news20100114reut6

[Top News] from [REUTERS]

[Green Business]
Ayesha Rascoe
WASHINGTON
Wed Jan 13, 2010 6:06pm EST
U.S. to make decision on Cape Wind by April
WASHINGTON (Reuters) - The U.S. Interior Department said on Wednesday it will issue a final decision by the end of April on a proposal to build the first major U.S. offshore wind farm.

The announcement followed three meetings in which key stakeholders could not reach an agreement to settle their nine-year regulatory struggle over the proposed $1 billion Cape Wind power project off the coast of Massachusetts.

The wind farm would provide electricity to about 400,000 homes, with its tall turbines arranged in a grid pattern in 25 square miles of Nantucket Sound, just offshore of Cape Cod, Martha's Vineyard and Nantucket Island.

Opponents of the plan range from wealthy residents of shoreline communities to native tribes who say their religious ceremonies and cultural traditions depend on a seascape unmarred by wind turbines.

Interior Secretary Ken Salazar said the department will weigh both the renewable energy implications and historical preservation issues related to siting of the project.

A defeat for Cape Wind could be a blow to the Obama administration's push to develop a clean energy economy.

Still, Salazar said he has not yet made a decision on whether to ultimately approve the wind farm application.

"I don't believe that Cape Wind as a stand-alone project will ultimately define the future of wind energy on the Outer Continental Shelf in the Atlantic," Salazar told reporters at a press conference.

Salazar reiterated that the groups still have the option of reaching agreement by March 1 on how to proceed with the project, ending the historical review process.

"I'm not sure that can be accomplished," Salazar said. "There is a tremendous amount of passion around this issue."

If no deal can be reached, Salazar said he will end the review process without an agreement. Ultimately, under either scenario Interior will still have to make the final decision.

"We are very encouraged Secretary Salazar has expressed the need to bring this review to a rapid conclusion and we're confident that when he has the complete record in front of him the public benefits...will far outweigh any negative impacts," said Cape Wind spokesman Mark Rodgers.

Rodgers said an approval for Cape Wind will boost the outlook for the U.S. offshore wind industry.

The department will continue to collect public comments on the project until February 12.

Local native tribes have opposed the construction of the wind farm, arguing the area is significant to their customs and it should be designated a "traditional cultural property."

Various business leaders and politicians have also opposed the power project that would be within view of popular Cape Cod resorts and homes. The late Senator Edward Kennedy, whose family compound is on the Cape, was one noted opponent.

Last week, the National Park Service determined the Nantucket Sound, where the wind farm would be located, is eligible for listing in the National Register of Historic Places. The decision requires the Interior Department to consider any related significant archeological, historic and cultural values when reviewing the permit for Cape Wind.

The meetings held Wednesday were attended by Cape Wind developers, several local tribes, the Massachusetts historic preservation office and other interested parties.

The Cape Wind project in 2001 became the country's first major proposed offshore wind farm. Its developers, Cape Wind Associates LLC, aim to construct 130 towers, which will tower 440 feet above the surface of the Nantucket Sound.

(Reporting by Ayesha Rascoe; Editing by David Gregorio)


[Green Business]
ABU DHABI
Wed Jan 13, 2010 1:53pm EST
Green energy agency set to gain members
ABU DHABI (Reuters) - The International Renewable Energy Agency (IRENA) expects new members to join at its next meeting while China and world top oil exporter Saudi Arabia are to attend as observers, its head said on Wednesday.

IRENA was established last year to promote the development of the renewable energy industry worldwide. To date, 139 nations have joined the global organization which is headquartered in Abu Dhabi, capital of the United Arab Emirates.

"Several non-member nations are coming for the ... meeting next week, including Mexico, Belgium, Kyrgyzstan who may be future signatories," Helene Pelosse, IRENA's interim director-general, told reporters.

China and Saudi Arabia would attend as observers, she added.

The United States joined IRENA last year as part of efforts by the administration of President Barack Obama to develop a new energy policy.

China's top envoy to the Copenhagen climate talks said earlier this month that Chinese negotiators had achieved their goal at the summit in ensuring financial aid for developing nations was not linked to external reviews of China's environmental plans.

