Commenting on reports that the Carmichael mine has been given the final go ahead from the Adani’s Indian Parent, Adani Enterprises Ltd Tim Buckley, Director of Energy Finance Studies, Australasia for IEEFA said:
Commenting on President Donald Trump’s decision to pull the United States out of the Paris agreement, Tim Buckley, Director of Energy Finance Studies Australasia at Institute for Energy Economics and Financial Analysis (IEEFA) said: “The Paris Climate Agreement is a critical historic milestone, and the result has been an acceleration in investment activity, renewable cost deflation and technology development that has reached critical mass.
Tim Buckley, Director of Energy Finance Studies, Australasia for Institute of Energy Economics and Financial Analysis: The latest political manoeuvrings by Adani has wedged the Queensland government into conceding a massive taxpayer funded $575m loan in the form of a royalty deal. This is yet another taxpayer subsidy to a foreign billionaire, alongside the Federal Government’s Northern Australia Infrastructure Facility (NAIF)’s $900m. However, after seven years of talking, Adani Enterprises has not demonstrated how it intends to reach a legally binding, fully funded “Financial Close” on the Carmichael proposal.
Press reports that Adani Enterprises has deferred its investment decision on its Carmichael coal proposal due to the Queensland Government having failed to grant yet another subsidy, again shows this project is not commercial and is unbankable without public subsidies.
The cancellation of 13.7GW of Indian coal power projects in May 2017, coupled with a record low solar tariff of 2.44 Rupees/Unit (0.038USD/kWh), are the strongest indications yet that an energy transformation in India is gaining rapid momentum with the endorsement of global capital markets.
India overnight finalised a new SECI auction at the Bhadla solar park in Rajasthan with the award of a power tariff at a record low Rs2.62/kWh (US$40/MWh), 12% below the previous record low Rewa solar tariff awarded only just three months ago. This is a very significant milestone in India’s commitment to energy security and increased diversity of mostly domestic sourcing of new generation capacity.
Tuesday 20 December 2016: India’s new draft National Electricity Plan for the two five year periods to 2027 unambiguously concludes that beyond the half-built plants already under construction, India does not require any new coal-fired power stations.