NZ Gene technology Bill, Hydrogen Action Plan, Fast-track Approvals for RE

UK to align ETS with IMO's CORSIA; Central Europe's Intelligent Transport System; NZ to fast-track renewable energy approvals; Guangzhou Futures Exchange approved for polysilicon futures;

In this newsletter -

• News from governments - EU, New Zealand, UK

• Funding Announcements

• AI for Climate

• More Interesting News

All summaries by GPT-4o. Meet the first AI-native Global Climate News agency.

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European Union

Central Europe has implemented the X4ITS project to enhance cross-border traffic using Intelligent Transport Systems (ITS). The project, funded with over €32 million from the CEF Transport programme, involves collaboration among public authorities, cities, and transport operators across Eastern and Central Europe. It aims to develop a connected ITS road network along the trans-European transport network (TEN-T) corridors, improving traffic management and real-time information services. European Commission

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New Zealand

• introduced the Offshore Renewable Energy Bill to establish a regulatory regime for offshore wind generation. The bill aims to provide investors with the confidence to construct offshore wind assets, supporting the country's goal of doubling renewable energy. It introduces feasibility and commercial permits for offshore renewable energy projects, with the regime expected to be in place by mid-2025. NZ Government

• passed the first reading of legislation to enable new water service delivery models, aiming to drive investment in infrastructure. The Local Government Water Services Bill will implement economic regulation of water services, overseen by the Commerce Commission, ensuring water revenue is invested in infrastructure. The Local Government Funding Agency has expanded lending capacity, allowing councils to borrow up to 500% of operating revenues, facilitating infrastructure investments without steep rate increases. NZ government

• passed the first reading of the Gene Technology Bill, ending a near 30-year ban on gene technology outside the lab. The legislation aims to modernize laws to unlock scientific potential, including better cancer treatments and increased agricultural productivity. A regulator will be established under the Environmental Protection Authority, with the regime expected to be operational by 2025. NZ Government

• passed the Fast-track Approvals Bill to expedite consenting for 149 regional and national projects, including 22 renewable electricity projects. These projects aim to add 3GW of generation capacity, addressing energy security and economic growth. NZ Government

• introduced legislation to facilitate the construction of offshore wind farms, as part of its Q4 Action Plan. NZ Government

• confirmed a 50% reduction in the annual charge for forest owners in the forestry Emissions Trading Scheme (ETS), reducing it from $30.25 to $14.90 per hectare per year. This decision aims to rebuild confidence in the forestry sector and support emissions targets, affecting over 4,300 forestry participants. NZ Government

• introduced a standardized, science-based methodology for measuring farm-level greenhouse gas emissions. The initiative includes farm-specific inputs like stock counts, feed, dairy production, and fertilizer use, aimed at simplifying emissions calculations for farmers. The government has also committed $400 million over four years for emission-reducing technologies in the agricultural sector. NZ Government

• released a Hydrogen Action Plan to unlock private sector investment in hydrogen energy, aiding its transition to a low-emissions economy. The plan focuses on creating an enabling regulatory environment, reducing barriers for hydrogen project consents, promoting market-led transitions to low emissions, and supporting international investment. NZ Government

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UK

• unveiled its Clean Power Action Plan to achieve clean power by 2030, with major reforms to the country's energy system. The plan aims to unblock the grid, speed up planning decisions, and build more renewables. The initiative is expected to unlock £40 billion of annual investment in clean power projects and infrastructure. Key measures include reforming the grid connection system, streamlining planning processes for energy infrastructure, and expanding renewable auction processes. The plan includes bringing onshore wind back into the Nationally Significant Infrastructure Project regime and introducing a Planning and Infrastructure Bill. UK Government

• launched a consultation on implementing the UN's Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) to reduce the climate impacts of flying. The scheme, overseen by the International Civil Aviation Organization (ICAO), requires airlines to offset CO2 emissions on international routes through initiatives like renewable energy and reforestation. The UK is working to align CORSIA with its emissions trading scheme to avoid double regulation and price increases for passengers. UK Government

• launched a Green Industrial Partnership with Norway to enhance clean energy capabilities and economic growth. The agreement aims to make the UK a clean energy superpower by 2030, with significant contributions from BP and Equinor in carbon capture projects like the Northern Endurance Partnership and Net Zero Teesside. The partnership also includes the development of the Green Volt floating offshore windfarm, a joint venture between Norwegian Vårgrønn and UK firm Flotation Energy. UK Government

• set out measures in the forthcoming Planning and Infrastructure Bill to promote economic growth by building 1.5 million homes and advancing 150 major infrastructure projects. A new Nature Restoration Fund will allow developers to pay into the fund to meet environmental obligations, enabling immediate building while a delivery body like Natural England secures positive environmental outcomes. UK Government

• extended its Home Building Fund for SMEs beyond March 2024, offering up to £700 million in financial support for small and medium-sized housebuilders. The extension aims to deliver 12,000 additional homes, including energy-efficient housing projects. A £25 million deal with Muse Places Limited and Pension Insurance Corporation has been announced to deliver 3,000 energy-efficient new homes. UK Government

