Tag Archives: South Korea

South Korea backtracks on green promise

For South Korea, it seems, climate care is a case of going green at home – and doing the opposite overseas.

LONDON, 17 July, 2020 – After a landslide victory in South Korea’s national elections earlier this year, President Moon Jae-in and his Democratic Party of Korea announced a major plan to tackle climate change.

A package, known as the Green New Deal, aimed to transform what is one of the world’s most dynamic economies: emissions of climate-changing greenhouse gases would be sharply reduced over coming years and totally eliminated by 2050.

There were also promises of big public investments in renewable energy and a commitment to phase out state support for overseas coal projects. Coal is by far the most polluting of fossil fuels.

Moon Jae-in’s administration is now backtracking on many of its green promises.

Environmental groups are particularly concerned by an announcement late last month that South Korea’s largest state-owned electricity company – along with state banks – is investing hundreds of millions of dollars in a coal-fired power plant in Indonesia.

More to come

The Indonesian project – called Java 9 &10 – is at the giant Suralaya plant at Cilegon, near Jakarta.

Under the terms of an agreement reached between the South Korean and Indonesian state authorities, the Korea Electric Power Corporation (Kepco) will invest US$51 million (£40m) in adding two power units to the Cilegon plant.

In addition, South Korea’s state banks will make further investments amounting to more than $1billion, while Kepco will offer loan guarantees.

The Cilegon project is highly controversial: the plant is already one of the main sources of pollution in the densely populated area surrounding Jakarta.

Energy analysts and opponents of the project say that the additional power the plant will provide is not needed. They say enlarging the plant not only runs counter to South Korea government policy but also conflicts with the Indonesian government’s policies on tackling climate change: Jakarta recently announced ambitious plans to dramatically increase the use of solar power.

“By not ending public coal financing, Korea’s Green New Deal would not be green at all”

“Kepco’s decision to continue the Java 9 &10 project in the midst of a pandemic has shown the true face of the South Korean government and proves it is concerned with short-term profits rather than humans and the environment”, said Didit Haryo Wicaksono of Greenpeace Indonesia.

Elsewhere in the region, Kepco is involved in discussions on a multi-million dollar expansion of the coal-fired Vung Tau power plant in Vietnam.

Kepco shareholders have voiced concerns about both the Indonesia and Vietnam projects, saying that worries about pollution might lead to the loss of millions invested.

South Korea is not alone in touting green policies at home while seeking to make money from polluting projects overseas.

China is making efforts to clean up its once notorious urban pollution hot spots. It is the world’s biggest producer and also consumer of coal: many coal-fired enterprises have been shut down or converted to other energy sources.

Green deal undermined?

Yet China continues to promote coal-fired projects overseas. It is building and financing several coal-fired power plants in Pakistan and in the Balkans, as well as supporting the expansion of coal projects in various African countries. Japan is another large financier of overseas coal projects.

South Korea is among the world’s top ten emitters of greenhouse gases,  much of the pollution caused by emissions from coal-fired power plants, which generate more than 40% of the country’s electricity.

Under the terms of Seoul’s new green deal it’s planned to phase out the use of coal by 2030. In the aftermath of the Indonesia coal plant deal, there are doubts that South Korea will put a halt to its overseas coal projects.

Jessica Yun of the South Korea climate group Solutions For Our Climate,  quoted in the Eco-Business journal, says that if the government refuses to stop financing coal projects, the whole green deal will be undermined. “By not ending public coal financing, Korea’s Green New Deal would not be green at all”, Yun said.

“That would just push dirty air pollution and greenhouse gas emissions abroad – the height of hypocrisy and irresponsibility.” – Climate News Network

For South Korea, it seems, climate care is a case of going green at home – and doing the opposite overseas.

LONDON, 17 July, 2020 – After a landslide victory in South Korea’s national elections earlier this year, President Moon Jae-in and his Democratic Party of Korea announced a major plan to tackle climate change.

A package, known as the Green New Deal, aimed to transform what is one of the world’s most dynamic economies: emissions of climate-changing greenhouse gases would be sharply reduced over coming years and totally eliminated by 2050.

There were also promises of big public investments in renewable energy and a commitment to phase out state support for overseas coal projects. Coal is by far the most polluting of fossil fuels.

Moon Jae-in’s administration is now backtracking on many of its green promises.

Environmental groups are particularly concerned by an announcement late last month that South Korea’s largest state-owned electricity company – along with state banks – is investing hundreds of millions of dollars in a coal-fired power plant in Indonesia.

More to come

The Indonesian project – called Java 9 &10 – is at the giant Suralaya plant at Cilegon, near Jakarta.

