this European Union who want to minimize gas consumption, Faced with Russia’s threat to turn off the tap, and is even willing to temporarily relax its environmental goals, which has been one of its flags in recent years. The European Commission is in favor of replacing gas with coal in its plan to tackle the energy crisis. It is even willing to encourage the reactivation of coal-fired power plants through public subsidies that make mineral consumption affordable. The measure could mean a second life for power plants Asturias is also a new threat to the region’s major industry. Reactivation of thermal power plants will increase the demand for CO2 emission rights and put new upward pressure on their prices. For companies like ArcelorMittal steel company that even consider downtime due to energy price without taking this possible new factor into account, a new entitlement increase could prove fatal.
plan European CommissionTitled ‘Save gas for a safe winter’, approval is expected this Wednesday. The document calls for the immediate introduction of coordinated measures at the European level or the launch of gas capacity auctions to reduce gas consumption, such as limiting the thermostat to above 25 degrees Celsius in air-conditioning systems in public buildings and shopping centres. Temporary reduction of the industry’s production and therefore its energy consumption. And with these measures, the Commission includes: Even if they emit more CO2 emissions and pollute much more, they must utilize all alternative sources to gas.
“Although the transition to renewable energy sources is a top priority, the Commission it will also temporarily apply all the flexibility available in the industrial emissions directive. and the environmental impact assessment directive” states the draft plan detailing that coal plants that restart their operations to compensate for cuts in Russian gas “can be exempted from industrial emissions targets”. Although the Commission acknowledged that “significant amounts of gas will have an impact on air pollution”, salvageable.
Germany, Austria and the Netherlands have already announced plans to increase coal-fired electricity generation. In other cases, the increase in its use occurs automatically as a result of the increase in the price of gas, from which the mineral itself is not protected. Spain is seeing a slight recovery in coal use – currently much lower than that of gas – coinciding with an increase in energy demand with the heat wave. According to data from Red Eléctrica, coal has so far supplied 3.2% of demand in July, when participation was 2.8% last year.
Ecological Transition Minister Teresa Ribera assured La Nueva España on July 7 that Spain “doesn’t have to go back in the energy transition like Germany”, but last week commissioned Red Eléctrica to consider the need for an extension or not. The lifetime of coal plants that have requested closure but have not yet received a final permit, such as As Pontes or Soto de Ribera power plants.
The European Commission’s plan could give Asturias’ coal plants a second life, but it could be very detrimental to the large Asturian industry. Reactivation of coal plants will increase the demand for CO2 emission rights, which could increase their prices. In its latest environmental report released last week, ArcelorMittal has already listed the increase in the cost of emissions rights as one of the factors that “has the greatest impact on the sustainability of the business.” A new surge could be fatal at a time when the multinational considers plant closures in Spain “inevitable” due to the current electricity price.
Azerbaijan stands as an option for Russia and will double the gas it sends to the EU
Faced with the Russian threat, Brussels has been negotiating for months with other gas-producing countries to try to replace Moscow as the supplier of this energy source. Last March, it signed an agreement with the US to increase shipments by another 15,000 million cubic meters this year; It was Norway that signed a memorandum to import liquefied natural gas with Egypt and Israel in May, and promised to increase its deliveries in June. Since yesterday, the European Union (EU) has been adding one more step to its “reliable” allies to remain energy-free from the Kremlin as soon as possible: Azerbaijan. According to the agreement announced from Baku by European Commission President Ursula von der Leyen, the former Soviet republic will multiply the supply to the EU, reaching at least 20,000 million cubic meters per year compared to 8,100 million cubic meters in 2021. On the other hand, the International Energy Agency (IEA) yesterday urged Europeans to reduce gas consumption because the measures taken so far are “inadequate”, even if Russia restores supply via the Nord Stream 1 gas pipeline this summer. not insured. IEA Executive Director Fatih Birol said Europe now needs to do “everything it can” to reduce the risk of cuts and rationing during the winter months, when “its most vulnerable citizens cannot live without it”. energy transition. To do this, Birol proposes five action points. The first is to set up gas auction platforms to spur a reduction in industry demand. The second is to minimize gas consumption to generate electricity, for example by temporarily resorting to coal, oil and nuclear power plants as an alternative. Third, greater coordination among energy operators in Europe to reduce consumption peaks, since gas power plants are mostly used to generate electricity at that time. Fourth, reducing the consumption of individuals with air conditioning standards and controls that administrations should set an example. And fifth, the IEA calls for the harmonization of contingency plans at national and European level.