Energiser Investments Share Discussion Threads

[misca2] 27/1/2022 13:28

Engie SA and EDP Renovaveis SA's joint venture, Ocean Winds, said Thursday that it has reached a final investment decision on a floating offshore-wind pilot project in the Mediterranean Sea, marking the end of its development phase.

"This major step will allow the signing of contracts with the main industrial and financial partners and the launch of the project's actual implementation phase," the offshore-wind energy company said.

The project, called "EFGL", involves the construction and operation of three 10-megawatt floating wind turbines. The farm is set to be commissioned at the end of next year and will operate for 20 years, Ocean Winds said.



Write to Giulia Petroni at [e-mail]



(END) Dow Jones Newswires

January 27, 2022 07:02 ET (12:02 GMT)

[waldron] 26/1/2022 14:41

SEC-Engie consortium closes $1.2bn Saudi plant refinance deal

RIYADH, 1 hours, 23 minutes ago

Saudi Electric Company (SEC) has announced that its consortium with French and Japanese partners has successfully completed the refinancing of $1.2 billion debt for its combined cycle gas-fired PP11 power plant located 135km west of capital Riyadh.

SEC, which has a 50% stake in Dhuruma Electricity Company, said the deal was closed in September. Its other key consortium partners are Engie (20%) Sojitz (15%) and Al Jomaih Energy and Water (15%).

PP11 is a 1,730MW combined cycle gas-fired power plant located near Dhuruma, about 135km west of the Saudi capital city of Riyadh, which began commercial operations in March 2013.

SEC offtakes the production through a long-term power purchase agreement. The PP11 project originally reached financial close in 2010, raising $1.55 billion of debt, followed by a first partial refinancing in 2016.

Twelve international and local lenders took part in this refinancing: the US dollar denominated tranches are provided by a pool of nine European and Asian commercial banks, while the Saudi Riyals denominated tranches are provided by three local banks.

The refinancing, which demonstrates Engie’s capabilities in structuring large and complex financing transactions, results in optimized terms going forward by bringing down the margin and slightly lengthening the tenor to the benefit of SEC and the shareholders.

In Saudi Arabia, Engie is a lead developer for large IPPs/IWPs as well as it takes equity ownership and acts as operator; the refinancing of PP11 marks an important achievement in ensuring the long term viability of the plant being a reliable power provider to the people of Saudi Arabia.

"Our finance and legal teams have, over the past 18 months, worked closely with the SEC, partners, external counsels and the banks to secure this deal," said a company spokesman.

"Our strong relationships with the banks, favourable market conditions, and the operational track record of the plant were instrumental to the success of the significant refinancing,” he added.-TradeArabia News Service

[waldron] 24/1/2022 02:55

EU’s Imports Of U.S. LNG Five Times Higher Than Russian Supply
By Charles Kennedy - Jan 14, 2022, 9:00 AM CST

So far this month, the European Union has received U.S. natural gas volumes five times higher than Russia’s pipeline deliveries, according to Polish outlet rp.pl, the first time in history in which American LNG has surpassed Russian gas deliveries.

Last month, at least 30 tankers with liquefied natural gas from the United States were headed to Europe, where the gas and energy crisis pushed regional LNG prices way above the Asian LNG benchmark and 14 times higher than the U.S. Henry Hub price.

At the same time, Russian gas deliveries have been lower than usual in recent weeks. Low Russian supply and cold weather have been the two main drivers of rising gas prices in Europe in recent weeks when Russia’s deliveries via Poland and Ukraine have been lower than historical norms.

Low natural gas deliveries from Russia appear to have artificially tightened the European gas market, the International Energy Agency’s Executive Director Fatih Birol said on Thursday, adding that energy systems “face significant risks” by relying too much on one supplier for a key energy source.

“We see strong elements of ‘artificial tightness’ in European gas markets, which appears to be due to the behaviour of Russia’s state-controlled gas supplier,” Birol wrote in a LinkedIn post.

Even with normal winter weather conditions, Europe faces storage inventories dropping to a record low of below 15 billion cubic meters (bcm) by the end of March, Wood Mackenzie said on Thursday.

