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Date: 2013-02-04
Carbon Finance is reporting that Deutsche Bank is thought to be winding down its emissions trading operations and to have pulled the plug on its carbon desk in London. It is also believed that the bank will continue to operate in the European power and gas markets and retain its carbon analysts.
Deutsche Bank's decision to walk away from carbon trading could be in part a knee-jerk reaction to depressed carbon markets or a result of the fraud investigation that caused the bank to close its German emissions trading desk several years ago, or both.
(Source: Deutsche Bank, Carbon Finance, 2 Feb, 2013)
Contact: Deutsche Bank, www.db.com
Tags Deutsche Bank news,
Date: 2012-12-12
Deutsche Bank co-CEO Herr Juergen Fitschen and CFO Herr Stefan Krause are under investigation into a tax evasion scheme involving carbon permit trading. Another 25 Deutsche Bank employees are suspected of serious tax evasion, money laundering and obstruction of justice in relation to the carbon markets are also being investigated as part of the wider case.
The investigation is believed to be connected to the value-added-tax (VAT) "carousel fraud", where goods were imported VAT-free then sold on to domestic buyers at a price that includes VAT.
In 2011, a German court jailed six individuals over a €300 million ($391 million, £249 million) fraud selling carbon emission permits through Deutsche Bank.
In the same year, the Office of the Attorney General of Germany said in a statement that Germany has lost €850 million in tax revenues to frauds involving carbon emissions trading. (Source: IBTimes, Dec. 12, 2012) Contact: Deutsche Bank, www.db.com
Tags Deutsche Bank news, Carbon Markets news, Carbon Trading news,
Date: 2012-12-05
Canadian Solar Inc, which is focusing on the lucrative power plants business to drive growth, will borrow Cdn$139 million ($139 million) from Deutsche Bank to build five utility-scale projects in Ontario, Canada. The company will repay the loans when the projects, which have a 20-year power purchase contract with the Ontario Power Authority, are acquired by TransCanada Corp. The Deutsche Bank funding is for 49 MW of solar power. According to Canadian Solar, solar companies are increasingly turning to power plant projects as pure panel manufacturing remains unprofitable due dismal panel prices.
On Monday, US-based SunPower Corp said it is teaming up with partners in China to manufacture and sell its c7 tracker concentrator technology in the Asian country.
SunPower will invest $15 million and receive a 25 percent stake in the $60 million joint venture. (Source: Canadian Solar, Reuters, 3 Dec., 2012) Contact: Canadian Solar, (925) 866-2700, www.canadiansolar.com; Sunpower, Howard Wenger, Pres. & CEO, www.sunpowercorp.com
Tags Canadian Solar news, SunPower Corp news,
Date: 2012-12-03
The Sydney Morning Herald is reporting that Germany's Deutsche BANK has joined 123 other applicants seeking to deal in the regulated carbon emissions market.
The German banking behemoth last week lodged its application with the Australian Securities and Investments Commission (ASIC) to have its Australian Financial Services License amended, and expects approval early next year. To date, the ASIC has issued 43 carbon trading licenses to companies ranging in size from COzero and Greenfleet to ANZ, Commonwealth Bank and UBS.
The 317 companies liable to pay the carbon tax in Australia have, for the most part, focused on compliance and may establish their own carbon trading teams.
According to Ric Brazzale, managing director of Green Energy Trading and president of the REC Agents Association, the carbon market, including voluntary abatement, was "more vibrant" several years ago. (Source: Sydney Morning Herald, Dec. 3, 2012)
Contact: Deutsche Bank, www.db.com
Tags Deutsche Bank news, Carbon Markets news,
Date: 2012-10-12
Pattern Energy Group LP has closed the financing of its Ocotillo Wind project, a 265 megawatt (MW) wind power project that will utilize 112 Siemens 2.37 MW turbines. The financing is structured as a construction loan with a seven-year commercial bank tranche co-led by Deutsche Bank and RBC Capital Markets and a 20-year tranche funded by the North American Development Bank. The commercial tranche financing also included The Royal Bank of Scotland, Societe Generale, NORD/LB and KeyBank.