Britain, Sweden and other countries have accused China of obstructing the climate summit, which ended last month with a non-binding accord that set a target of limiting global warming to a maximum 2 degrees Celsius but was scant on details.

IRENA, which seeks about a three-fold increase in consumption of green energy by 2050, has launched its first renewable energy project in the Pacific island nation of Tonga, Pelosse said.

(Reporting by Stanley Carvalho; editing by Firouz Sedarat)


[Green Business]
WASHINGTON
Wed Jan 13, 2010 1:20pm EST
U.S. government ditches transportation funding limits
WASHINGTON (Reuters) - The Obama administration is broadening the standards for how the U.S. government funds public transportation projects in order to disburse money quickly and improve the environment.

"We want to base our decisions on how much transit helps the environment, how much it improves development opportunities and how it makes our communities better places to live," Transportation Secretary Ray LaHood said in announcing the change on Wednesday.

The Bush administration began using a formula in 2005 to approve projects that chiefly relied on commute times and costs, according to LaHood's agency.

In a speech to the Transportation Research Board, LaHood promoted the idea of "livability," or combining transportation options with urban development plans to make it easier for people to move through their towns while lessening the impact on the environment.

LaHood said the budgeting change will give the green light to popular streetcar projects and will strengthen relationships among the Transportation and Housing departments and the Environmental Protection Agency.

As part of the livability approach, the federal government will soon award $1.5 billion in economic stimulus funds to "innovative" projects across the country, LaHood said.

He said the government will also award $8 billion in grants soon to lay the groundwork for high-speed passenger rail.

"More than 30 rail industry manufacturers and suppliers have promised to establish or expand their base of operations in the United States if they're chosen by the states to build America's new high-speed rail lines," he said.

He pressed Congress to finish work on a job creation bill that includes major investments in transportation. Also known as the second stimulus, the bill passed by the House of Representatives in December would provide additional money for states to cover the costs of improving roads and bridges.

The Senate has yet to take up the legislation.

(Reporting by Lisa Lambert; Editing by James Dalgleish)


[Green Business]
OSLO
Wed Jan 13, 2010 7:07pm EST
"Spectacled flowerpecker" bird found in Borneo
OSLO (Reuters) - Scientists have found a new species of bird in Borneo, the "spectacled flowerpecker", and expressed the hope on Thursday that the discovery would help spur conservation of the island's threatened forests.

The small bird, grey with white stripes, was spotted in June 2009 on flowering mistletoe in the Malaysian part of Borneo by a group including biologist David Edwards of Leeds University in England.

"We hope the announcement of our discovery will lead to our ultimate goal: conservation of the new species and large tracts of its habitat, which is under threat from clearance for oil palm agriculture," he said in a statement.

"This discovery shows once more how little is known about the diversity of life on our planet," said Jean-Christophe Vie, Deputy Director of the Species Program of the International Union for Conservation of Nature (IUCN).

This year is the U.N.'s International Year of Biodiversity, trying to protect animals and plants from threats such as loss of habitats to expanding cities, road building, climate change and introductions of alien species.

(Writing by Alister Doyle, editing by Tim Pearce)

news20100114reut7

[Top News] from [REUTERS]

[Green Business]
Wojciech Moskwa
OSLO
Thu Jan 14, 2010 8:13am EST
Most Norwegians want Arctic drilling study: survey
OSLO (Reuters) - An industry-backed survey published on Thursday shows most Norwegians favor an impact study that could pave the way to open a pristine, fish-rich Arctic area to oil activities and prolong Norway's energy boom.

The oil industry says the waters near the Lofoten and Vesteraalen islands in the Arctic now have the most prospects off Norway and must be tapped to prolong the North Sea state's oil bonanza as output from mature oilfields declines.

Environmentalists say that any spill in the unspoiled region would be disastrous for its diverse eco-system, which includes unique cold water reefs, pods of sperm whales and killer whales, some of the largest seabird colonies in Europe as well as being the spawning grounds of the largest cod stock in the world.