“Without additional Russian imports, the ability to refill depleted storage and to avoid a repeat of last year’s crisis will be limited. But Gazprom has so far been reluctant to make more gas available on the existing routes. And the start-up of Nord Stream 2 remains the big unknown as Gazprom navigates regulatory approvals. Political relations remain fragile as Russian troops amass along the Ukrainian border,” said Kateryna Filippenko, principal analyst, European gas research, at WoodMac.

By Charles Kennedy for Oilprice.com

[florenceorbis] 23/1/2022 16:51

ENGIE : Taking action together - every day counts! Our new campaign explained…
01/23/2022 | 01:34pm GMT

Between 23 January and 14 February 2022, you'll no doubt spot our TV advertising campaign.



The new campaign reasserts our funky and rock n' roll, it draws its strength from the children's abounding energy. Let's take a closer look.



All about our new campaign

The film, which was made by Vincent Lobelle (Publicis), transports us into the joyful, carefree world of children - for the most part, children of Group employees - who are full of energy and ready to conquer the world. ENGIE uses this positive and cheerful metaphor, to the tune of a Ramones hit, to remind us all of the climate emergency and the Group's commitment to developing renewable, low-carbon energy for everyone (regions, companies, industry, citizens).
Veuillez accepter les cookies "marketing" pour voir cette vidéo.

To demonstrate employee commitment to the energy transition, ENGIE decided to use the children of Group employees for its film. Over a hundred employees came forward to sign up their children for the casting. Ten were chosen to star in the film.



1 film, 4 commitments

Our promotional film shows the energy of a group that wants to accelerate the energy transition. A group committed to Net Zero Carbon and focusing on collaboration… and every day counts when it comes to meeting this great challenge!



Net Zero Carbon

Our aim, presented by our CEO Catherine MacGregor at the Strategic Update on 18 May 2021, it to achieve Net Zero Carbon by 2045. To meet this challenge, we are focusing on our four core businesses: renewable energy, client solutions, networks, and thermal production and energy supply.
Meanwhile, we are accelerating growth in renewables with a target of 80 GW of installed capacity by 2030.



Commitment

Our corporate purpose guides the actions of our 170,000 employees, who are all committed to accelerating the energy transition. Fully aware of the climate emergency, ENGIE employees commit day after day to innovating, designing, creating and delivering low-carbon solutions to our clients.
For this campaign, some of our employees wanted to demonstrate their commitment by involving their children in the film.
Every day counts

The climate emergency is at the heart of all current concerns, and, at ENGIE, we want to reassert our role as an accelerator, to lead the energy transition. We know that every day counts. In fact, our action has been in line with the fight against climate change. Now, more than ever before, we are cutting our carbon footprint: 52% reduction in CO2 emissions in electricity production compared with 2012. In 2020, we helped our clients avoid emissions of 21Mt CO2e. And we're not stopping there! We are stepping up our decarbonisation goal by following a well below 2 degrees climate trajectory to target 45Mt CO2e avoided by our clients by 2030.

[adrian j boris] 21/1/2022 09:01

European Gas Slumps as China Readies to Flood Market With LNG


Wed, January 19, 2022, 3:54 PM·

Elena Mazneva


(Bloomberg) — European natural gas slumped as a top LNG importer in China prepares to flood the market with fuel that could further ease supply concerns in the continent.



Benchmark futures fell as much as 8.9%, tracking weaker prices in Asia. The trading arm of Sinopec is offering to sell dozens of spot liquefied natural gas cargoes this year, according to traders with knowledge of the matter. The move indicates China is well stocked and more gas could come to Europe, helping to ease pressure from its abnormally low inventories and curtailed supplies from top exporter Russia.

Increased LNG arrivals, coupled with milder weather forecasts and recovering Norwegian shipments, are bringing some relief for European consumers from prices that more than tripled last year.


“Gas market sentiment is cautiously bearish this week, driven by tepid demand in Asia and robust LNG imports into Europe,” consultant Rystad Energy AS wrote in a note. “Though the U.S. has eyes on potential weather-related shutdowns in the coming days.”