Under the terms of an agreement reached between the South Korean and Indonesian state authorities, the Korea Electric Power Corporation (Kepco) will invest US$51 million (£40m) in adding two power units to the Cilegon plant.

In addition, South Korea’s state banks will make further investments amounting to more than $1billion, while Kepco will offer loan guarantees.

The Cilegon project is highly controversial: the plant is already one of the main sources of pollution in the densely populated area surrounding Jakarta.

Energy analysts and opponents of the project say that the additional power the plant will provide is not needed. They say enlarging the plant not only runs counter to South Korea government policy but also conflicts with the Indonesian government’s policies on tackling climate change: Jakarta recently announced ambitious plans to dramatically increase the use of solar power.

“By not ending public coal financing, Korea’s Green New Deal would not be green at all”

“Kepco’s decision to continue the Java 9 &10 project in the midst of a pandemic has shown the true face of the South Korean government and proves it is concerned with short-term profits rather than humans and the environment”, said Didit Haryo Wicaksono of Greenpeace Indonesia.

Elsewhere in the region, Kepco is involved in discussions on a multi-million dollar expansion of the coal-fired Vung Tau power plant in Vietnam.

Kepco shareholders have voiced concerns about both the Indonesia and Vietnam projects, saying that worries about pollution might lead to the loss of millions invested.

South Korea is not alone in touting green policies at home while seeking to make money from polluting projects overseas.

China is making efforts to clean up its once notorious urban pollution hot spots. It is the world’s biggest producer and also consumer of coal: many coal-fired enterprises have been shut down or converted to other energy sources.

Green deal undermined?

Yet China continues to promote coal-fired projects overseas. It is building and financing several coal-fired power plants in Pakistan and in the Balkans, as well as supporting the expansion of coal projects in various African countries. Japan is another large financier of overseas coal projects.

South Korea is among the world’s top ten emitters of greenhouse gases,  much of the pollution caused by emissions from coal-fired power plants, which generate more than 40% of the country’s electricity.

Under the terms of Seoul’s new green deal it’s planned to phase out the use of coal by 2030. In the aftermath of the Indonesia coal plant deal, there are doubts that South Korea will put a halt to its overseas coal projects.

Jessica Yun of the South Korea climate group Solutions For Our Climate,  quoted in the Eco-Business journal, says that if the government refuses to stop financing coal projects, the whole green deal will be undermined. “By not ending public coal financing, Korea’s Green New Deal would not be green at all”, Yun said.

“That would just push dirty air pollution and greenhouse gas emissions abroad – the height of hypocrisy and irresponsibility.” – Climate News Network

Fossil fuels: Heading down, but not yet out

Renewable energy is making rapid inroads into the market, but fossil fuels still wield enormous global influence.

LONDON, 20 May, 2020 – At a casual glance, you could be forgiven for thinking that fossil fuels are here to stay for a long time yet, although not everything on the horizon is rosy.

The world, admittedly, is awash with surplus oil. The use of coal is in sharp decline. The price of gas – in recent years the fuel of choice for an increasing number of power plants around the globe – is falling.

The fossil fuel industry – the main driver behind the growing climate crisis – is undoubtedly going through one of its worst times in decades.

The Covid 19 pandemic has resulted in a severe downturn in the global economy and a sharp drop in demand for energy.

But the fossil fuel industry’s problems, many of them of its own making, were evident well before Covid swept the globe.

At the centre of the sector’s difficulties is over-production, particularly of oil.

Shale tips the scales

In 2010 world crude oil production was running at about 86 million barrels per day (MBPD). This year production is forecast to top 100 MBPD.

Though oil consumption has grown as the global economy has expanded over recent years, production has exceeded demand as utilities and industries, particularly in Europe, China, Japan and South Korea, have become ever more efficient in the way they produce energy.

The big change in the oil market over the past decade has been the rise in US production, brought about by the boom in the shale oil and gas industry.

In 2010 the US was producing just over 5 MBPD. Earlier this year, production was running at more than 13 MBPD. Once a net importer of crude, the US is now the world’s biggest producer – ahead of Saudi Arabia and Russia.

The days when the Organization of the Petroleum Exporting Countries (OPEC) could more or less determine the global oil price by tweaking production levels have long gone: neither the US nor Russia is an OPEC member.

The big producers have argued amongst themselves and have not been able to agree on output levels. Oil prices have fluctuated wildly: in recent weeks they reached an historic low.

“Renewable energy is a cost-effective source of new power that insulates power markets and consumers from volatility”

In the US many shale oil operators who borrowed heavily to fund their operations are threatened with going bust as the price of oil falls well below production costs.

In Saudi Arabia and Russia the dramatic fall in oil revenues is threatening economic crisis – and potential political trouble as well.

