Climate Change

August 23, 2010

How to make Green Investments in India – Renewable Energy Focused Power Utilities

The Green Indices have sharply underperformed the broad market due to a combination of several factors.These are High Competition in Solar Energy,Declining Demand in Wind Energy,Lack of Global Agreement on Climate Change and Slow Growth of Smart Grid Technologies.With developed governments facing pressure to cut fiscal deficits,green investments are also expected to get hit from government stimulus plans.However India and China are the two bright spots in an otherwise bleak Green Investing Landscape.Both countries have a Prodigious Energy Demand which is still growing at a rapid clip.Despite their reliance on Coal and other Fossil Fuel forms,both countries realize the need to promote Renewable Energy.
August 23, 2010

After Wind Farms,United Nations Axe falls on Carbon Credits from HFC plants in China

The United Nations is reviewing the Carbon Credit Requests from 5 plants in China and their is a high probability of cancellation of these requests.NGOs and activists have alleged that these HFC plants emit more GreenHouse Gases (GHGs) than is required in the normal function of the plants.This leads to increased revenue from neutralizing these gases defeating the entire purpose of the CDM scheme.Carbon Trading has repeatedly been proved to be an inefficient and ineffective scheme,but its popularity continues to increase around the world.The Scheme is suitable for niche purposes and is totally inadequate as a holistic response to the problem of Climate Change
August 20, 2010

China's Takeover of Gabon's Forestry Industry Raises Environmental Concerns

Chinese Firms are not exactly renowned for their Environmental Credentials and the weak regulations in African Countries does not give them an incentive to be so.Concerns were raised about the impact of a Chinese Ore Mine in the forests of Gabon.With lax oversight and easily corruptible administration,the Damage is already Done before it can be Stopped.Africa countries in general are ruled by Undemocratic, Corrupt rulers which are willing to go along with Environmental Degradation in return for Bribes.
August 19, 2010

Unique Electricity Transmission Mega Hub Tres Amigas to Facilitate Green Energy through Creation of US Super Grid

The Tres Amigas Facility will be the first of its kind in the world and would be profitable allowing sale of power between the Three Grids.This unique initiative has received support from numerous stakeholders like utilities,transmission operators,Green Energy Suppliers etc.Extreme Power has been selected to provide Energy Storage Facilities and Energy Management Technology for this project.If this project gets built it will lead to the building of similar such facilities in the rest of the world and be a big boon in the quest of Mass Adoption of Green Energy.Note this Project seems to deserves a DOE Grant much more than the Billion Dollar Loans to Abengoa and Solyndra.
August 18, 2010

Is Blackstone Gambling $300 million on Moser Baer or India's Growth Story

Now Blackstone has decided to gamble on India's Power Deficit Story by investing $300 million for an undisclosed stake in the company.With investment plans of $6.5 billion and parent company sinking under loads of debt,Moser Baer Projects desperately needed equity which has been provided by Blackstone.Its previous track record in Solar and Optical Media does not inspire a lot of confidence.But India's 8-9% Growth Rate is like a Rising Tide which will lift all sorts of Boats.Blackstone is perhaps gambling more on that rather than on Moser Baer.
August 18, 2010

Is Carbon Capture and Storage (CCS) Technology putting Lipstick on the Coal Pig

Carbon Capture and Storage (CCS) Technology is akin to putting Lipstick on a Pig (read Coal Power Plants).This Technology which has been hyped as the Green Answer to Coal's Dirty Polluting Ways has never been proven on a commercial scale .Note the British Government promising CCS with every new Coal Plant.Despite numerous large pilot projects,the Technology remains immature.Even China which gets 80% of its electricity from Coal Power Plants and is the biggest emitter of GHGs,remains skeptical of this technology.
August 17, 2010

Is Vedanta trying to Cheat Minority Shareholders of Cairn Energy through Controlling Premium Ruse?

To reduce its expense Vedanta will only pay Rs 355/share to minority shareholders in the open offer while offering Cairn Rs 405/share .This will include Rs 50/share for a non compete agreement.This seems a ruse to shaft minority shareholders as I don't think Cairn poses much of a threat to Vedanta from further Oil Explorationin India.I don't know how Vedanta's returns from the Cairn's oil fields can be impacted through Oil Exploration by Cairn's parent in the future.Indian stock market regulator had earlier rejected Heidelberg's premium to be paid to SK Birla Group when buying Mysore Cements stake.The controlling premium has been paid in earlier M&A by foreign promoters to Indian promoters.The area of controlling premium remains a grey one and I think it is being exploited by Vedanta to lower its open offer price.It remains to be seen if SEBI rules in the favor of the minority shareholders.
August 12, 2010

India's Massive Supercritical Mega Coal Plant and China's Wind Farms get Rejected by stricter UN CDM panel for Carbon Credits Eligibility

UN's CDM panel which decides on the eligibility of projects under this scheme has come under criticism for being too lenient in approving projects.It has been said that these projects sometimes lead to more emissions defeating the very purpose of this scheme.The Panel has become more discerning and has rejected around 50 Wind Projects in China because they were thought to be profitable even without these credits.
August 10, 2010

Shale Gas Companies illegally diverting Millions of Tons of Water in Pennsylvania

Only communities adjacent to the rivers can use this water.An Environmental Group has also accused the state EPA of colluding with these corporate interests.This may lead to huge lawsuits against these companies and force the Boom to a halt.Shale Gas is supposed to be the new energy panacea as the deposits can meet US energy needs for 20 years.However like other fossil fuels it will deplete leaving behind a legacy of ecological degradation and destruction.
August 10, 2010

Climate Changed Already – Massive Floods in Asia,Record Drought in Russia,Huge Ice Island breaks from Greenland ?