Dutch front-month gas fell 6.4% to 73.32 euros per megawatt-hour as of 3:53 p.m. in Amsterdam. The equivalent U.K. contract dropped 6.3% to 175.70 pence a therm.

Gas prices in Europe and Asia “have likely peaked already this winter,” Citigroup Inc. analysts wrote in a report this week. That’s “unless a severe cold shot were to hit sometime in the next two months, or geopolitical tensions involving Russia were to escalate substantially.”;

Tensions over Ukraine and the new Nord Stream 2 pipeline from Russia to Germany remain on traders’ radar. Germany said the controversial project would be a target for retaliation if Russia uses energy as a weapon, while Moscow reiterated it has no plan to strike at Ukraine.

[misca2] 19/1/2022 14:00

Masdar, Engie tie with Fertiglobe to co-develop green hydrogen

ABU DHABI, 0 hours, 31 minutes ago

Masdar and Engie, a global player in low-carbon energy and services, have signed a collaboration agreement with Fertiglobe, to co-develop a globally cost-competitive green hydrogen facility in the UAE.

This will have a capacity of as much as 200 megawatts (MW), to support the production of green ammonia.

The strategic alliance aims to capture synergies and complementarities between the partners to establish an ‘early mover’ position in the UAE’s hydrogen market.

By leveraging existing infrastructure, the companies will initially target local supply, with the aim of expanding capacity to create a giga-scale green hydrogen hub for the GCC, with the potential to export to other markets.

The alliance will also explore opportunities to develop projects in other geographies.

The three companies will study the development, design, financing, procurement, construction, operation, and maintenance of an industrial-scale and globally cost-competitive green hydrogen facility in Al Ruwais, Abu Dhabi, to be installed near Fertiglobe’s ammonia production plants, with a potential capacity up to 200 MW.

The facility is targeted to be operational in 2025, with Fertiglobe the sole long term off-taker.

Fertiglobe, the largest producers of nitrogen fertilisers and ammonia in the Middle East and North Africa, with a combined production capacity of 6.7 million tonnes of urea and merchant ammonia, will use the green hydrogen to produce green ammonia, supporting its ambitions to be a global leader in this sector.

Fertiglobe is targeting a front-runner position in green ammonia production by 2025 in the UAE and is investing in a number of initiatives to produce low and zero-carbon ammonia.

The collaboration agreement was signed by Frederic Claux, Managing Director, Thermal and Supply AMEA, Engie, Ahmed El-Hoshy, Chief Executive Officer of Fertiglobe, and Mohamed Jameel Al Ramahi, Chief Executive Officer of Masdar, one of the world’s leading renewable energy companies, at a ceremony on the sidelines of Abu Dhabi Sustainability Week (ADSW) 2022, which ended on January 19.

Claux said: “The production of green hydrogen in the UAE will be a significant milestone in its green transition, helping the country achieve its ambitious net-zero targets for 2050.

Moreover, by supporting the development of green hydrogen projects across the value chain, together with Masdar and Fertiglobe, we will aid the creation of local jobs and give the UAE a competitive edge in the fast-growing hydrogen economy. This will enable some of the most intensive carbon producing industries – in particular, transportation and mobility, industry and agriculture – to go carbon neutral.”

El-Hoshy said: “This new partnership with Masdar and Engie represents a great opportunity for Fertiglobe and the UAE to play a crucial role in the global energy transition and fits well in the UAE’s vision of a diversified and sustainable future.

Abu Dhabi is an ideal location to produce green hydrogen given the country’s commitment to a low carbon future, its unique renewables profile and its strategic geographic location.

“The project marks another milestone for Fertiglobe's green ammonia portfolio and follows the announcement last month of our new 100MW electrolyser in Egypt.

Ammonia is the dominant energy carrier for hydrogen.

With green hydrogen seen as essential to support decarbonisation of industry, food, transport and energy, there is a huge opportunity for green ammonia to deliver green hydrogen all over the world to fuel the clean economy and meet growing demand for renewable sources of clean energy.”


Fertiglobe is a strategic partnership between OCI NV and the Abu Dhabi National Oil Company (Adnoc), and the world’s largest seaborne exporter of urea and merchant ammonia.

