German LNG Terminals Seek to Replace Russian Gas Pipelines
Germany is putting into operation natural gas import terminals as part of efforts to replace piped Russian gas following Moscow's invasion of Ukraine in 2022.Its first move has been to deploy floating storage regasification units (FSRUs) to receive seaborne LNG, while long-term it is planning shore-based facilities to import and produce ammonia and green hydrogen.Here are details of the latest developments:MUKRANThe terminal on Ruegen island in the Baltic Sea, operated by private firm Deutsche ReGas, supplies onshore grids with LNG from pipeline firm Gascade's link OAL, via the Neptune vessel operated by Norway's
German gas storage is at 75%, but operators are keeping an eye on the winter supply
The German gas storage capacity has been filled to the minimum level required by the European Union for November 1 but INES, a national operator's group, says that it will continue to closely monitor supply security because there are still risks. INES stated on Tuesday that the requirement of 81% storage capacity by November 1 has been met. Data from the industry group GIE revealed that levels had already reached over 95% at this time last year. INES said that "this (75%) level offers a safe (winter season gas supply) if temperatures are warm or normal." It added that a cold winter could pose risks.
RWE, Apollo Set Up Joint Venture to Channel $3.7B Investment in German TSO
RWE has struck a long-term partnership with Apollo Global Management to secure funding for its 25.1% stake in Amprion, one of Germany’s four transmission system operators, as the country gears up for a decade of record grid investments.Under the agreement, Apollo will provide $3.74 billion (€3.2 billion) in equity to a newly formed joint venture with RWE. The vehicle will hold RWE’s 25.1% stake in Amprion and finance its share of the grid operator’s expansion program.Amprion runs the transmission network across seven federal states, serving around 29 million people in Germany’s industrial heartland.
Mitsubishi abandons offshore wind farms in Japan
A senior official in the industry ministry said that Japan wants to re-auction as many offshore wind sites as possible as soon as they can, subject to local community consent. The trading house Mitsubishi Corp announced on Wednesday that it would no longer build wind farms in the prefectures of Akita and Chiba due to rising costs. In 2021, the first state-wide auctions were held to award the rights to construct and operate these farms. The farms have a total planned capacity of 1,76 gigawatts and were scheduled to begin between 2028 and 3030.
Mitsubishi is considering abandoning offshore wind energy projects in Japan
Mitsubishi Corp announced on Wednesday that it is considering withdrawing from 3 Japanese offshore wind projects. Three wind farms are owned by Mitsubishi-led consortiums in Japan's Chiba Prefecture and Akita Prefecture. The trading house announced in February it was reevaluating how to proceed given the "significantly altered" business climate. Mitsubishi recorded a charge for the projects of 52.2 billion Japanese yen (354 millions dollars) earlier this year. Mitsubishi released a statement saying that they were currently evaluating all options, including the possibility of withdrawing from the project.
French spot prices drop on low holiday demand and a rebounding nuclear sector
The French spot price for electricity on Friday dropped on Thursday as the wind supply and French availability increased. Demand is expected to drop during Assumption Day, observed in France and Germany. French baseload day-ahead was down 49.2% to 46.75 Euros per Megawatt Hour (MWh) at 0804 GMT. The German equivalent contract, which closed at 111.25 euro on Wednesday, was not traded. LSEG data revealed that German wind power production was projected to increase by 4.9 gigawatts to 8.7 GW. French wind power is expected to rise by 2.3 GW up to 4.3 GW.
RWE's core profit for the first half of the year is hit by a weak wind trading
RWE, Germany's largest power producer, posted a lower-than expected core profit for the half-year period on Thursday. The company cited weak wind conditions and a tepid trading business. The company's analyst poll revealed that the average estimate for the first-half adjusted profit before interest, taxes, depreciation, and amortization was 2.24 billion euros. This is a drop of more than 25%. The group, the second largest developer of offshore wind in the world, has confirmed its outlooks for 2025 as well as mid-term guidance on earnings per share between 2027 and 2030.
AI revolution to transform Europe's outdated power plants
Microsoft and Amazon are looking to convert some of Europe's old coal and gas-fired power plants into data centres with ready access to electricity and water. Engie in France, RWE in Germany, and Enel in Italy are all looking to capitalize on the surge of AI-driven energy demands by converting their old power plants into data centres, and securing lucrative power supply agreements with their operators. The data center option is a great way for utilities to offset the high costs associated with shutting down old power plants and potentially fund future renewable development.
Shares in European Renewable Companies Rise After Revised US Senate Bill
Shares in European renewable energy companies rose on Wednesday after the U.S. Senate passed a revised budget bill the previous day which was more positive for wind power compared to an earlier version.U.S. President Donald Trump's "Big Beautiful Bill" makes it harder to develop wind and solar energy projects in the U.S. by effectively phasing out renewable energy tax credits after 2026 if projects have not started construction.In the Senate's final version, projects will be able to use the lucrative credits if they begin construction before 2026.
Shares of European renewable energy companies rise following revised US Senate bill
The shares of European renewable energy companies increased on Wednesday, after the U.S. Senate approved on Tuesday a revised version of its budget bill which was more favorable for wind power than an earlier version. The "Big Beautiful Bill", signed by Donald Trump, makes it more difficult to develop solar and wind energy projects in the U.S. The end date for wind and solar projects that start construction after this is 2027. The revised Senate bill excludes from the deadline all projects that begin construction in the next 12 month.
