Climate Risk

IEEFA Research

IEEFA U.S.: Texas confronts decline in oil and gas industry

IEEFA U.S.: Texas confronts decline in oil and gas industry

Analysis of long-term trends indicates slower growth, fewer jobs and lower tax contributions

July 28, 2021 (IEEFA) ⎼ Texas policymakers, regulators and public opinion have long held that “what’s good for oil is good for Texas.” But Texas’s economy has become more broad-based and the oil and gas sector’s proportionate contribution has declined. State leaders face a new set of facts on the ground about the future of […]

IEEFA Australia: AGL Energy has lost over 70% of its market value, destroying A$12 billion in shareholder wealth

IEEFA Australia: AGL Energy has lost over 70% of its market value, destroying A$12 billion in shareholder wealth

It’s an (expensive) sorry tale when companies ignore shareholders and continue to invest in fossil fuels

22 July 2021 (IEEFA Australia): In failing to realise its early green ambition AGL Energy, one of Australia’s biggest electricity generators and retailers wiped over 70% off its market value in just four years, destroying A$12 billion in shareholder wealth, finds a new report by the Institute for Energy Economics and Financial Analysis (IEEFA). Author […]

IEEFA: Global investors are moving away from the massive climate-related risks associated with fossil fuels

IEEFA: Global investors are moving away from the massive climate-related risks associated with fossil fuels

Top debt and equity investors committed over $300 billion in 2020 into building renewable energy capacity

19 July 2021 (IEEFA Australia): Despite the economic disruption from COVID-19, top global debt and equity investors are continuing to drive capital into the renewable energy infrastructure sector due to its consistency in providing investment opportunities, finds a new report from the Institute for Energy Economics and Financial Analysis (IEEFA). “Global investors are accelerating their […]

IEEFA: Indonesia’s state-owned utility PLN’s 2060 net zero ambition not without flaws and gaps

IEEFA: Indonesia’s state-owned utility PLN’s 2060 net zero ambition not without flaws and gaps

Indonesia on the right emissions reduction pathway but same old coal stories persist

25 June (IEEFA Indonesia):  Recent announcements by Indonesia’s state-owned utility company Perusahaan Listrik Negara (PLN) to achieve carbon neutrality by 2060 must be met with caution and scrutinized as the numbers don’t stack up, according to a new report from the Institute for Energy Economics and Financial Analysis (IEEFA). The report’s authors IEEFA energy finance […]

IEEFA: Vanguard funds destroy shareholder wealth with US$290bn in fossil fuels creating a 5.6% performance drag

IEEFA: Vanguard funds destroy shareholder wealth with US$290bn in fossil fuels creating a 5.6% performance drag

A global laggard that has minimal transparency, is passive on climate, and is abrogating its fiduciary duty to best manage risk for investors

22 June 2021 (IEEFA Australia): Vanguard Group, the world’s second largest asset manager, is leaving its investors to face profound wealth destruction risks as the world’s largest investor in fossil fuels, all while insisting climate change is a priority for the company, finds a new report by the Institute for Energy Economics and Financial Analysis […]

IEEFA: A loss of excise tax revenue should not stall the uptake of electric vehicles in Australia

IEEFA: A loss of excise tax revenue should not stall the uptake of electric vehicles in Australia

More pragmatic focus would be incentivising industry and modernizing the grid

8 June 2021 (IEEFA Australia): A new tax on EV users is unnecessary as the Australian (Commonwealth) government is well placed to deal with the potential revenue impact of the inevitable move to electric vehicles, finds a new briefing note by the Institute for Energy Economics and Financial Analysis (IEEFA). Global automotive manufacturers have committed almost […]

IEEFA: Chinese regulators urged to tighten rules for carbon neutral bonds

IEEFA: Chinese regulators urged to tighten rules for carbon neutral bonds

Bond proceeds going to coal-dominated state-owned enterprises – ESG investors beware

1 June 2021 (IEEFA): China’s carbon neutral bonds fail to restrict the use of funds to green projects and are adding to the working capital of coal-dominated state-owned enterprises (SOEs), according to a new briefing note from the Institute for Energy Economics and Financial Analysis (IEEFA) which calls for deeper reforms to green finance standards […]

IEEFA U.S.: Investors hesitate to fund San Juan Generating Station CCS retrofit

IEEFA U.S.: Investors hesitate to fund San Juan Generating Station CCS retrofit

Enchant Energy’s carbon capture project is significantly behind schedule as it struggles to secure investors

May 27, 2021 (IEEFA) – Enchant Energy and the City of Farmington have failed to convince potential investors that retrofitting New Mexico’s San Juan Generating Station for carbon capture is financially viable, according to a report from the Institute for Energy Economics and Financial Analysis (IEEFA).  The project, which has yet to secure the funds […]

IEEFA: Carbon capture goals miss the mark at Boundary Dam 3 coal plant

IEEFA: Carbon capture goals miss the mark at Boundary Dam 3 coal plant

Carbon capture at SaskPower’s Boundary Dam 3 facility falls far short of projections