Al Ramahi said: “This project will play a vital role in the development of the UAE’s green hydrogen economy, and represents the first concrete action taken by Masdar and Engie following the announcement last month of our strategic alliance.

By working with innovative companies like Fertiglobe, we aim to support the UAE’s leadership in green hydrogen, and work toward achieving the nation’s net-zero emissions targets.”

Green ammonia, produced from renewable energy such as solar and wind instead of natural gas, is a versatile product that is an ideal carrier to store and transport hydrogen, and can help decarbonise multiple sectors which together account for 90% of current global greenhouse gas (GHG) emissions.


Green ammonia is also an important alternative fuel in its own right.

In December, Masdar and Engie announced the formation of a strategic alliance to explore the co-development of a UAE-based green hydrogen hub.

The two companies are looking to develop projects with a capacity of at least 2 gigawatts (GW) by 2030, with a total investment in the region of $5 billion.

-- TradeArabia News Service

[waldron] 18/1/2022 10:32

offshore energy



GTT scores 2 new LNG carrier tank design orders

Infrastructure

January 18, 2022, by Sanja Pekic

French LNG containment specialist GTT has received two new orders, each for the tank design of one new LNG carrier (LNGC).


Gaztransport & Technigaz says it has received both orders at the end of 2021.

Firstly, it will provide the Mark III Flex membrane containment system for Korean shipyard Hyundai Samho Heavy Industries’ new LNGC.

The vessel will specifically offer a total cargo capacity of 174,000 cubic metres.

HSHI will deliver this vessel in the last quarter of 2024.


Secondly, GTT will provide its NO96 L03+ membrane containment system for a smaller-capacity LNG carrier.

The company received this order from a shipyard whose name remains confidential at this stage

The vessel is scheduled for delivery in the third quarter of 2023.

[maywillow] 17/1/2022 13:30

MOSCOW, January 17. /TASS/. The certification procedure for the Nord Stream 2 gas pipeline should not be artificially delayed and politicized by German regulators and the European Commission, Russia’s Foreign Ministry said in a statement issued ahead of the talks between the foreign ministers of Russia and Germany.

"The construction of the Nord Stream 2 gas pipeline (NS 2) is one of the largest projects of the last decade, implemented by PJSC Gazprom in cooperation with companies from Germany and a number of other European countries. The launch of NS 2 will be a significant contribution to ensuring the energy security of the entire European Union. The procedure for its certification by the German regulators and the European Commission should not be artificially delayed and politicized," the statement says.

On Monday, Foreign Minister of Germany Annalena Baerbock said at a press conference in Kiev, that Germany sees "geo-strategic links" of the Nord Stream 2. She stressed that the gas pipeline should fully comply with European law for the positive conclusion to be given by the German regulator.

[maywillow] 17/1/2022 13:25

Orange teams with Engie to reduce Ivory Coast carbon footprint

52m | Saf Malik


Orange has teamed with Engie to convert the GOS, Orange’s main data centre in Africa to solar power.

The GOS was built in 2016 in Grand Bassam in the Ivory Coast and hosts IT and telecommunication equipment that supports the services provided by the GOS to all OMEA subsidiaries.

In December 2021, Orange signed an EaaS _Energy as a Service) contract with Engie to convert the GOS to solar power by installing a solar plant on rooftops and solar carports for a total installed capacity of 355 kWp to reduce its environmental footprint.

The commission is scheduled for the second half of 2022.

Alioune Ndiaye, chairman and CEO of Orange Middle East and Africa said: "This project is a first in West Africa for Orange in terms of its size and scope and it perfectly illustrates our ambition to speed up our solar projects in order to achieve net zero carbon by 2040.

“In the rest of Africa and the Middle East, we have already implemented several initiatives, as equipping 5,400 telecoms sites by solar panels and building solar farms in Jordan and Mali. We intend to go further."

The plant will be made up of 784 photovoltaic cells and will provide the data centre with an estimated 527 MWh per year of renewable energy.

Orange adds that the initiative is in conjunction with the Ivory Coast government’s aims to make the country an energy hub in Africa by 2030 with 42% of renewables in the energy mix.