Adding further to the problems of the oil and other fossil fuel producers – but at the same time contributing to the well being of the planet – has been the rise of the renewable energy industry.

In 2010 the share of renewables in the global energy mix was 8.6%. Data from the International Renewable Energy Agency (IRENA) indicate that renewables now account for more than 30% of the world’s power supply.

Massive solar and wind operations are being built around the world. Solar heating systems have been installed in millions of homes.

Concerns over a warming world and new regulations governing emissions of climate-changing greenhouse gases have in part driven the rise of renewables; dramatic falls in the price of technologies such as wind and solar have also had a big impact.

Holding on to power

The cost of producing electricity from solar power has dropped by about 80% over the past decade. The cost of wind power and other renewables has also dropped.

“Renewable energy is a cost-effective source of new power that insulates power markets and consumers from volatility”, says IRENA.

The fossil fuel sector is still able to wield immense financial and political clout and those prophesying its demise are likely to be disappointed, in the short term at least.

In the US it looks as though coal, oil and gas companies will qualify for multi-billion dollar payments under revised federal government Covid-19 bailout measures.

The Saudis and the Russians will do everything in their power to protect their fossil fuel industries on which their economies – and power structures – depend.

But big changes are under way. Maybe, just maybe, fossil fuels are in terminal decline. – Climate News Network

Renewable energy is making rapid inroads into the market, but fossil fuels still wield enormous global influence.

LONDON, 20 May, 2020 – At a casual glance, you could be forgiven for thinking that fossil fuels are here to stay for a long time yet, although not everything on the horizon is rosy.

The world, admittedly, is awash with surplus oil. The use of coal is in sharp decline. The price of gas – in recent years the fuel of choice for an increasing number of power plants around the globe – is falling.

The fossil fuel industry – the main driver behind the growing climate crisis – is undoubtedly going through one of its worst times in decades.

The Covid 19 pandemic has resulted in a severe downturn in the global economy and a sharp drop in demand for energy.

But the fossil fuel industry’s problems, many of them of its own making, were evident well before Covid swept the globe.

At the centre of the sector’s difficulties is over-production, particularly of oil.

Shale tips the scales

In 2010 world crude oil production was running at about 86 million barrels per day (MBPD). This year production is forecast to top 100 MBPD.

Though oil consumption has grown as the global economy has expanded over recent years, production has exceeded demand as utilities and industries, particularly in Europe, China, Japan and South Korea, have become ever more efficient in the way they produce energy.

The big change in the oil market over the past decade has been the rise in US production, brought about by the boom in the shale oil and gas industry.

In 2010 the US was producing just over 5 MBPD. Earlier this year, production was running at more than 13 MBPD. Once a net importer of crude, the US is now the world’s biggest producer – ahead of Saudi Arabia and Russia.

The days when the Organization of the Petroleum Exporting Countries (OPEC) could more or less determine the global oil price by tweaking production levels have long gone: neither the US nor Russia is an OPEC member.

The big producers have argued amongst themselves and have not been able to agree on output levels. Oil prices have fluctuated wildly: in recent weeks they reached an historic low.

“Renewable energy is a cost-effective source of new power that insulates power markets and consumers from volatility”

In the US many shale oil operators who borrowed heavily to fund their operations are threatened with going bust as the price of oil falls well below production costs.

In Saudi Arabia and Russia the dramatic fall in oil revenues is threatening economic crisis – and potential political trouble as well.

Adding further to the problems of the oil and other fossil fuel producers – but at the same time contributing to the well being of the planet – has been the rise of the renewable energy industry.

In 2010 the share of renewables in the global energy mix was 8.6%. Data from the International Renewable Energy Agency (IRENA) indicate that renewables now account for more than 30% of the world’s power supply.

Massive solar and wind operations are being built around the world. Solar heating systems have been installed in millions of homes.

Concerns over a warming world and new regulations governing emissions of climate-changing greenhouse gases have in part driven the rise of renewables; dramatic falls in the price of technologies such as wind and solar have also had a big impact.

Holding on to power

The cost of producing electricity from solar power has dropped by about 80% over the past decade. The cost of wind power and other renewables has also dropped.

“Renewable energy is a cost-effective source of new power that insulates power markets and consumers from volatility”, says IRENA.

The fossil fuel sector is still able to wield immense financial and political clout and those prophesying its demise are likely to be disappointed, in the short term at least.

In the US it looks as though coal, oil and gas companies will qualify for multi-billion dollar payments under revised federal government Covid-19 bailout measures.

The Saudis and the Russians will do everything in their power to protect their fossil fuel industries on which their economies – and power structures – depend.

But big changes are under way. Maybe, just maybe, fossil fuels are in terminal decline. – Climate News Network