A number of opinion polls over past months suggest that Norwegians are split nearly down the middle on Arctic drilling and the issue was a major theme in last year's general election.

The survey by pollster Synovate, carried out for the oil industry lobby group OLF, shows that seven out of 10 Norwegians want the authorities to conduct an impact study of how oil and gas exploration would affect the Lofoten region.

"For us, this is a confirmation of our position that the impact assessment is reasonable," OLF chief Gro Braekken said in a statement publishing the results of the survey.

Two small parties in the government -- the Socialist Left and the Center Party -- are against drilling, but the main Labour Party has not yet made up its mind.

Labour awaits the results of seismic scans of the region which indicate the potential size of oil and gas resources to be found. Norway's main trade union LO, Labour's traditional ally, backs the project, saying it could create jobs.

The government is expected make a decision on drilling off the Lofoten and Vesteraalen islands in 2010, although it has vowed not to open up the area until at least 2013.

OIL RICHES VS ENVIRONMENTAL RISKS

Environmentalists said the survey is part of the oil industry's campaign to win over the divided public.

"The survey does not ask the real questions: should drilling happen if all the competent Norwegian scientific bodies advise against it? And is an impact assessment needed when all these scientific bodies already advise against drilling there?" WWF Norway chief Rasmus Hansson told Reuters.

The survey also showed that eight out of 10 Norwegians believe the oil and gas industry will have great significance for development in northern Norway, which has large fishing and tourism sectors.

The survey, conducted on December 1-11 on a representative sample of 1,307 adult Norwegians, shows that 85 percent of the population have a very good or fairly good impression of the oil and gas industry. Almost as many believe the industry has given Norwegians increased standard of living.

Norway invests most of its oil and gas revenues in an offshore wealth fund, which has grown to around $450 billion.

The funds are earmarked for pension payouts when oil and gas production winds down, giving Norwegians security about their future welfare and a tangible benefit from oil exploration.

The oil and gas sector accounts for about a quarter of Norway's GDP, a third of government revenues and half of the affluent Nordic country's exports.

Norway's oil output has dipped to 2 million barrels a day from highs around 3.5 million early last decade, but gas output has risen. Present forecasts show production tapering off slowly over the next decades unless major new resources are tapped.

Exploration drilling in past years has not proven any "elephant sized" fields off Norway, although a number of interesting finds were proven near existing North Sea platforms, which may make developments cheaper and easier to bring on line.

(Editing by Anthony Barker)


[Green Business]
Duncan Miriri
NAIROBI
Thu Jan 14, 2010 8:09am EST
Kenya plans open-ended green energy fund: government
NAIROBI (Reuters) - Kenya plans to launch an open-ended green energy fund in the next fiscal year to step up generation of environmentally friendly energy, a senior government official said on Thursday.

A reliance on hydro dams for electricity in east Africa's biggest economy has often led to blackouts whenever rains fail and growing demand has stretched state utility firms and the infrastructure they have installed.

"To address those challenges, we are turning to green energy. Kenya cannot depend on hydro because of our climatic hydrology conditions," Geoffrey Mwau, economic secretary at the Ministry of Finance, told Reuters.

The official said the government was setting up an open-ended fund to help firms and other institutions to generate clean energy and manufacture energy-efficient light bulbs and other appliances.

The fund will lend to viable projects at concessional rates while the second will be a trust fund for training and research in a country that holds huge potential for renewable energy like geothermal, wind and solar.

"The loan facility will provide concessional loans to companies and other institutes that want to invest in green energy," he said, adding the money would be disbursed through approved commercial banks.

Target firms include large electricity consumers like cement makers and other large manufacturers. Athi River Mining, the country's third largest cement maker, is already installing power generation plants.

"The trust fund will help with technical assistance, development project proposals," he said.

The length of the facility is also indefinite, he said, adding the government was likely to commit about 2 billion shillings ($26.52 million) into the fund.

"The facility will be financed by the government of Kenya and a consortium of development partners... There is going to be money for that in the budget for the next financial year," Mwau said.