Armand Seya, CEO of Engie services in West Africa added: "Engie Africa is active in electricity production, energy services and decentralized solutions for off-grid customers across the continent.

“We are proud to support the GOS (Groupement Orange Services) in its energy transition having ensured the multi-technical maintenance of the Data Centre since 2019 and now with the implementation of this solar plant."

[the grumpy old men] 14/1/2022 10:41

Source: ENGIE | 12 minutes ago
ENGIE Equatorial inaugurates game-changing Lolwe Mini-Grid in Uganda

Most advanced mini-grid in Africa sets a new benchmark for the future of energy access on the continent

KAMPALA, Uganda, January 14, 2022/APO Group/ --

Fully integrated clean energy multi-utility, from electricity to rural service delivery; Aligned with a sustainable, green and blue economy; Business model centered around productive use of energy; Life-changing impact for the local population; Most advanced mini-grid in Africa sets a new benchmark for the future of energy access on the continent

ENGIE Equatorial is pleased to announce that the Lolwe hybrid solar 600 kWp mini-grid, with integrated productive hub and e-mobility, has been inaugurated today on Lolwe Island, Uganda, in the presence of Uganda’s Minister of Energy Hon. Ruth Nankabirwa.

This joint project between ENGIE Energy Access and Equatorial Power Ltd. is the most advanced mini-grid on the African continent. It is the result of a strong African-European alliance and is a real game-changer for the energy landscape in Uganda and the continent at large.

This project, which sets new records in terms of value and replicability, connects over 3,000 households and more than 700 businesses, impacting 15,000 people and providing clean, reliable electricity, as well as a range of other services. The project addresses the urgent needs of the local population, which lacks access to clean, reliable energy and clean water. The project is scalable to the entire Lake Victoria region (the largest lake in Africa) and can be rolled out across other African countries.

The Lolwe mini-grid is setting the stage for the next generation of decentralized energy infrastructure, and will help to accelerate universal energy access

Beyond delivering affordable, reliable and renewable electricity, the Lolwe mini-grid features a productive hub that will transform raw materials into value-adding products, addressing basic needs that are currently insufficiently met on the islands. The hub includes water-pumping, distribution and purification services, modern fish-drying facilities and ice-making devices to conserve the daily catch of fish.

An electric mobility solution for fishing boats and motorcycles completes the integrated and green energy-enabled infrastructure on the site, for the benefit of users. ENGIE Equatorial is also providing business incubation and asset-financing services to empower the growth of local businesses.

The Lolwe project is a truly scalable model – matching green infrastructure and ICT innovation to deliver real impact. This is the beginning of a “mini-grid 2.0” model that delivers more for investors and communities alike. It is a significant milestone and benchmark for the energy access space.

Riccardo Ridolfi, CEO of ENGIE Equatorial, says: “With the Lowe project, we demonstrate our vision of energy access: electricity to us is not an end but a means to offer other essential services like clean water, agro-processing, and electric mobility as well. This is the vision we believe will truly impact communities and bring financially and socially sustainable development to the African continent.”

Gillian-Alexandre Huart, CEO of ENGIE Energy Access, comments: “The Lolwe mini-grid’s distributed renewable technology and integrated business model will significantly improve the lives and economic perspectives of the underserved communities living far from the grid. The Lolwe mini-grid is setting the stage for the next generation of decentralized energy infrastructure, and will help to accelerate universal energy access.”

With adequate institutional support, ENGIE Equatorial is committed to investing substantial amounts of capital to replicate this project across all the islands of Lake Victoria and beyond.

Distributed by APO Group on behalf of ENGIE.

[waldron] 14/1/2022 08:53

Nord Stream 2 sanctions bill fails to pass in US Senate

Defeated legislation sought to impose sanctions on company currently building key pipeline

Michael Gabriel Hernandez | 14.01.2022

Nord Stream 2 sanctions bill fails to pass in US Senate

WASHINGTON

A bill to impose sanctions related to a key pipeline that will send natural gas from Russia to the European Union failed to pass in the Senate on Thursday.

