TNB eyes early retirement for coal plants to accelerate sustain

ASIA TO ACCOUNT FOR 63% OF RENEWABLES CAPACITY ADDITIONS

ASIA PACIFIC

Global renewables capacity additions over the decade are expected to reach two terawatts (TW), with Asia accounting for 63% of the total capacity growth, according to a report by Fitch Solutions.

Fitch made an upward revision to its outlook from the previous 1.8TW new addition forecast.

“This is driven by new efforts to ensure regional energy security amid volatile energy markets and more aggressive renewable targets,” it said.

“Surging renewable growth in the near term will stabilise slightly over the coming decades as the effects of COVID-19 delays and stimulated growth are eased,” it added.

The growth in renewables will be boosted by the solar sector, which is expected to add 1.2TW, significantly higher than the 0.8TW additional capacity expected in the wind sector. This is due to the sector’s wider global appeal and increasing solar rooftop targets.

Fitch added that the rise of renewables will be bolstered by the expansion of green hydrogen, the increasing power consumption and policy instruments such as carbon pricing. The EU, Mainland China, India, Japan, and the US will also account for 77% of the rise in nonhydropower renewables.

Non-hydropower sources

Meanwhile, Asia will have around 66% of its capacity growth coming from non-hydropower renewable energy, Fitch said adding that there are upside risks as markets are pushing for more renewables and shifting away from fossil fuels.

Wind power generation will surpass solar as further technology developments in the sector will support its growth.

Mainland China will still be the main contributor to the region’s Asia’s non-hydropower renewables growth with its robust solar and wind equipment manufacturing industry along with strong commitments from the government.

In the Middle East and North Africa (MENA) region, solar capacity will remain the dominant non-hydropower renewable electricity as it is expected to reach 42 gigawatts (GW) by 2031, up from 11.1GW by the end of 2021.

In a report, Fitch Solutions said wind power will also have a“robust growth” in some markets in the MENA due to high natural potential and government support.

“The burgeoning green hydrogen sector poses a considerable upside risk to our solar and wind power forecasts in key MENA markets, though technical challenges, weak private sector participation and lack of government support will all present obstacles to the industry,” it said.

TNB eyes early retirement for coal plants to accelerate sustainability goals

MALAYSIA

Malaysia’s Tenaga Nasional Berhad (TNB) is planning to retire selected coal plants earlier than the expiration of their power purchase agreements in a bid to accelerate its sustainability goals to reach net-zero emissions by 2050.

In a statement, TNB said the coal retirement plans will help increase the enterprise value and transition the portfolio of the TNB Power Generation Sdn Bhd (GenCo).

“We hope to start with Kapar Energy Ventures (KEV), and are exploring the viability of retiring the 1400 MW plant up to a year ahead of its PPA expiration subject to shareholders’ agreement and approvals from the relevant authorities and regulators,” said TNB President and CEO Dato’ Indera Ir. Bahrin Din.

“As for repowering plants with new technology, we have recently received a Letter of Intent to allow the repowering of our 1400 MW gas-powered plant in Paka, which we intend to make hydrogen ready by 2029,” he said.

TNB is also seeking collaboration with technology partners to provide technology that will help GenCo venture into cleaner sources, such as hydrogen.

Bahrain said they aim to capture by 2050 a “significant share” of around RM40b of the clean energy market which is estimated to reach between RM65b to RM80b.

“Through these deliberate steps to increase its enterprise value and sustainability position, we are also staying open to the possibility of an Initial Public Offering (IPO) of GenCo, should the opportunity come up,” Baharin said.

Aside from this, the company also plans to grow its renewable energy portfolio in its adjacent markets in Asia Pacific and Europe. It plans to install over 14 gigawatts (GW) of renewable energy by 2050 which can help avoid around 6.9 million total carbon dioxide per megawatt-hour.

The company also aims to continue investing in developing the Grid of the Future, and accelerate the adoption of electric vehicles (EV) to capture a potential RM1.3b market value by 2030. It will also invest RM90m to support the EV ecosystem in the span of three years.

It plans to retire 1400MW plants

We are exploring the viability of retiring the 1400 MW plant up to a year ahead of its PPA expiration

PLANT WATCH UZB wind project secures funding New PH solar farm starts operation NTPC commissions Kawas Solar project

UZBEKISTAN

Abu Dhabi-based Masdar said that it reached financial close for Uzbekistan’s first utility-scale wind farm with a 500-megawatt (MW) capacity, expected to supply power to 500,000 homes.

In a statement, Masdar CEO Mohamed Jameel Al Ramahi expressed gratitude to the anchor lenders who supported the Zarafshan wind project namely the European Bank for Reconstruction and Development, the International Finance Corporation, the Asian Development Bank, and Japan International Cooperation Agency. The 72-megawatt (MW) Arayat-Mexico Solar Farm, developed by Philippine firms ACEN and Citicore, has started its full operation.

The new solar farm is expected to generate 105 gigawatt-hours (GWh) of renewable energy, which is equivalent to powering 45,000 homes in the Philippines.

“As we work towards our bold vision to reach 20 GW of capacity by 2030, we aim to accelerate the energy transition across the region,”

PHILIPPINES

NTPC’s 56-megawatt (MW) Kawas Solar Photovoltaic Project in Gujarat started its operations, bringing the company’s total installed capacity to 69,454MW.

In a statement, the company said it is “steady lowering” its carbon footprint with the installations of renewable energy projects.

Its pipeline includes the 262MW floating solar over 1,300 acres of its own reservoir, 242MW of which has been commissioned. NTPC Group aims to reach 60 gigawatts (GW) of renewable energy by 2032.

INDIA