Ocotillo Wind will be the first renewable energy project to interconnect into the newly constructed Sunrise Powerlink, a 500-kv transmission line that was developed to bring renewable power from the Imperial Valley to San Diego. The wind project will provide energy equal to the needs of approximately 125,000 homes in Southern California each year. Pattern entered into a 20-year PPA with San Diego Gas & Electric (SDG&E) for the sale of energy produced by the project. Blattner Energy is managing construction of the project.
Ocotillo Wind will be Pattern Energy's fifth operating wind project in North America and, upon completion, will bring the Company's total to more than 900 MW of installed wind power capacity. Pattern expects to complete a wind project in Puerto Rico and bring a number of wind projects in Canada into construction over the next 12 months. (Source: Pattern Energy, Oct. 12, 2012) Contact: Pattern Energy, Matt Dallas, (917) 363-1333, [email protected], www.patternenergy.com; Blattner Energy, (320) 356-7351, www.blattnerenergy.com
Tags Pattern Energy news, Wind news, Blattner Energy news, SDG&E news,
Date: 2012-08-14
Total Global Steel (TGS), which describes itself as "London's premier metal supplier and brokerage and energy trading company", was forced into liquidation by creditors after a UK court ruled in May that the company must pay Deutsche Bank €4.2 million ($5.1 million) in damages for selling the bank recycled carbon credits.
Creditors' voluntary liquidation involves a company's shareholders passing a resolution to wind up the firm and sell its assets, often as a result of mounting pressure from unpaid creditors. Begbies Traynor is the court appointed liquidator.(Source: Begbies Traynor, Aug., 2012)
Tags CERs news, Carbon Trading news,
Date: 2012-05-09
Australian opposition Leader Tony Abbott has "pledged in blood" to repeal Labor government's price on carbon. But, as the Minister for Mental Health and Aging, Mark Butler, has pointed out, promises to repeal complicated laws are difficult to pull off.
Deutsche Bank has looked into Abbott's promise to repeal the carbon tax and projected that it might not happen until April 2014; nearly two years after the legislation takes effect in July of this year. "Each step in the constitutional process takes time, and in practice, it could take eight to 14 months for the repeal bills to pass, with risks of further delay at each stage of that process," research analyst Tim Jordan wrote in a report released yesterday. "On that timetable, the earliest a repeal bill could pass after an August 2013 election would be April 2014, 22 months after the carbon price comes into force."
But whether repeal is the ideal outcome is another issue, since abandoning a market mechanism for reducing emissions would only provide a temporary reprieve for major emitters. The carbon price is likely to have a modest impact on most listed emitters: most high-carbon firms in trade-exposed sectors will receive free units (and in the case of steel makers, cash grants) to offset the impact; resources companies face a small impact relative to earnings; airlines will pass on the cost in ticket prices; and utilities are likely to recover most of their additional costs through higher electricity prices.
The Labor government and an opposition coalition have a bipartisan commitment to cut emissions by 5 per cent below 2000 levels by 2020.
(Source: Brisbane Times, 9 May, 2012)
Tags Australia Carbon Tax news,
Date: 2012-05-07
Supply of soon-to-be banned emission credits in the EU carbon market may fall short of expectations, driving this 2012 prices relative to 2013, according to Bloomberg New Energy Finance. The EU has banned the use of UN credits from some hydrofluorocarbon 23-producing chemical factories and adipic-acid manufacturers from its trading system from beginning this month, on the logic that these credits generate excessive profits. Those credits make up more than half of supply in the world's biggest offsetting market, the CDM.
Many of these credits are held by sovereign governments, which may use them for compliance with targets through this year under the 1997 Kyoto Protocol, said Richard Chatterton, an analyst for New Energy Finance in London. Chatterton forecast use of banned credits in 2012, the final year they're allowed, will fall 24 percent to 135 million tons.
Factories and power stations used 254.6 million offsets in the bloc's cap-and-trade program, the data show. Offsets may be used to cut compliance costs with Europe's carbon trading system.