The 55-43 interim vote tally means the legislation, introduced by Republican Sen. Ted Cruz, has failed to pass a key 60-vote procedural hurdle in the 100-member Senate. The vote remains open, but is certain to result in defeat.

The bill would have imposed sanctions on the company currently building Nord Stream 2.

Speaking ahead of the vote, Cruz described his legislation as a bid to prevent an existential threat to Ukraine that he said is posed by Nord Stream 2.

"The Senate is going to take a vote of incalculable importance to our national security, to the future of our allies in Europe, and to the very existence of the nation of Ukraine," he said on the Senate floor.

Critics of the pipeline, including Cruz and others, have maintained that it is a means by which Russian President Vladimir Putin can circumvent an existing gas pipeline that sends Russian gas through Ukraine and on to Europe, and thereby limit the consequences to him of invading the eastern European nation.

US President Joe Biden has already imposed sanctions on at least 16 ships and seven individuals in relation to the pipeline. But Cruz has demanded further action under existing US law that mandates sanctions on those involved in the project.

The Texas senator led an effort to hold up dozens of State Department nominees that require Senate confirmation over what he alleges is a lack of sufficient action from the administration.

Biden in July reached an agreement with Germany on the controversial natural gas pipeline in which Berlin agreed to take extensive measures to assuage US concerns in exchange for the US not sanctioning any German entities.

The US under successive presidents has warned that the pipeline is a bad deal for Germany and jeopardizes European energy security and poses the risk that Russia might cut off the gas supplies that currently run through Ukraine.

Under the pact, Berlin agreed to appoint a special envoy to help extend the existing gas contract that it has with Russia "well beyond" its current expiration in 2024 and would take action at the national and EU levels should Russia attempt to use energy resources as a weapon against Kyiv.

Ukraine has sharply criticized the agreement as a boon for Russia.

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[waldron] 13/1/2022 09:06

The global gas market could face more upheaval this year, said research firm Wood Mackenzie, predicting European inventories to be at a record low of less than 15 billion cubic meters by end-March.

Weather and the start date of the Nord Stream 2 pipeline from Russia to Europe will be key factors in prices. A severe European winter could add up to 10 bcm of additional gas demand, depleting inventories before end-March, and Nord Stream 2 could face set backs if Russia-Ukraine tensions continue escalating.

"A cold winter and continued uncertainty about commissioning of Nord Stream 2 could see prices doubling, again," Wood Mackenzie said.

[waldron] 12/1/2022 10:23

1 EUR = 1.0489 CHF

Looking to make a Euros to Swiss Francs money transfer?

The Euro to Swiss Franc exchange rate (EUR CHF) as of 12 Jan 2022 at 10:22 AM.

[maywillow] 11/1/2022 09:10

Engie commences $710m Indonesia geothermal

Published 11 January 2022 Last Updated 11 Jan 2022 08:36



French utility Engie-led consortium has started operations on the $710 million first phase of a geothermal power plant in Indonesia, after reaching financial close 3 years ago

[waldron] 11/1/2022 07:08

ENGIE : A technical turn-around configuration
01/10/2022 | 01:30pm GMT
Nicolas Chéron

Entry price : 13.39€ | Target : 14.88€ | Stop-loss : 12.88€ | Potential : 11.13%

The technical chart pattern of ENGIE shares shows signs of a medium term reversal, which speaks in favor of opening new long positions.

Investors have an opportunity to buy the stock and target the € 14.88.

Summary

Overall, and from a short-term perspective, the company presents an interesting fundamental situation.

According to Refinitiv, the company's ESG score for its industry is good.


Strengths

The company appears to be poorly valued given its net asset value.

The company has a low valuation given the cash flows generated by its activity.

The company is one of the best yield companies with high dividend expectations.

Analysts have consistently raised their revenue expectations for the company, which provides good prospects for the current and next years in terms of revenue growth.

For the last twelve months, analysts have been gradually revising upwards their EPS forecast for the upcoming fiscal year.

For several months, analysts have been revising their EPS estimates roughly upwards.

Analysts have a positive opinion on this stock. Average consensus recommends overweighting or purchasing the stock.