Donors who have already shown interest include the French International Development Agency, Germany's Kfw, World Bank Britain's DFID, and Japan's JICA, he added.

"Those are in already. They buy the idea. The government of Kenya will contribute at least 10 percent of the facility," the official said.

Mwau said the initiative, which was initially slated for launch by last month before a prolonged drought caused its delay, would help the country add 2,00O MW of electricity by 2012 besides other benefits.

"We are contributing to the reduction of greenhouse gases emissions so some of these projects will even earn carbon credits," he said.

He added the fund also had the potential to create jobs and improve the lives of the urban poor through their involvement in collecting refuse for energy generation.

"Using biomass and other solid waste, we can generate up to 600 MW in Nairobi," he said.

($1=75.40 Kenyan Shilling)

(Editing by Ron Askew)

news20100114reut8

[Top News] from [REUTERS]

[Green Business]
Wendell Roelf
CAPE TOWN
Wed Jan 13, 2010 12:26pm EST
S.Africa to introduce new car tax despite concerns
CAPE TOWN (Reuters) - South Africa's National Treasury will press on with plans to introduce a new tax on vehicles designed to curb carbon dioxide emissions, an official said Wednesday, despite concerns this could hamper the ailing auto sector's recovery.

The motor industry is struggling to get back on its feet after being been hit by the global economic crisis and depressed local demand which saw new vehicle sales fall to 6-year lows in 2009.

The new tax, mooted last February, is part of government efforts to limit greenhouse gas emissions as well as increase tax revenues that have declined sharply as Africa's economy grappled with its first recession in 17 years, which it exited in Q3 2009.

"The adjusting of existing ad valorem excise duties on motor vehicles to take CO2 emissions into account will still be implemented on 1 March 2010," said Treasury spokeswoman Thoraya Pandy Wednesday.

The National Association of Automobile Manufacturers (NAAMSA), says it accepts the new tax in principle, but its early timing could hinder recovery prospects for struggling auto makers.

AUTO INDUSTRY COULD LAPSE BACK INTO RECESSION

"The industry is currently emerging from one of the deepest and most severe recessions in its history and the introduction of additional taxes ... could, if they are too punitive, result in the industry lapsing back into recession," said NAAMSA director Nico Vermeulen.

Additional taxes usually meant higher prices, which could knock sales volumes and curb job creation, he added in an emailed response to questions from Reuters.

Car makers BMW, Ford, General Motors, Daimler, Nissan Motor Co. Ltd, Toyota Motor Corp. and Volkswagen all have manufacturing plants in South Africa.

The unavailability of cleaner fuels is also a concern for manufacturers, who cannot bring in new less-polluting engines because the proper fuel for those is not yet sold in South Africa.

South Africa currently only conforms to Euro 2 engine emissions levels, whereas many of the newer vehicles already have Euro 5 compliant engines, Vermeulen said.

"Vehicle producers and importers are presently constrained, as a result of the unavailability of Euro IV/Euro V enabling fuel in South Africa, in offering latest highly fuel efficient products to the domestic market," he said.

Vermeulen said the South African motor industry and oil industry were involved in extensive research and negotiations to fast-track the introduction of the new fuels locally by 2012.

"It is NAAMSA's view that the introduction of CO2 new car taxes and the introduction of Euro IV enabling fuel in South Africa should go hand in hand," he said.

(Editing by Toby Chopra)


[Green Business]
LONDON
Wed Jan 13, 2010 6:07pm EST
Britain confident of climate deal in Mexico: report
LONDON (Reuters) - Britain is confident of reaching a legally binding climate agreement by the end of the year in Mexico, British Energy and Climate Change Secretary Ed Miliband said at an event for UK industry on Wednesday evening.

"I am confident we can get an agreement as we have made a lot of progress over the last year," Miliband said, responding to a question from Reuters whether a deal can be reached in Mexico in November this year.

"We are trying to get consensus from 192 countries from very different places to be part of an agreement. That is tough and that's what Copenhagen showed," he added.

A U.N. climate summit in Copenhagen in December merely noted a non-binding accord on broad principles, without commitments to binding greenhouse gas emissions cuts.