Emitters may use 277 million tons of credits next year, 8.6 percent more than last year, Chatterton forecast. That's less than the 300 million tons forecast by Deutsche Bank AG and 400 million tons by Barclays Plc. (Source: Barclays, New Energy Finance,, 2 May, 2012)
Tags Carbon Credits news,
Date: 2012-04-16
On Friday, Deutsche bank issued a report saying that the EU Emissions Trading System (EU ETS) needs fundamental reform if it is to be capable of sending a long-term price signal for low carbon energy investment. The EU's flagship policy tool to combat global climate change not only needs adjusting to cope with an oversupply of carbon allowances, but also requires a structural overhaul to make it fit for purpose, Deutsche Bank commodities research director Mark Lewis said in the report. Specifically, the system must be made more responsive to economic conditions, or risk failure to send price signals that investors can use, Lewis added, noting "enormous" capital outlays required to build a low-carbon economy. "The EU ETS is the only commodity market in the world where demand varies in real time but supply is fixed for years in advance," said Lewis. (Source: Deutsche Bank, JunkScience.com, April 14, 2012) Contact: Deutsche Bank, www.db.com
Tags Deutsche Bank news, EU ETS news,
Date: 2012-04-04
Carbon prices fell to a record low after European Union data showed a surprise drop in emissions within the region's trading system in 2011 compared to the previous year, mostly due to the power sector where the drop was attributed to increased efficiency and warmer-than-usual weather. Deutsche Bank, Citi and Tschach Solutions analysis showed emissions falling in a range of 2.2% to 2.5% in 2011. Tschach had emissions at 1.896 billion metric tons last year, while Deutsche Bank pegged emissions at 1.96 billion metric tons. The estimates were based on analysis of preliminary and incomplete data released by the European Commission on Monday.
The results don't bode well for the price of EAUs which were already trading near record lows, before the data was released. Following the data release, Deutsche Bank cut its forecast for the price of December 2012 carbon allowances in the second quarter to EUR5 to EUR7 a metric ton from EUR6 to EUR9 previously. Analysts said their preliminary estimates of the emissions fall was based on between 88% to 89% of the data.
The data are incomplete due to some countries either not reporting at all or providing partial data. The commission didn't provide any explanation of the data, which will change as more information becomes available. Data was missing from Greece, France and Bulgaria among other countries. The EU doesn't comment on the data or provide any analysis.
The ETS is the EU's flagship program to curb emissions. It puts a price on carbon aiming to stimulate investment in clean energy and green technologies. However, the system has faced repeated setbacks due to fraud and thefts of allowances. Experts also believe there are too many allowances on the market, limiting price increases and undermining the incentive to invest in green technologies.
The ETS will be upgraded in 2013, with the inclusion of more sectors and the auctioning of many of the allowances that are currently given out free.
At the moment, it covers around 11,000 installations such as power plants, oil refineries, iron and steel plants as well as cement, glass, lime, bricks, ceramics, pulp, paper and board makers.
Starting in 2013, the total number of allowances on the market will start decreasing every year so the EU can reduce emissions 20% by 2020 compared with 1990 levels.
Carbon prices for December delivery fell to a low of €6.14 a ton.(Source: EU, NASDAQ, April, 2, 2012)
Tags Carbon Price news, EU ETS news,
Date: 2012-04-02
Enphase Energy, Inc. has announced the pricing of its IPO of 8,969,697 shares of common stock at a price to the public of $6.00 per share. All of the shares of common stock in the offering are being offered directly by Enphase. In addition, Enphase has granted the underwriters a 30-day option to purchase up to an additional 1,345,454 shares of common stock, solely to cover over-allotments, if any.
Morgan Stanley & Co. LLC, BofA Merrill Lynch and Deutsche Bank Securities Inc. are acting as joint book-running managers for the offering. Jefferies & Company, Inc. is acting as joint lead manager, and Lazard Capital Markets LLC and ThinkEquity LLC are acting as co-managers. The shares are expected to begin trading on the NASDAQ Global Market on March 30, 2012 under the ticker symbol ENPH.