The average price target of analysts who are interested in the stock has been strongly revised upwards over the last four months.

Analyst opinion has improved significantly over the past four months.


Weaknesses

As estimated by analysts, this group is among those businesses with the lowest growth prospects.

The company's earnings growth outlook lacks momentum and is a weakness.

Financial statements have repeatedly disappointed market stakeholders. Most often, they were below expectations.

[grupo guitarlumber] 10/1/2022 11:28

In a research note published by Alberto Gandolfi, Goldman Sachs advises its customers to buy the stock. Previously set at EUR 17.20, the target price has been raised to EUR 18.20.

[grupo guitarlumber] 10/1/2022 11:27

[France] ENGIE (ENGI)

Real-time Quote. Real-time Euronext Paris - 01/10 06:26:50 am

13.38 EUR +0.98%

[waldron] 07/1/2022 15:37

7 Jan, 2022 13:21

HomeBusiness News

France may see 40% electricity price surge by February

Finance minister urges people to look at Kazakhstan’s bitter experience


The French authorities are working on further measures to restrain spiking energy prices, the country’s finance minister said, issuing a warning about political fallout ahead of a presidential election.

“Look what’s going on in Kazakhstan, it’s quite indicative of what can happen when energy prices explode, it’s politically dangerous,” Bruno Le Maire said on Friday.

“If we don’t find a solution to the electricity prices in the days to come, the French will see at the end of January an increase of 35-40%.”

The call comes amid a European energy crisis that has deepened over the past several months with energy prices across the continent soaring to the previously unseen levels. Earlier this week, the front-month gas price at the Dutch TTF hub, a European benchmark for natural gas trading, was around 5% higher with the price reaching €93.30 per megawatt-hour.

In France, energy prices are frequently a sensitive topic. The country’s government faced months of violent street protests after a fuel-tax increase in 2018. The rallies even grew into a broader anti-government movement.

In the wake of the widespread surge in energy prices, Paris committed to protecting households by capping an increase in regulated tariffs for 2022 at only 4% in February. However, prices are rising, and the tax cut on energy costs that was supposed to limit the increase is no longer enough.
EU proposes green label for nuclear & gas READ MORE: EU proposes green label for nuclear & gas

“There are thousands of jobs on the line. That’s why we have been working night and day for the last two weeks to find a solution that guarantees the 4% power-price ceiling and protects electricity intensive companies,” Le Maire said.

The minister also said he had spoken to Jean-Bernard Levy, the head of state-controlled power company EDF, and EU Competition Commissioner Margrethe Vestager as the country’s government is planning to force EDF to sell more nuclear production to its competitors at a preferential rate. The step will reportedly prevent operators from paying very high prices in wholesale markets that would also have to be applied to the regulated tariff for households.

For more stories on economy & finance visit RT's business section

[waldron] 05/1/2022 13:32

Another energy supplier ditches fixed tariff plans

Fewer and fewer power companies are marketing fixed price tariff plans. Energy supplier Eneco has now decided only to offer customers variable tariff plans, while rival Engie is no longer actively promoting fixed tariff contracts.

Colin Clapson
09:50

Fixed price plans put consumers in a comfortable position as they know from the start what price they will pay for power. People on a fixed price plan have had an advantage in recent months as power prices soared.

The fixed price plans are a problem for suppliers. Unlike in the event of variable price plans suppliers are unable to pass on the recent price hikes on the international wholesale market to consumers.

Eneco’s Mark Van Hamme says: “For every new customer we need to purchase the power they will consume over the entire period of their contract now. That happens at today’s high prices. If prices fall and the customer later decides to switch to a cheaper plan, we will be stuck with the expensive power”.

Power companies can sell excess power at a loss but that could jeopardise their very existence.

In recent months smaller and medium-sized suppliers like Octaplus and Mega already stopped marketing fixed tariff contracts. Eneco, the country’s second largest supplier, is now joining them. At Engie you will need to contact the company by phone if you want a fixed price plan. Their website will only offer variable tariff plans.

[waldron] 05/1/2022 11:05

ENGIE HOLDS 30.40pc of GTT