EDF Energies Nouvelle

July 2, 2011

Vestas drowning in Chinese Competition gets EDF Energies Nouvelles Lifeline – Order could reach 2000 MW Wind Turbine

Vestas has been getting bigger orders and has been streamlining operations,however its stock price has continued to go down as investors see bleak future prospects wit hthe entry of Korean shipbuilders into the industry.Other heavyweights like Gamesa and Suzlon too have faced massive losses as margins have evaporated in the face of declining topline and prices.But now Vestas has got a lifeline from the renewable energy subsidiary of the French giant utility EDF.The order from is for 2000 MW of Wind Turbines over the next few years.While pricing was not disclosed,it would be certainly be at a discount to the normally premium prices charged by Vestas.This given order visibility to Vestas and provides price safety for EDF.The next frontier for Wind Energy Companies is going to be Offshore Wind and Siemens has stolen a march.Vestas is not going down without a fight recently introducing a 7 MW wind turbine for this segment
March 28, 2011

In Japan Dangerous Level of Radioactivity Flares up Contaminates SeaWater,Greenpeace detects harmful radiation in Itate village 40 km north of Fukushima,calls for expanding the 20 km evacuation zone which government rejects,TEPCO asks for French Areva EDF CEA help

Dangerous levels of radiation has been detected in the water around the reactors as the Japanese government says that a partial meltdown has occured.While there is no confirmation about cracks in the pressure and containment vessels around the reactors,the radiation in the water inside Unit 2 has tested at radiation levels some 100,000 times normal amounts.Workers also discovered radioactive water in the deep trenches outside three units, with the airborne radiation levels outside Unit 2 exceeding 1,000 millisieverts per hour _ more than four times the amount that the government considers safe for workers.TEPCO officials said Sunday that radiation in leaking water in Unit 2 was 10 million times above normal.TEPCO has been giving confusing figures for radiation making it all the more difficult in understanding the gravity of the nuclear crisis.Note this disaster is only second to Chernobyl in its scale of radiation destruction.Tokyo and other parts have reported intermittently about high radiation in water and air.A ship from Mitsui was recently turned back from a Chinese port because of high levels of radiation.
March 13, 2011

List of Tidal Power Plants and Future Tidal Stations- Facing Difficult Times

Tidal Wave Energy is still a very niche technology with tidal barrages generating most of the electricity in a few power stations.Most of the tidal power plants using the modern tidal turbine technology are still in the pilot phase and generate negligible power.However tidal power stations have the potential to generate large amounts of energy in a non-polluting way.Though Tidal Technology is still in the baby phase, a number of companies are engaged in research in Tidal Technology and a large number of Tidal Stations are being built in Europe and USA.Here are a list of major Tidal Power Plants in the world.Expect this list to grow much bigger in the future as human interest in undersea technology grows as resources on land become fewer and more expensive.
March 5, 2011

France Solar Market becomes 7th largest in the world with 224% growth in 2010- To Double again in 2011

France has had a rocky relationship with solar energy.Unlike other European countries France gets a huge amount of electricity from renewable sources namely nuclear energy.Its electricity prices are one of the lowest and it even exports electricity to neighbors.So the driver for increasing solar electricity is quite low in France compared to others like Spain and Italy.However France has seen a massive boom in solar installations in 2010 making it the 7th largest market in the world.France installed over 720 MW of solar in 2010 and faces a massive backlog of applications.The government got overwhelmed and called a sudden stop to all applications.The French government stupidly blamed Chinese solar panels for the solar deluge when it was its faulty solar Feed in Tariff Policy which was too generous.
December 21, 2010

France Stupidly blames Cheap Chinese Panels for Stopping Solar Energy Subsidies leading First Solar to Delay French Factory

France recently halted its solar subsidy program for 3 months for solar installations under 3 kw as it was deluged with a large number of applications.Solar Feed in Tariffs are quite generous for certain type of solar panel installations like BIPV and greenhouses.This combined with rapidly falling solar panel prices primarly due to low cost Chinese manufacturing has made the business extremely lucrative.Note France is not the first country to see a massive flood of solar applications.Spain,Czech,Germany,Australia have faced problems with solar feed in tariff programs mainly because of poor design by slow moving bureaucrats.However most of these countries have never blamed cheap Chinese panel imports for their badly designed programs.Germany which is the undisputed solar market leader did for a while raise the Chinese bogey but it was for a short while.Anyone with a little understanding of the solar industry would know that almost 50% of the value is created in installation which is all done locally.Also most of the polysilicon raw material is made in the West as also most of the equipment used in producing panels in China.
December 4, 2010