• released data on production industries including manufacturing, mining and quarrying, energy supply, and waste management sectors. The release includes detailed information on production volumes, export data, and business survey responses across these industrial sectors. UK Office for National Statistics

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Funding Announcements

Australia has approved a US$50 million investment into the Green Investments partnership under Singapore’s FAST-P initiative to support clean energy transition and sustainable infrastructure in Southeast Asia. This investment is part of Australia's A$2 billion Southeast Asia Investment Financing Facility and will be managed by Pentagreen Capital, focusing on sectors like renewable energy, electric vehicle infrastructure, and water management. exportfinance.gov.au

Australia's Export Finance Australia provided a USD79 million loan to support a major renewable energy project in Thailand, arranged by the Asian Development Bank. Gulf Energy Development Public Company Limited will develop 8 solar and 4 solar plus battery energy storage system projects, totaling 649 MW. This project is part of Thailand's utility-scale renewable energy program, aiming to double the country's wind and solar capacity. exportfinance.gov.au

US-based BlueOval SK LLC received a $9.63 billion loan from the Department of Energy to construct three manufacturing plants in Tennessee and Kentucky for electric vehicle batteries. The project, a joint venture between Ford Motor Company and Korea's SK On, aims to produce over 120 gigawatt hours of batteries annually, creating up to 7,500 jobs and supporting the US EV industry. energy.gov

US-based Bosch has signed a preliminary memorandum of terms with the U.S. Department of Commerce to receive up to $225 million in funding under the CHIPS and Science Act. This investment supports Bosch's $1.9 billion project to expand its semiconductor manufacturing facility in Roseville, California, creating up to 1,700 jobs. The project will enhance the production of silicon carbide semiconductors, crucial for electric vehicles and other industries. commerce.gov ↗

Mexico's Comisión Federal de Electricidad (CFE) issued Sustainable Bonds worth 10,000 million pesos to finance energy transition and social inclusion. The issuance included three tranches, with two being reopenings of bonds from 2023 and a new bond with a 10-year term. The funds will be invested in renewable energy, energy efficiency, and infrastructure adaptation to climate change impacts. cfe.mx

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AI + Climate

Google has introduced GenCast, a new AI ensemble model for weather forecasting, which outperforms the European Centre for Medium-Range Weather Forecasts' ENS system. GenCast provides more accurate predictions of extreme weather events, such as cyclones and heat waves, up to 15 days in advance. The model is trained on four decades of historical weather data and is available as an open model to foster collaboration in the weather and climate community. DeepMind

ETH Zurich has utilized satellite data and machine learning to develop systems for monitoring climate change impacts, such as snow cover and tree health. In collaboration with ExoLabs, they have created a commercial service for daily snow depth maps. ETH Zurich also works with the International Committee of the Red Cross to map war damage and population density using satellite data. Additionally, they are developing an early-warning system for forest health and tracking ice sheet melting in Greenland and Antarctica. ETH Zurich

ETH Zurich professor Jordan Aaron has developed an AI-powered computer model that can simulate landslide scenarios 200 times faster than previous models. The model was used to assess the landslide risk for the village of Brienz/Brinzauls in Graubünden, leading to its second evacuation in November 2024. The technology combines GPU computing with AI algorithms to rapidly simulate thousands of potential landslide scenarios. ETH Zurich

More Interesting News

US power producers have accumulated a 138 million-ton stockpile of unused coal, equivalent to the entire expected coal production of Appalachia in 2025. This stockpile, valued at $6.5 billion, poses a financial challenge as coal is increasingly displaced by renewables. Coal production is expected to fall to 469 million tons in 2025, down from 505 million tons in 2024. ieefa.org

China's Guangzhou Futures Exchange received approval from the China Securities Regulatory Commission for the registration of polysilicon futures and options. The commission will oversee the exchange's preparations to ensure the smooth launch and stable operation of these financial instruments.

Australia's Coalition released a nuclear power policy costing, claiming a $263 billion saving compared to Labor's renewables-only plan. The Coalition's Progressive Change scenario involves a slower transition with nuclear power, leading to higher emissions than Labor's Step Change scenario. Frontier Economics' report suggests nuclear is cheaper due to delayed coal replacement and longer plant lifespans, but CSIRO and Lazard studies show renewables are more cost-effective. reporter.anu.edu.au

US-based Midcontinent Independent System Operator (MISO) approved the largest transmission investment in U.S. history, with a package serving MISO North states. The $6.7 billion investment in local reliability projects and the $21.8 billion LRTP Tranche 2.1 portfolio aim to enhance grid reliability and support new generation. The JTIQ projects with Southwest Power Pool will enable 28GW of new generation.

Norway-based DLVRY has been working with Nordea since 2021 to finance acquisitions of wholesalers and has secured a sustainability-linked loan. The loan terms are tied to KPIs related to electrification of vehicles, waste management, and suppliers' codes of conduct. DLVRY aims to increase the share of environmentally certified wholesalers and establish a common management system for sustainability across the organization. Nordea

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