Talks ended with a bare-minimum agreement that fell far short of its original goal of forging a replacement for the climate-protecting Kyoto Protocol when it expires in 2012.

"It was definitely a disappointment. We wanted a tract to a legal treaty," Miliband said, referring to the summit.

"But the year itself was a success. I genuinely believe the world moved in the course of the year in a way it wouldn't have done without the coalition that was assembled."

Miliband said the course to a legally binding agreement will be tough, with "bumps" along the way. A January 31 deadline for countries to commit to emissions cuts is fast approaching.

"We have to broaden, strengthen and deepen the agreement. Broaden it because we only have representatives from around 50 countries signing up. It is very important that we broaden the number of countries involved," Miliband said.

"We need not only commitments on the January 31 but we need those commitments ratcheted up during the course of the year."

European Union environment ministers will seek a strategy for reviving global climate talks at a meeting in Spain this week.

Miliband said developing countries have a lot to gain from signing up to a legally binding pact.

"For some developing countries, a legal treaty felt like a bridge too far. Personally, I feel we can convince them they have less to fear but more to gain from the assurance of a legal agreement."

(Reporting by Nina Chestney; Editing by Marguerita Choy)


[Green Business]
Pete Harrison and Martin Roberts
Wed Jan 13, 2010 12:28pm EST
Europe mulls deeper emissions cuts, deadline looms
BRUSSELS/MADRID (Reuters) - European Union environment ministers will seek a strategy for reviving global climate talks at a meeting in Spain this week, after a U.N. meeting in Copenhagen last month ended in failure.

A U.N. deadline is looming for countries to commit to emissions cuts as part of the U.N. process, and EU diplomats expect the bloc to make the lowest bid in its range of options.

The talks in the Danish capital last month ended with a bare-minimum agreement that fell far short of its original goal of forging a replacement for the climate-protecting Kyoto Protocol when it expires in 2012.

"Let's face it, it was not what we wanted," European Commission President Jose Manuel Barroso told a conference in Brussels on Tuesday.

The EU has pledged to cut emissions to 20 percent below 1990 levels over the next decade. But it also promised ahead of Copenhagen that the bloc would deepen those cuts to 30 percent if other industrialized countries took similar steps.

Low ambitions all round at Copenhagen mean that the EU is unlikely to take any unilateral step to 30 percent, diplomats say. Singapore has also opted for the lower of its options in the wake of Copenhagen.

MELTING ICE-SHEET

Spain, which holds the EU's rotating presidency, will seek consensus at the meeting of environment ministers in Sevilla on Friday.

"One of the points to be discussed at the Council of Ministers is... whether we stay with 20 percent or of course take a quantitative leap based on comparable efforts," said Spanish environment minister Elena Espinosa.

"In Spain we have always defended it (the 30 percent target), but I would like to say that right now we must be prudent due to the role we play as EU presidency," she told Reuters in an interview on Wednesday.

Environmentalists argue that as a result of the economic crisis, European emissions have already fallen to within easy reach of the 20 percent cut.

"The target is actually so low that the EU would have to try very hard not to meet it," said Joris den Blanken of Greenpeace.

Ahead of the meeting in Sevilla, European ambassadors convened in Brussels on Wednesday to contemplate a Copenhagen agreement that will fail to keep climate change from entering dangerous territory.

"The offers known in Copenhagen did not add up to what is required by science in order to stay within the 2 degrees (Celsius) objective," said a document for the Brussels meeting.

The pledges that were on the table at Copenhagen would lead to around 3.5 degrees of climate warming by the year 2100, said climate scientist Stefan Rahmstorf of Germany's Potsdam Institute for Climate Impact Research.

"If we go to a world of 3.5 degrees, it is very likely we will destabilize the Greenland Ice-sheet in a way that cannot be stopped," he told reporters on Wednesday. "The Greenland Ice-sheet alone could raise sea levels by 7 meters."

(Reporting by Pete Harrison in Brussels and Martin Roberts in Madrid, additional reporting by Paul Taylor)