One of the biggest casualty of green energy; to be closed in 2014
I just came across a paper on a power gen in an island province noted for environmental protection and eco tourism. The plant uses fossil fuel. The strategy presented is just the old stuff: better operating efficiency, better logistics, cost control, better marketing to address the load issue.
The following issues have not not been addressed:
1. The green innovation: black vs green technology. The environmentalists, who are plenty in the island are most likely to bother and pester the plant in the years to come. Black technology (bunker fuel) contributes to global warming and climate change which has been severe lately.
2. Cheaper green technology. Solar and wind costs are at par now with old technology. Solar cap ex is at $4.00 per watt (installed) Cost to operate is 0
3. Disturbing trends in Australia and Europe. They are to shutter down a l gW coal plant in Mallerawang (north of Sydney because of still carbon tax ($20+ per ton) and changing market situation (stiff competition from rooftop solar panels) The load factor in black technology in Europe has been on a decline (down to 49% in 2012) Competition from renewables to shutter a 1GW coal plant in Australia Is the handwriting on black technology on the wall
Power utilities lost half trillion Euros in 5 years!
At the end of the day, the paper recites the improvement on present business, nothing new, nothing unusual. No BOS no purple cow. It will be business as usual
