Canada

IEEFA Research

IEEFA U.S.: FERC gives blank check approval to pipeline builders, while investors and consumers pick up costs

IEEFA U.S.: FERC gives blank check approval to pipeline builders, while investors and consumers pick up costs

Commission’s 21-year-old pipeline policy puts contracts ahead of utility customers

December 17, 2020 (IEEFA) — The federal agency responsible for approving interstate gas pipeline projects is basing its decisions on contracts rather than on today’s consumer energy needs or the public interest, according to a report released today by the Institute for Energy Economics and Financial Analysis. The report—FERC’s Failure to Analyze Energy Market Forces—details […]

IEEFA: From zero to fifty, global financial corporations get cracking on major oil/gas lending exits

IEEFA: From zero to fifty, global financial corporations get cracking on major oil/gas lending exits

Accelerating divestment from oil and gas shows similar early trends to global financial institution’s exit from coal

20 October 2020 (IEEFA): Fifty globally significant financial institutions have introduced policies restricting oil sands and/or oil and gas drilling in the Arctic including 23 to date this year, highlighting global capital continues to flee fossil fuels, according to a new tracker developed by the Institute for Energy Economics and Financial Analysis (IEEFA). “Momentum is […]

IEEFA: Canadian assessment of LNG ‘rising tide’ would drown balance sheets in red ink

IEEFA: Canadian assessment of LNG ‘rising tide’ would drown balance sheets in red ink

Hope springs eternal for Chinese demand but reality suggests bleak forecast for new projects

October 19, 2020 (IEEFA)— The Conference Board of Canada, an Ottawa-based research organization, has doubled down on a bad hand, according to an analysis by the Institute for Energy Economics and Financial Analysis. The Conference Board’s report, A Rising Tide: The Economic Impact of B.C.’s Liquified Natural Gas Industry, claims an expansion of the British […]

IEEFA: LUMA Energy deal paves way for Puerto Rico regulators to repeat past mistakes

IEEFA: LUMA Energy deal paves way for Puerto Rico regulators to repeat past mistakes

Multiple issues in contract likely to contribute to failure of safe, reliable and resilient grid

October 12, 2020 (IEEFA) ‒ A major contract signed with the LUMA Energy consortium may prevent Puerto Rico from building a safe, reliable and resilient electrical system, according to a new report from the Institute for Energy Economics and Financial Analysis. The deal to operate the island’s grid came in the wake of a series […]

IEEFA: Acuerdo de LUMA Energy allana camino para que los reguladores de Puerto Rico repitan errores pasados

Múltiples problemas en el contrato que pueden contribuir al fracaso de una red segura, confiable y resiliente

12 de octubre de 2020 (IEEFA) – Un importante contrato firmado con el consorcio LUMA Energy puede impedir que Puerto Rico construya un sistema eléctrico seguro, confiable y resiliente,  según un nuevo informe del Instituto de Economía Energética y Análisis Financiero. El acuerdo para operar la red de la isla se produjo a raíz de […]

IEEFA U.S.: Ratepayers face risks with Project Tundra’s retrofit of aging N.D. coal-fired plant

IEEFA U.S.: Ratepayers face risks with Project Tundra’s retrofit of aging N.D. coal-fired plant

Unproven technology funded by federal tax credits unlikely to pay off

September 22, 2020 (IEEFA) — A plan to retrofit an aging coal-fired plant in North Dakota with unproven carbon capture and storage technology is likely to raise rates for customers who get electricity from the Milton R. Young Unit 2 facility, according to a new report from the Institute for Energy Economics and Financial Analysis […]

IEEFA update: T&D agreement for Puerto Rico power grid sets off alarm bells

IEEFA update: T&D agreement for Puerto Rico power grid sets off alarm bells

Fails to include accountability mechanisms for meeting cost, labor, and green energy goals, Sanzillo tells U.S. House Committee

August 4, 2020 (IEEFA U.S.) – In testimony submitted to the U.S. House Committee on Natural Resources, IEEFA’s director of finance Tom Sanzillo warned of significant problems with a recent agreement for LUMA Energy to take over transmission and distribution (T&D) of Puerto Rico’s electric power grid. The agreement fails to address three major challenges, […]

IEEFA report: China unlikely to come to rescue of overbuilt U.S. LNG industry

IEEFA report: China unlikely to come to rescue of overbuilt U.S. LNG industry

Falling prices and shrinking demand constrain market, even before coronavirus crisis

July 29, 2020 (IEEFA) — A rebound of the ailing U.S. liquefied natural gas (LNG) industry isn’t likely to come from Chinese demand, according to a new study by the Institute for Energy Economics and Financial Analysis (IEEFA). Global LNG markets have been hammered by collapsing prices, falling consumption, and an enormous supply glut in […]

IEEFA Australia: Carbon capture and storage is a poor investment

More money and emissions spent on projects than in storing carbon

2 July 2020 (IEEFA): Australia is pondering carbon capture and storage despite poor outcomes from the only two projects operating world-wide and a lack of revenue generated in lieu of a carbon price, finds a new IEEFA briefing note. Author of the note Clark Butler says from a financial perspective, carbon capture and storage (CCS) […]

Press release: IEEFA statement on Teck Resources decision to withdraw Frontier Mine proposal

February 24, 2020 – Tom Sanzillo, Director of Finance for the Institute for Energy Economics and Financial Analysis (IEEFA), made the following statement today on Teck Resources’ decision to withdraw its proposal to build the Frontier oil sands mine in Alberta: “Teck’s leadership has acknowledged that conditions have changed, and the $20 billion Frontier project […]

and February 24, 2020 Read More →

More News and Commentary

IEEFA: Is oil giant Total an emerging leader of the energy transition?