German utility RWE announces partnership with tech giant Amazon
The German utility RWE announced on Thursday a strategic framework deal with tech giant Amazon, in which the utility will deliver clean energy and receive cloud services in exchange. Cloud services include artificial intelligence and data analysis in exchange for electricity provided by RWE's solar and wind facilities. Some of these are already operational and others are in construction. RWE, a major utility company in Europe, has a portfolio of renewable energies in operation or in development that it can sell to Amazon and other hyperscalers in data centres to help them reach their green energy goals.
Siemens: Britain Needs Record Offshore Wind to Meet Targets
Britain’s next renewable energy auction must secure a record amount of new offshore wind capacity if the country is to meet its 2030 clean power targets, Darren Davidson, vice president of turbine maker Siemens Energy UK&I, told Reuters.The country has put offshore wind at the heart of its plans to decarbonise its electricity sector by 2030. It aims to boost capacity to 43-50 gigawatts (GW) by the end of the decade, from around 15 GW at present, although a government report in November said it would be a challenge to reach that goal.Britain holds annual auctions for renewable subsidies…
Japan is poised to amend offshore wind regulations as players get coldfeet
Insiders in the industry say that Japan will likely sweeten its terms to developers who want to build an offshore wind farm. The country is looking to re-establish its energy ambitions against a global slump of projects that have been hit by rising costs and delays. By 2040, the government wants to reach 45 gigawatts in offshore wind power, which will reduce its dependence on coal and gas imports for electricity generation, as well as its carbon emissions, and strengthen national security. Its plans have stagnated after three rounds of major auctions for capacity development.
Japan is poised to amend offshore wind regulations as players get coldfeet
Insiders in the industry say that Japan will likely sweeten its terms to developers who want to build an offshore wind farm. The country is looking to re-establish its energy ambitions against a global slump of projects that have been hit by rising costs and delays. By 2040, the government wants to reach 45 gigawatts in offshore wind power, which will reduce its dependence on coal and gas imports for electricity generation, as well as its carbon emissions, and strengthen national security. Its plans have stagnated after three rounds of major auctions for capacity development.
National Grid Takes $402 Million Hit on Paused New York Wind Project
National Grid booked a multi-million impairment charge on a paused U.S. wind project, but said on Thursday it was on track to invest 60 billion pounds ($79.74 billion) in energy networks through March 2029 and its results beat estimates.Its shares rose 2% to 1,038 pence by 0725 GMT, outperforming the wider market, which traded 0.5% lower.The renewable energy sector has been shaken by U.S. President Donald Trump's hostility to wind power.On the first day of his second term in office in January…
RWE reports Q1 profit decrease on weak trading and poor winds
RWE, Germany's largest electric utility, announced Thursday that its core earnings for the first quarter (adjusted EBIDTA) dropped by almost a quarter. This was due to a poor commodity trading business and bad wind conditions which impacted RWE's offshore operations. RWE reported that the first-quarter adjusted EBITDA was 1.307 billion euro ($1.46 billion), which is also lower than the average forecast, 1.321 billion euro in a survey provided by the company. RWE, under pressure from activists to increase share buybacks has still confirmed its outlook for 2025.
Norway's Wealth fund to engage Rio Tinto and South32 on environmental concerns
Norges Bank Investment Management, Norway's sovereign fund manager, has announced that it will actively engage mining companies Rio Tinto South32 in relation to their environmental practices. The Executive Board of the World's Largest Sovereign Wealth Fund said that it made this decision after receiving a recommendation from an independent advisor appointed by the Norwegian government, the Council on Ethics. According to LSEG, the fund holds a stake of about 2.5% in Rio Tinto PLC and 0.13% in Rio Tinto Ltd, as well as a stake of 2.6% in South32.
Norway's Wealth fund to engage Rio Tinto and South32 on environmental concerns
Norges Bank Investment Management, Norway's sovereign fund manager, has announced that it will actively engage mining companies Rio Tinto South32 in relation to their environmental practices. The Executive Board of the World's Largest Sovereign Wealth Fund said that it made this decision after receiving a recommendation from an independent advisor appointed by the Norwegian government, the Council on Ethics. According to LSEG, the fund holds a stake of about 2.5% in Rio Tinto PLC and 0.13% in Rio Tinto Ltd, as well as a stake of 2.6% in South32.
The Crown Estate of the UK gives its approval to increase capacity at offshore wind farms
The Crown Estate of King Charles III, which controls the seabed in Britain, has approved the expansion of high-density offshore wind farms. They are looking for a space-efficient and rapid way to increase capacity and support Britain's energy transformation. This Capacity Enhancement Programme will see seven projects, including RWE Rampion 2 and SSE, Equinor and Dogger Bank D increase their capacity by 4.7 gigawatts. Britain wants to decarbonise the electricity sector by 2030, and increase renewable energy, especially offshore wind, in order to protect itself from price fluctuations of fossil fuels.
RWE's largest shareholder group is against more share buybacks
RWE's largest shareholder group, RWE municipal shareholders, opposes calls for further share buybacks. This includes activist investor Elliott. They say that they will drain cash for renewable investments. The Association of Municipal RWE Shareholders (VkA), who together own around 14% of the utility, has made a few rare comments in support of RWE Management amid increasing investor criticism of capital allocation. RWE, like its peers, cut investments in renewable energy projects in March due to the falling returns. Some investors urged RWE to speed up a buyback program worth 1.5 billion euros ($1.7 billion).