The offering of these securities will be made only by means of a written prospectus, copies of which may be obtained from: Morgan Stanley & Co. LLC at 180 Varick Street, 2nd Floor, New York, New York 10014, Attention: Prospectus Department, by calling (866) 718-1649 or by e-mailing [email protected]; BofA Merrill Lynch, 4 Financial World Center, NYC, NY., 10080. Attention: Prospectus Department or by e-mailing [email protected]; or Deutsche Bank Securities Inc., 100 Plaza One, Jersey City, N.J., 07311, Attention: Prospectus Department, by calling (800) 503-4611 or by e-mailing [email protected]. (Source: Enphase Energy, Inc, March, 2012) Contact :Enphase Energy, Bill Rossi, Marketing Officer, (877) 797-4743 (California Office), www.enphaseenergy.com
Tags Enphase Energy news,
Date: 2012-03-28
CO2 emissions in the European Union from firms operating under its emissions trading scheme (ETS) should have been stable in 2011, Emilie Alberola, the head of research at state-owned bank Caisse des Depots' subsidiary CDC Climat said on Monday. The European Commission will release preliminary emissions data for 2011 from firms operating under ETS on April 2. "We expect (CO2) emissions to stagnate in 2011 at 1,918 million tonnes. Emissions in 2010 stood at 1,916 million tonnes, up 2.5 percent on the previous year" Alberola said.
The EU ETS covers industrial sectors that emit the most CO2 but the scheme is being questioned because carbon prices have hit record lows in the past few months, beset by Europe's economic turmoil and uncertainty about a future global climate pact.
The world's biggest carbon market is over supplied with hundreds of millions of permits because of low demand.
Other analysts have projected emissions would grow slightly in 2011, between zero and 2.4 percent, due to softer industrial production in the fourth quarter of last year, milder weather and heavier investment in renewables.
Deutsche Bank said on Monday it expects 2011 emissions to increase by 1.3 percent to 1,963 million tonnes.
In May, the Commission will publish its final data on 2011 emissions. Last year, data showed emissions rose 3.2 percent in 2010. (Source: EU, Reuters, March 26, 2012)
Tags EU ETS news,
Date: 2012-03-23
Oakland, California-based BrightSource Energy Inc. (BRSE), the developer of solar-thermal power plants, is seeking as much as $182.5 million in an IPO. The company is offering 6.9 million shares at $21 to $23 apiece, according to a regulatory filing today. The stock would be listed on Nasdaq under the symbol BRSE. The offering is expected to be priced on April 11, according to data compiled by Bloomberg. BrightSource plans to use proceeds from the IPO to develop additional solar-thermal power plants, which use mirrors to focus the sun's energy on boilers that make steam to drive turbines. The company has 13 contracts to sell power from projects totaling 2.4 gigawatts of capacity to electric utilities of PG&E Corp. (PCG) and Edison International (EIX), according to the filing.
BrightSource is vying with other developers including Abengoa SA (ABG), Areva SA, Acciona SA (ANA), Siemens AG (SIE) and ABB Ltd. (ABBN) to commercialize its technology, which uses mirrors arranged around a central tower. Other solar-thermal developers are using so- called parabolic trough systems, with curved mirrors that focus sunlight on an overhead tube that contains a heat transfer fluid and is routed to steam generators. The company began building its first power plant in southern California in 2010, and it's expected to enter operation in 2013. The project is backed by a $1.6 billion loan guarantee from the U.S. Energy Department, as well as equity investments from Google Inc. and NRG Energy Inc. (NRG)
BrightSource said Alstom SA (ALO), an existing investor, and Caithness Energy LLC's development unit agreed to purchase $65 million and $10 million worth of the company's stock, respectively, in a concurrent private placement.
Alstom, BrightSource's largest backer currently with a 19.9 percent stake, would own 21.9 percent after the IPO and private placement. Its other backers include Draper Fisher Jurvetson with a 5.9 percent stake, VantagePoint Capital Patners with a 24 percent stake, and Morgan Stanley (MS) with a 9.4 percent stake.
Goldman Sachs Group Inc., Citigroup Inc., and Deutsche Bank AG are leading the proposed offering. The underwriters have an option to purchase an additional 1.035 million shares. (Source: BrightSource, March 21, 2012) Contact: BrightSource Energy, Charles Ricker, SVP, Business Development, (510) 550-8161 ext 108, [email protected], www.brightsourceenergy.com
Tags BrightSource Energy news,
Date: 2012-03-22
Australia is on track to undercut its Kyoto protocol carbon target by 125 million tonnes, a leading analyst says, creating a handy buffer to meet its 2020 GHG target in the event the carbon price fails to deliver. Tim Jordan, a carbon analyst at Deutsche Bank, said the surplus would be worth up to $830 million if Australia chose to sell the carbon as credits to other countries. But it could more prudently be banked and used to meet the 2020 target if the carbon tax doesn't push down the nation's emissions as much as the government hopes in the first three years, Mr Jordan said. While stressing that Australia got away with a "pretty unambitious target" under the Kyoto negotiations, Jordan said the good news was that the nation had begun to decouple its economic growth from its GHG emissions growth.