Shows how to pivot from an oil company to an energy company

Last summer, French oil and gas giant Total SE announced a $7 billion impairment charge for two Canadian oil sands projects. This might have seemed like an innocuous move, merely an acknowledgement that the projects hadn’t worked out as planned.  Yet it opened a Pandora’s box that could change the way the industry thinks about […]

Hydro-Quebec, Thyssenkrupp team up on major green hydrogen project

H2 View: Thyssenkrupp Uhde Chlorine Engineers’ Green Hydrogen product division will install an 88-megawatt (MW) water electrolysis plant, capable of producing 11,100 metric tonnes of green hydrogen annually, for Canadian energy company Hydro-Québec. Announcing the contract today (18th Jan), Thyssenkrupp said the plant is to be located in Varennes, Québec, and will be one of […]

January 19, 2021 Read More →

Canada Infrastructure Bank to fund 250MW battery storage project, country’s largest

S&P Global Market Intelligence ($): The Canada Infrastructure Bank has agreed to help Six Nations of the Grand River Development Corp. and NRStor Inc. develop the nation’s largest electricity storage facility. The Oneida Energy Storage project would have capacity of 250 MW/1,000 MWh to provide backup power in southwestern Ontario, according to a press release […]

January 13, 2021 Read More →

Desjardins, largest financial cooperative in North America, to stop coal industry investments

Bloomberg: Desjardins Group, the largest financial co-operative in North America, said it will almost completely stop financing companies in the coal industry. The Canadian co-op said it won’t provide investments, loans or underwriting for businesses that operate or develop coal mines, plants or infrastructure, according to a statement posted on Friday. It may still work […]

December 22, 2020 Read More →
IEEFA U.S.: FERC gives blank check approval to pipeline builders, while investors and consumers pick up costs
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IEEFA U.S.: FERC gives blank check approval to pipeline builders, while investors and consumers pick up costs

Commission’s 21-year-old pipeline policy puts contracts ahead of utility customers

December 17, 2020 (IEEFA) — The federal agency responsible for approving interstate gas pipeline projects is basing its decisions on contracts rather than on today’s consumer energy needs or the public interest, according to a report released today by the Institute for Energy Economics and Financial Analysis. The report—FERC’s Failure to Analyze Energy Market Forces—details […]

Lloyd’s of London to stop issuing new insurance for coal projects, oil sands and Arctic energy exploration

Reuters: Lloyd’s of London is scaling back its exposure to coal and oil sands, the commercial insurance market said in its first sustainability report on Wednesday, in a reversal of its traditional hands-off approach to climate change strategy. Lloyd’s acts as regulator for around 100 syndicate members, and leaves decisions on underwriting and investment strategy […]

December 17, 2020 Read More →
IEEFA: Repurposing coal plants into solar and battery can pay up to 5 times more than decommissioning
and

IEEFA: Repurposing coal plants into solar and battery can pay up to 5 times more than decommissioning

An economic proposition for coal dominant developing countries

Worldwide, coal plants are grappling with environmental issues and low capacity utilization levels. They have not only become unprofitable to utilities, they are also uneconomical to customers. While retiring end-of-life coal plants can overall be very beneficial, and indeed necessary as finance continues to exit the fossil fuel sector driven by the global energy transition, […]

IEEFA: Dalrymple Bay Infrastructure overvalued, overleveraged, over-promised, likely to under-deliver

IEEFA: Dalrymple Bay Infrastructure overvalued, overleveraged, over-promised, likely to under-deliver

Stock market listing slated for 8 December

Coal port operator Dalrymple Bay Infrastructure (DBI) will commence trading on the Australian Stock Exchange (ASX) on Tuesday 8 December. Under the offer, present owner Brookfield Asset Management (Brookfield) is seeking to raise at least A$656 million, equating to a market value (for 100% of the equity) of A$1.3 billion. If defensible, the valuation would […]

December 7, 2020 Read More →

Bank of Montreal to exit U.S. shale industry

Bloomberg: Bank of Montreal is winding down its U.S. oil and gas investment banking business and will focus on assets in Canada going forward, becoming the latest financial institution to cut ties with America’s beleaguered shale industry. BMO said it has made “the financial decision for an orderly wind-down of our non-Canadian investment and corporate […]

December 2, 2020 Read More →

ExxonMobil to take $20 billion writedown, cut development spending

Bloomberg: Exxon Mobil Corp. is about to incur the biggest writedown in its modern history as the giant U.S. oil and gas producer reels from this year’s collapse in energy prices. Exxon — traditionally far more reluctant to cut the book value of its business than other oil majors — on Monday disclosed it will […]

December 1, 2020 Read More →