Solar Feed in Tariff in France Halted as Renewable Energy Subsidies become “veritable speculative bubble”

France has halted its solar feed in tariff bubble putting a moratorium on new applications for installing solar panels above for 3 kw installations.This has been done after applications for solar panels exceeded the 500 MW per year target set up by the French ministry.The Prime Minister called the solar feed in tariff subsidies reaching a “veritable speculative bubble”.France has already changed its solar feed in tariffs 2-3 times in 2010 as it tries to fine tune the subsidies so that renewable energy investors earn a decent return.However the fast decrease in solar panel prices has caught the bureaucrats off-guard which is not surprising.Feed in Tariffs in general have been badly designed by most public authorities around the world leading to huge bubbles.Czech has suffered from the biggest solar subsidy bubble on which it recently cracked down through taxes,50% cut in tariffs and other measures as electricity rates increased sharply as subsidies ballooned.Spain and Italy have found their Feed in Tariffs leading to runaway subsidies while Germany which has the most successful FIT program too had to cut FIT by a single ad hoc measure in order to prevent a bubble.
October 27, 2010

Enel Green Power (EGP) Biggest European Renewable Energy IPO struggles despite strong markets

EGP is the 4th company of its kind to supply paper to European investors so the demand is not high.Despite EGP having 44% Hydro Assets and 13% Geothermal Assets which is more than its European competitors dependent on Wind Energy,investors are not convinced.Even the lower band of pricing has seen only 60% demand which means that EGP may have to lower it further.Spain and Italy the home countries of Enel are reducing Feed in Tariffs for Green Energy Sources due to Budgetary Problems.Despite removing the most draconian cuts on Renewable Subsidies,the sword of uncertainty continues to hang over the Green Producers.Investors are also looking for a discount on existing companies in order to make commitments to a new issue.EGP has been trying to do an IPO sine last year and the current bullish market environment in Europe might be the best time for it to clinch the deal.
September 17, 2010

After an Epic Nuclear Project Disaster,Finland implements its first Renewable Energy FIT Scheme to promote Wind Power

Finland is a Fossil Fuel Deficient country getting 30% of its power from Nuclear Energy and 28% from mostly Biomass and Hydro Energy.It is constructing more Nuclear Power to meet it future needs but a Recent Nuclear Plant has caused massive headache.Finland's Power Sector has been in the news recently for all the wrong reasons.A Nuclear Plant being built on a Baltic Sea Island of Olkiluoto has entered the annals of Project Finance as one of the biggest Disasters.The main contractor Areva which is the worlds' leading nuclear equipment supplier has surprisingly totally messed up.The original plan of builing the 1600 MW nuclear reactor for 4 billion Euros has doubled to 8 billion Euros.There are reports of faulty concrete bases and steel containers.There is already a blame game between the constructing companies Areva,EDF,Siemens and the government.The time and cost delay has truly been of epic proportions.Areva which is a giant conglomerate has suffered losses on account of just this one project.
August 25, 2010

Will Repeated Solar Feed in Tariff Changes by France Drive Away Investors

Even Germany has imposed yearly changes on FIT , still it has managed to become the solar capital of the world.2010 was an exception due to a mid year change,still Germany is going to install more solar capacity in 1 month than US's entire historical installed capacity.This is due to a well laid out policy which instills confidence in investors.The French Government's FIT cut has good reasons since ground mounted plants have lesser costs and most European countries like Spain are trying to boost residential solar installations.However rapid fire changes are not the answer to a well thought of careful FIT policy.
July 6, 2010

Green Investing climate in Spain improves dramatically with Wind and Solar Thermal Industries reaching Agreement with Government over Subsidy Cuts

Spanish Government Facing a Tough Fiscal Situation;Plans Green Energy Subsidy Change The Spanish Government has been  facing a tough budgetary situation due to sovereign debt problems […]