepco SPC Power Corporation, Philippines
- Marubeni Corporation - India
- Power Finance Corporation Ltd., India
- Larsen & Toubro Limited - India
- Sindya Power Generating Company Private Ltd
- Chamber of Mines of South Africa
- Eastern Coal Council - USA
- Thiess Contractors Indonesia
- Sarangani Energy Corporation, Philippines
- San Jose City I Power Corp, Philippines
- Sakthi Sugars Limited - India
- ASAPP Information Group - India
- Singapore Mercantile Exchange
- Trasteel International SA, Italy
- GVK Power & Infra Limited - India
- Asmin Koalindo Tuhup - Indonesia
- IHS Mccloskey Coal Group - USA
|
| |
| |
|
