ENERGY NEWS MONITOR Energy News [GOOD] If marketing defines Coal India's performance its future will [UGLY] be bright! Page 13 Opposing pipelines [BAD] on farmlands will Weak remittances from the Gulf illustrates the inevitable get votes but it will link between energy and the global economy! block access to Page 12 clean and efficient energy! [WEEK IN REVIEW]……………………... Page 11 [NATIONAL: OIL & GAS]……………………… [NATIONAL: POWER]……………………… [INTERNATIONAL: OIL & GAS]……………………… [INTERNATIONAL: POWER]……………………… ANALYSIS / DATA Volume XI I 22 April 2016 ISSUES INSIGHT Issue 45 [FLY ASH FROM COAL COMBUSTION: INEVITABLE BUT USEFUL] [RENEWABLE “As the demand for energy grows further, production of fly ENERGY / ash is inevitable since India has no alternative but to use its relatively vast CLIMATE resource of high ash coal - washed or otherwise. Therefore it is essential to find potential areas where fly ash can be utilised in a sustainable manner to CHANGE minimize its negative impact…” TRENDS] CONTENTS INSIGHT…… [WEEK IN REVIEW] ORFOBSERVER Centre for Resources Management RESEARCH 1 FOUNDATION 13 - 19 April 2016 CONTENTS INSIGHT…… Gujarat extends power supply to farmers by 6 hours Policy / Performance………………… [WEEK IN REVIEW] Forum of Power Utilities proposed by Electricity Regulatory Commissions of states and the centre COMMENTS………………….. NPCIL to get nuclear liability policy soon Govt lets NTPC dispose of fly ash in mine void for 1 Fly Ash from Coal Combustion: Inevitable but Useful more year Rationing Personal Mobility in Delhi: Will it Constrain Adani mine in Australia gets traditional land owner Access? (Part II) approval DATA INSIGHT……………… Himachal Pradesh govt gave benefit of ` 2 bn to Jaypee Power: CAG Remote Village Electrification in North Eastern India [INTERNATIONAL: OIL & GAS] [NATIONAL: OIL & GAS] Upstream…………………… Upstream………………………… Oil production starts at ExxonMobil Julia RIL, BG to hand over some Indian drilling assets to Russia's Gazprom Neft to delay Novoportovskoye ONGC oilfield launch Norway's oil firms, unions seek opening of Arctic Downstream…………………………… islands to exploration ‘Eni to invest $22.5 bn in Africa in next 4 yrs’ HPCL plans $3.8 bn refinery investment to lift capacity by two-thirds Downstream…………………… IOC inks MoU with BPC RIL to shut Jamnagar crude unit in May for China's Sinopec Beihai LNG terminal starts commercial maintenance operations Saudi's Yasref secures $4.7 bn loan Transportation / Trade……………… Kuwait refineries cut back on second day of oil strike Total European refining margin drops again in Q1 GAIL plans to use drones to secure gas pipelines Saudi, India discuss oil market situation, boost Transportation / Trade………… cooperation Tamil Nadu CM opposes gas pipelines in farmlands New York to get rare tanker of Indian diesel after prices jump Policy / Performance………………… Shell says theft from its Nigerian oil pipeline network fell in 2015 Haryana may become kerosene-free by next year Chevron signs up Australia's Alinta to buy gas from Delhi HC seeks govt's reply on Cairn's plea against tax Wheatstone demand BP to supply LNG to Indonesia's PLN to 2033 under Weaker remittances will dampen benefits of lower oil: new contract Moody's Borusan Mannesmann sees US pipeline demand rising India's 2015-16 fuel demand rises at fastest pace in at in late 2016 least 15 yrs Policy / Performance……………… [NATIONAL: POWER] Iran sees oil output rising to pre-sanctions level by June Generation……………… Europe's seven oil majors to post 22 percent drop in profit: Fitch Hindustan Power commissions first phase of 2.5 GW Oman offers to bridge Saudi-Iran gap in oil output talks Anuppur plant in MP Russia says door not closed for oil output freeze Coal panel recommends bridge linkage for NTPC plant Transmission / Distribution / [INTERNATIONAL: POWER] Trade…… Generation………………… ‘Marketing of coal to define Coal India's performance France's Engie looks to sell Polish coal-fired power in future’ plant India expects to stop coal imports in 2018-2019 CGNPC expands power operations to Malaysia ORF Centre for Resources Management 2 13 - 19 April 2016 Iran’s power generation capacity projected to rise 7 Eurus Energy set to commence construction of 41.6 percent by March 2017 MW wind farm in Japan EDF said at odds with French state on plan to finance Canada’s Environment Minister pitches national carbon Hinkley price before Saskatchewan visit Norway planning to end renewable subsidy scheme by Transmission / Distribution / 2021 Trade…… Hillary cites effort in getting India, China commit to GHG cut China State Grid awarded tender for power Gas power rules in boost to UK efforts to cut emissions transmission in Brazil Teslas may be making Hong Kong's pollution worse Europe's new cars were 3 percent cleaner as pollution Policy / Performance……………… rules tighten EU lawmaker proposes changes to free carbon permits Nigeria needs to invest $900 bn in its