The projected 125 million tonne surplus, which assumes Australia continues on its current emissions trajectory, represents about a quarter of one year's worth of carbon output. Australia produces about 560 to 580 million tonnes of carbon a year. Australia was given a generous target of 108 per cent of 1990 emissions under the Kyoto protocol. Other reasons for better-than-expected carbon reduction was a drop in electricity demand because of the weather and as people responded to higher power prices by cutting their consumption. Also, changes to land use laws during the 1990s had reduced deforestation, making it easier to meet the target based on 1990 emissions.
The finding comes amid a debate over the starting price of $23 per tonne under Labor's carbon tax, rising to about $25 by 2015, when it becomes an emissions trading scheme with a floating price. With the current international carbon price closer to $10, business groups are arguing $23 is too high.
Jordan said that if the international carbon price fell as low as $5 towards the end of the decade, as was reportedly forecast by Bloomberg New Energy Finance, the government would need to take action, perhaps extending the fixed price period. Such a low carbon price would not change behaviour or encourage investment in low-carbon energy sources.
The debate came as a budget submission from the peak energy body expressed ''deep concern'' that the design of the carbon price is geared more towards raising revenue in the early years to meet budget surpluses than sensible carbon mitigation.
The Energy Supply Association of Australia warned the design of the carbon price would allow the government to change the scheme in future to maintain revenue levels.(Source: SMH, March 20, 2012)
Tags Australia Carbon Tax news,
Date: 2012-03-05
Last September, Tempe, Arizona-headquartered First Solar won an order from India's Reliance Power to supply 100 MW worth of thin-film modules. The deal was backed by a $84.3 million (Rs 375 crore), 16.5-year loan by the US EXIM Bank. First Solar has orders worth more than 200 MW in India. Stressing the "critical role" played by the US EXIM Bank in First Solar's India business, Vishal Shah, a Deutsche Bank analyst has said that India could "represent 20 per cent of First Solar's production in 2012". As imported thin-film modules are cheaper, and often backed by easy loans, they have found favor with Indian developers. Further, developers who have won projects under the National Solar Mission have to buy locally if they opt for crystalline silicon, but are free to import if they choose thin-film.
First Solar is the largest CdTe supplier to India. but Other suppliers include Abound Solar which has orders worth 10 MW in India. Its supply of modules to a 5MW project of Punj Lloyd is also backed by a $9-million US Exim Bank loan.
According to a recent report of Navigant Consulting, CdTe has been losing market share, yielding ground to CIGS. Also, CdTe has caused frowns because cadmium is toxic. Suppliers have offered to buy back the modules after their effective life is over, but still questions like "who is to guarantee this" are being raised. (Source: the Hindu Business times, March 4, 2012) Contact: Reliance Power, Shri R Kalidas, Investor Relations, [email protected], www.reliancepower.co.in; First Solar, Jim Brown, President , (419) 662-6899, www.firstsolar.com; Shri R Kalidas, Investor Relations, Reliance Power, [email protected]; www.reliancepower.co.in
Tags First Solar news, Reliance Power news,
Date: 2012-01-25
The Coalition for American Solar Manufacturing (CASM), supported by more than 150 U.S. employers of more than 11,000 workers, today applauded an analysis by Hari Chandra Polavarapu, managing director of solar and clean-technology research for brokerage firm Auriga USA, that underscores the importance of holding China accountable to international trade law. Polavarapu's target is China's alleged campaign of underwriting development of massive solar manufacturing capacity -- without cultivating a significant domestic market -- then wielding exports of artificially low-priced product as a "battering ram" to knock down the U.S. solar manufacturing industry.
A solar-focused analyst since mid-2004 with Deutsche Bank and now Auriga, Polavarapu contends in a series of research and analysis notes that China's alleged actions against foreign domestic industries not only distort markets but also sap the power of competition to drive efficiency and innovation. Polavarapu characterizes China as a "state sponsor of predatory capitalism and asymmetric warfare" that "does not help in weeding out inefficient players but poisons the profit pool for everyone."