April 20, 2021 (IEEFA) — An announcement by a Canadian power company that it’s met carbon capture goals shouldn’t be taken at face value, according to a briefing note released today by the Institute for Energy Economics and Financial Analysis. SaskPower, the operator of the Boundary Dam 3 coal plant, said March 31 that its […]

IEEFA U.S.: Energy transition to renewables likely to accelerate over next two to three years

IEEFA U.S.: Energy transition to renewables likely to accelerate over next two to three years

Coal, gas set to become biggest losers as renewable generation climbs quickly

March 31, 2021 (IEEFA) — The speed and scope of the energy transition to renewables will pick up pace over the next two to three years, according to the Institute for Energy Economics and Financial Analysis’ U.S. Power Sector Outlook 2021. Solar and battery storage adoption is enjoying almost exponential growth, and wind and solar […]

More News and Commentary

Private equity-backed firm files plan for massive Maryland wind farm

Bloomberg ($): US Wind Inc. has submitted a bid to Maryland regulators to build a massive wind farm off the state’s shoreline, the latest proposal for such projects off the East Coast and a potential step closer to the Biden administration’s goal of eliminating carbon emissions from power plants. The Momentum Wind farm would include […]

August 4, 2021 Read More →

Appeals court orders FERC to reconsider ruling on Texas LNG projects

S&P Global Platts ($): The US Court of Appeals for the District of Columbia Circuit has found fault with the Federal Energy Regulatory Commission’s climate and environmental justice reviews for the Rio Grande LNG and Texas LNG projects, planned in the Brownsville, Texas, area, and has remanded to FERC the orders authorizing the projects. The […]

August 4, 2021 Read More →

UK renewables out-generated fossil fuels for first time in 2020

Renew Economy: Renewable energy sources across the United Kingdom generated more electricity in 2020 than fossil fuels, a first for the country amidst a year which saw an unprecedented drop in energy demand due to the global Covid-19 pandemic. The UK Department for Business, Energy & Industrial Strategy (BEIS) last week published its annual energy […]

August 4, 2021 Read More →

Major Philippines bank announces 2033 coal financing exit

Philippine Daily Inquirer: Ayala-led Bank of the Philippine Islands (BPI) aims to stop by 2033 all lending to coal-fired power projects—which form 45 percent of its current power generation portfolio—and channel more funds to renewable energy projects moving forward. BPI, which is celebrating its 170th anniversary this year, has identified sustainability among its four key […]

August 4, 2021 Read More →

Indonesia plans launch of largest floating solar project in Southeast Asia

Reuters: Indonesia will begin work on a 145 megawatt (MW) floating solar power project, the largest in Southeast Asia, after state power utility Perusahaan Listrik Negara (PLN) and Masdar of United Arab Emirates agreed financing for the project on Tuesday. Indonesia aims to have 23% of its energy from renewable sources by 2025 and the […]

August 4, 2021 Read More →

Renewable investments hit record levels in first half of 2021

Bloomberg ($): Investors poured more money than ever into renewable energy in the first half of the year, but the pace is far from enough to sufficiently curb increasing carbon emissions. As much as $174 billion was spent on solar, offshore wind and other green technologies and companies in the period, according to data from […]

August 4, 2021 Read More →

Finance firms, ADB drafting plan to close Asian coal plants early

Reuters: Financial firms including British insurer Prudential, lenders Citi and HSBC and BlackRock Real Assets are devising plans to speed the closure of Asia’s coal-fired power plants in order to lower the biggest source of carbon emissions, five people with knowledge of the initiative said. The novel proposal, which is being driven by the Asian […]

August 4, 2021 Read More →

Retirements to cut US coal plants by half of 2015 levels within 15 years

S&P Global Market Intelligence ($): Based on already planned and announced retirements, less than half of the U.S. coal-fired power generation capacity that existed at the start of 2015 will remain online by 2035, a new S&P Global Market Intelligence analysis shows. Utilities are rapidly closing coal-fired power plants, and while 2020 and 2021 offer […]

August 2, 2021 Read More →

Entergy proposes natural gas/hydrogen power plant in Texas

Reuters: U.S. electric company Entergy Corp (ETR.N) wants to build a power plant in Texas capable of burning a combination of natural gas and hydrogen as more consumers seek to transition from dirty fossil fuels to carbon-free sources of energy. This is just one of several hydrogen projects that U.S. utilities are developing. But before […]

August 2, 2021 Read More →

TVA demolishes Tennessee’s oldest coal-fired power plant

The Tennessean: A 600-foot-tall smokestack and other equipment at Tennessee’s oldest coal-fired power plant was demolished to make way for lower-emission energy technology on Saturday morning.  The Tennessee Valley Authority imploded the dormant exhaust equipment and ten boilers at the former Johnsonville Fossil Plant. The coal plant operated from 1951 to 2017 in New Johnsonville. […]

August 2, 2021 Read More →