energy sector in allocation 30 yrs RWE reviving gas plant shows fuel has place among World's biggest wealth fund excludes 52 coal-related renewables groups Yale's big endowment sells less than $10 mn in fossil Kazakhstan to complete modernization of large hydro fuels power plant by late 2017 Bangladesh set to pursue coal-power push despite opposition [RENEWABLE ENERGY / CLIMATE CHANGE TRENDS] NATIONAL………… Gamesa bags 40 MW order from ReNew Power Suzlon acquires 5 solar companies to implement projects India surpasses solar energy target for 2015-16 more than one and a half times India adds 3 GW solar capacity in FY16, beats 2 GW target NTPC, IIT Kanpur sign pact for R&D in renewables Panasonic plans 10 MW energy storage system in Haryana Inox Wind bags 2 orders of 50 MW capacity each in MP, Gujarat Telangana ranks 7th in solar power generation Canara Bank gets first loan from BRICS for renewable energy Rays Power bags 10 MW solar project in Karnataka Orange Renewable signs PPA with SECI to develop a 100 MW solar power project in Maharashtra SunEdison to sell minority stake in Indian solar projects to Fortum Six companies win NTPC solar projects in Karnataka GLOBAL……………… Engie signs renewable energy and LNG agreements with Egypt Australia state bans underground coal gas drilling Italian company to build 50 MW solar power plant on Iran’s Qeshm island South Africa's Eskom gets $180 mn NDB loan for renewable energy ORF Centre for Resources Management 3 13 - 19 April 2016 [WEEK IN REVIEW] COMMENTS……………… Fly Ash from Coal Combustion: Inevitable but Useful Ashish Gupta, Observer Research Foundation hermal Power stations using pulverized coal or lignite as fuel generate large quantities of ash as a by- T product. These power plants form the major source of fly ash in the country. It is expected that by the end of 12th Five Year Plan, the generation of fly ash to reach 300 million tons (mt) per year and the volume of fly ash is likely to continue to grow at the same pace at least for next two to three decades. The disposal of such a large quantity of fly ash is indeed a challenge. The disposal of fly ash poses numerous ecological and environmental problems. Fortunately, fly ash which was once considered as a waste material is a resource material in civil engineering and material science. In addition fly ash can be gainfully used for various other applications. The government via Gazette Notification of 16th November, 2009 has made it mandatory that in all types of construction works within 100 km radius of thermal power plant fly ash bricks (fly ash content - 25% min) should be used. Unfortunately this notification is not enforced. If enforced pond ash at thermal power plants can be effectively utilised. In 2012 around 100 million tonnes (mt) of fly ash was being utilised out of 200 mt generated as per Ministry of Science and Technology. The utilisation of fly ash in various sectors is given below: Utilisation of Fly Ash 45 40 40 35 30 Quantity in mt 25 20 17 16 15 10 10 4 4 4 5 5 0 Source: Fly Ash Utilisation Unit – Department of Science & Technology ORF Centre for Resources Management 4 13 - 19 April 2016 Though utilization has increased to nearly 50% in absolute terms a very large quantity of fly ash still remains unutilized. As the demand for energy grows further, production of fly ash is inevitable since India has no alternative but to use its relatively vast resource of high ash coal - washed or otherwise. Therefore it is essential to find potential areas where fly ash can be utilised in a sustainable manner to minimize its negative impact. These are given below: Cement 1 Globally, the cement industry accounts for nearly 6.5% of CO2 emissions. Use of fly-ash would reduce clinker consumption and bring down emission of greenhouse gases in the atmosphere. The utilization of fly ash would also help in reducing the production cost and provide technically superior products to consumers at more competitive rates. Apart from this production capacity of the manufacturing units may increase to meet the increasing demand of cement. In addition use of fly ash in cement production could save approximately 8 to 10 percent of power use2. Limestone Conservation Given the limited reserves of limestone in the country and given the increasing demand of cement, it is essential that cement grade lime-stone is conserved by using fly ash. Controlled Low Strength Material (CLSM) CLSM is a low strength material which is widely used in USA, Canada and other countries as back fill material in utility trenches and filling abandoned underground structures. Unfortunately, in India even the utility trenches are backfilled by soil which normally settles down under load resulting in uneven road shoulders. It poses serious traffic hazard. The use of CLSM on large scale will help in increasing the use of fly ash and to create more durable and safe road infrastructure.