Commentary

IEEFA Extra: Why Coal Bailouts Won’t Work

IEEFA Extra: Why Coal Bailouts Won’t Work

'Inexorable' Market Forces Have Taken Root

“Anyone who watches the energy markets knows the coal industry is in serious trouble. The political rhetoric around the energy markets is higher than it’s been for years, if not decades. The truth of the matter is that nothing can reverse the market forces that are pushing coal into further decline … there’s really no […]

Read More →
IEEFA Op-Ed: 5 reasons Puerto Rico’s Electric Debt Deal Is a Rip-Off

IEEFA Op-Ed: 5 reasons Puerto Rico’s Electric Debt Deal Is a Rip-Off

Still Time and Space to Keep This Ruinous Scheme From Proceeding

The new debt proposal announced by Gov. Ricardo Roselló for the Puerto Rico Electric Power Authority (PREPA) and its bondholders on April 6 will make an already untenable economic situation for the island’s residents and businesses even worse. The electric system’s $9 billion debt is only one piece of Puerto Rico’s overall debt of $72 […]

Read More →
IEEFA Update: An Increasingly Cursed Australian Coal Project
and

IEEFA Update: An Increasingly Cursed Australian Coal Project

Bad Financials, Weak Markets, Policy Headwinds, Social-License Issues, Transparency Questions, Climate Risk: The Many Afflictions Hobbling the Proposed Carmichael Mine

update on Adani’s long-festering coal mine project in northern Queensland that plumbs the depths of the Indian conglomerate’s financials and finds them vastly insufficient for the supposed job at hand. Our report— “Adani: Remote Prospect: Carmichael Status Update 2017”—follows on previous work we’ve done around what would be the biggest new coal mine in the […]

Read More →
IEEFA Research Brief: Coal in Decline, Blow by Blow

IEEFA Research Brief: Coal in Decline, Blow by Blow

Plant Closings and the Likely Effects on Specific Companies and Mines

We’ve published a research brief today that presents an expansive snapshot of a moving target: the decline in U.S. coal-fired generation nationally. As global energy markets continue to undergo rapid transformation, change has swept the U.S. as well. Our brief—“U.S. Coal Phase-out, Blow by Blow: Plant Closings and the Likely Corresponding Effect on Specific Companies […]

Read More →

IEEFA Update: Exxon Sends Investors Down a Russian Rabbit Hole

Well-Timed Ploy to Divert Attention From Balance-Sheet Rot Eating Away at World’s Biggest Oil Company; Public Relations Plum for Putin; Another Blow to Shareholders

News comes today that ExxonMobil is applying for a U.S. government waiver on sanctions against the Kremlin that are keeping the company from developing new oil reserves in Russia. The sanctions in question, imposed in response to Russia’s annexation of Crimea in 2014, specifically forbid U.S. corporate deals with Rosneft and specifically named the head of the […]

Read More →
IEEFA Update: Even Without Tax Credits, Prices for U.S. Wind and Solar Are on a Downward Slope

IEEFA Update: Even Without Tax Credits, Prices for U.S. Wind and Solar Are on a Downward Slope

By the Early 2020s, Unsubsidized Wind and Solar Prices Will Beat the Variable Costs of Operating Coal and Natural Gas Plants

Wind and solar power purchase agreement (PPA) prices have declined dramatically in recent years, establishing a trend that continues. The levelized prices for power from utility-scale solar projects (5 MW and larger) declined by 73 percent from a capacity-weighted average of $154.20 levelized (in real $2015 dollars) in 2009 to an average of $41.10 per […]

Read More →

IEEFA Europe: Offshore Wind Costs Maintain Falling Trend

Competitive Auctions Are Causing Developers to Drop Their Expectations for Government Subsidies

Europe achieved its lowest-ever bid for an offshore wind power project last week in a German auction in the North and Baltic Seas, an event that backs up a recent trend of cost reductions. Germany’s first so-called “reverse auction” for offshore wind shifts away from a feed-in tariff schemes in an approach intended to drive […]

Read More →

IEEFA Investor Memo ExxonMobil (XOM): Company Is an ‘Outlier’ in How It Reports Write-offs on Canadian Oil Sands Assets

Loss Accounting ‘Largely Overlooked by Industry Analysts;’ Full Transparency Could Affect Balance Sheet by $22 Billion

April 17, 2017  (IEEFA.org) – The Institute for Energy Economics and Financial Analysis (IEEFA) today published an investor memo questioning whether ExxonMobil has appropriately accounted for its recent write-off of billions of barrels of Canadian oil sands assets. In “ExxonMobil Investment Note,” IEEFA outlines how ExxonMobil remains the exception in the oil industry in its […]

Read More →
IEEFA Update: Full Retirement of Plant Hammond Remains the Best Outcome for Georgia Ratepayers

IEEFA Update: Full Retirement of Plant Hammond Remains the Best Outcome for Georgia Ratepayers

As Staffing Is Cut by Half, Cost of Operations Remain Uncompetitive

“Economic and market conditions” are the reasons cited by Georgia Power authority this week in announcing it will cut about half the 140-employee staff at the coal-fired Plant Hammond in the Northwest part of the state. Georgia Power, however, is still struggling to accept that the plant ought to be completely shut down, and for […]

Read More →

IEEFA Media Monitor: The Weight of Fact Versus Fiction

As New Energy-Policy Propaganda Spews Forth From Washington, the Truth Finds an Audience Too

While a new regime of Washington policymakers is working hard to—what’s the word, bamboozle/reeducate/distract?—Americans on the energy transition gaining momentum nationally, an informed backlash is taking root. The New Republic has some fun with what’s happening in a piece published yesterday by Emily Atkin that talks about how Scott Pruitt, the new EPA director, chose “for […]

Read More →