Extreme Weather Conditions has increased in frequency this decade.In fact this decade is the hottest decade in records with temperatures making new records every year.While nothing can be said with a 100% possibility that it is due to Global Warming,the evidence is certainly pointing in that direction.
August 5, 2010

Poor Island Nations Most Vulnerable to Climate Change highlight Rich Nations Duplicity

Poor Island Nations like Maldives are most vulnerable to Climate Change with their very existence at stake as rising sea levels threaten to sink them completely […]
August 5, 2010

Well Designed Feed in Tariffs leads to Mini Solar Energy Boom in United Kingdom

United Kingdom has been a laggard in climate change and global warming issues especially compared to its European neighbours.While countries like Italy,Germany and Spain have installed […]
July 21, 2010

Is Google's Investment in Wind Energy Greenwashing

Google’s paltry $39mm investment in a Wind Farm was puzzling as it really seemed to meet no goals.The investment would not lead to any significant advancement […]
July 21, 2010

More Empty Rhetoric over Climate Change and Renewable Energy by World Leaders

Climate Change Mitigation and Global Warming have been put in cold storage by world’s major countries like USA and China.While Europe and Japan are pushing initiatives […]
July 21, 2010

India's leading corporate group Tata sues Greenpeace over a Turtle game

Tata Group is the most respected Indian Industrial Group,however that seems to be changing India’s Tata Group of companies is the most respected corporate group in […]
July 20, 2010

Honda bets on the success of Hybrid Vehicles instead of Electric Vehicles

Honda is betting more on the success of  Hybrid Vehicles than on Electric Vehicles.It seems that the Japanese auto giant thinks that Hybrid Vehicles will get […]
July 20, 2010

After overtaking USA in Carbon Emissions,China surpasses USA in Energy Consumption as well

China surpassed the USA as the largest emitter of Greenhouse Gases (GHG) in 2006 when it produced 6.2 billion tons of CO2 overtaking the USA at […]
July 19, 2010

Green Investing – A New Lithium ETF makes it easy to invest in the "New Oil"

Now it has become easier to invest in this metal with the launch of an ETF dedicated to Lithium alone.This ETF which is being launched by Global X Management with tracks stocks of electric vehicle producers and battery makers.I am not a fan of the Lithium Battery makers or Electric Vehicle producers
July 17, 2010

India's Justice System to expedite Environmental Cases through Green Benches

India is facing a growing backlog of environmental cases with rapid industrialization leading to disputes with traditional stakeholders.Land acquisition has become a huge problem with industries […]
July 16, 2010

Green Energy becomes Bigger than Fossil Fuel Energy in Europe and USA during 2009

Green Energy has increasingly become mainstream rather than a niche category supported by some environmental activists and hippies.This is proved by the fact that almost half […]
July 16, 2010

Massive Coal Plant in Andhra Pradesh,India faces cancellation due to protests from farmers and fishermen

A huge 2640 MW coal plant has received a major jolt after its environment clearance was rejected by he National Environmental Appellate Authority (NEAA).This plant which […]
July 15, 2010

Exxon to invest a Minuscule amount in Algae based Biofuels

World’s biggest Oil company Exxon Mobil has opened a Greenhouse facility to grow and test algae which will be used for producing biofuels.Algae based Biofuels is […]
July 14, 2010

US Exim Bank criticized for providing credit finance to Mega Coal Power Plants in India and Africa

US Export Import Bank (Exim) is a government owned financial institution which helps support US trade through credit financing of exports/imports of US companies.The Bank is […]
July 13, 2010

Is the Jindal Rs 42000 crore Coal to Liquid project in Orissa wasteful just like the Tata-Sasol CTL plant?

Jindal Steel and Power Limited (JSPL),one of India’s biggest private sector Steel companies is looking to build a Rs 42000 crore ( ~$10 billion) Coal to […]
July 5, 2010

Green Investing in India – State Run Companies make big plans for Solar Energy Generation

Solar Energy in India has the potential to be one of the biggest opportunities in the Energy Sector in the 21st Century.The government’s strong backing through […]
July 3, 2010

Soaring Demand Pull Inflation forces India's Central Bank RBI to hike Interest Rates by 25 bps to 5.5%

India’s Rising Inflation crosses into Double Digit territory India has seen inflation increase at a rapid pace in the recent months with the Wholesale Price Infalation […]
July 2, 2010

India and China try to curb GHG Emissions through Coal Taxes and CCS

India-China Economic Growth leads to sharp increase in GHG Emissions The 21st Century is said to be a China-India Century with these Large Asian economies expected […]
July 2, 2010

Is Shale Gas Extraction Environmentally Safe?

Shale Gas is the newest Fossil Fuel Technology which would greatly help extend the world’s fast depleting oil and gas reserves.Shale gas has boomed in the […]
July 2, 2010

China approves only Domestic Automakers for Fuel Efficiency Subsidies

It was earlier reported that China would promotes its CleanTech Industry through Electric Vehicle subsidies.It would give between $7000-9000 in subsidies to Electric Vehicles and Hybrid […]
June 26, 2010

Did Pension Fund Pressure cause Spain to reconsider its Retroactive Solar Feed in Tariff (FIT) Cut?

Most of these reports had been quite vague but a recent report explicitly mentions that Danish Pension Funds writing to Spanish and EU investors voicing their concerns.With such Big Players joining the fray,its no wonder that Spain is reconsidering its whole Energy Policy.