CASM -- founded by seven domestic crystalline silicon solar technology producers led by SolarWorld, the largest U.S. producer for more than 35 years -- filed anti-dumping and anti-subsidy trade petitions in October 2011 against Chinese solar manufacturers to halt what the petitions characterize as pervasive, systemic use of state support to injure the U.S. industry. At least 12 domestic producers have undertaken layoffs, gone bankrupt or closed plants in all regions of the country over the past two years. CASM seeks to restore legal international competition as a step toward rekindling growth of U.S. renewable-energy manufacturing and jobs. Yet, Polavarapu writes, cries of protectionism have risen from Chinese importers and the "parochial interests of the downstream" supposedly in defense of affordable solar technology. In fact, industry price statistics show that while wholesale prices have collapsed, end-user prices have fallen far less, all of which disrupts foreign manufacturers and enriches Chinese importers, but provides little benefit to end users.
Moreover, if U.S. federal government investigations into CASM's allegations result in tariffs to offset the effects of illegal dumping and subsidies, Polavarapu writes, the market will efficiently adjust as it has done annually to various changes in national demand-side solar incentives worldwide.
On Dec. 2, the U.S. International Trade Commission unanimously issued a preliminary ruling that Chinese trade practices are harming the U.S. domestic solar industry. The next step will be Commerce's preliminary determination on whether to impose import duties to offset the effects of allegedly illegal Chinese subsidies. Commerce also will rule on whether Chinese importers have mounted an evasive surge in Chinese imports; if so, importers of record would have to post bonds or cash deposits on tariffs on imports back 90 days. On March 27, the agency is scheduled to determine whether tariffs are warranted to offset the effects of alleged Chinese import pricing at artificially low prices. (Source: Coalition for American Solar Manufacturing, January 23, 2012)
Contact: Coalition for American Solar Manufacturing, www.americansolarmanufacturing.org
Tags Coalition for American Solar Manufacturing news,
Date: 2011-11-10
Kingsey Falls, Quebec-based Boralex Inc., Gaz Metro Limited Partnership, and Valener have closed a $725 million(CDN) non-recourse project financing for their 272 MW Seigneurie de Beaupe wind farm, located northeast of Quebec City. The wind farm, which features 126 Enercon wind turbines, is scheduled to be commissioned by December 2013 and have a 20-year power purchase agreement in place with Hydro-Quebec. Construction has already begun with 41 foundations poured and 80% of the access roads built.
According to the companies, the financing package consists of a $590 million, two-year construction loan that will convert into an 18-year amortizing loan after the start of commercial operation. The deal also includes a bridge loan and a letter of credit, totaling $135 million(CND), to finance certain costs reimbursable by Hydro-Quebec to be incurred during construction and to provide various letters of credit.
A portion of the financing is covered by a guarantee offered to the lenders by the Federal Republic of Germany through its Export Credit Agency Euler-Hermes. With this financing, and given the investments and the commitments of $153 million (CDN) by partners Boralex, Gaz Metro and Valener, the first phase of the Seigneurie de Beaupre Wind Farm is fully funded.
Lenders that participated in the club financing deal included KfW IPEX-Bank, Bank of Tokyo-Mitsubishi, Deutsche Bank, Sumitomo Mitsui Banking Corp., Landesbank Baden-Wurttemberg, Mizuho Corporate Bank, Siemens Financial Services, and Caisse de depot et placement du Quebec.(Source: Boralex, November, 9, 2011)Contact: Patricia Lemaire, Director, Public Affairs and Communications, Boralex Inc., (514) 985-1353, [email protected], www.boralex.com; Marc Andre Renaud, Business Development Manager,Enercon Canada, (514) 363-7266, [email protected], www.enercon.de
Tags Boralex news, Enercon news,
Date: 2011-10-13
MEMC Electronic Materials, Inc. subsidiary SunEdison, has secured a $300 million three-year project finance revolving credit facility arranged by Deutsche Bank Securities, Inc. and Rabobank. The credit facility will be used to support the construction costs of utility and rooftop solar projects throughout the U.S. and Canada. The capital is immediately available. This is one of the largest non-recourse project financing revolving credit facilities ever issued for photovoltaic projects. The construction loans are non-recourse debt which means that they are only secured by a pledge of the collateral including the project contracts and equipment.
SunEdison currently has more than 500 solar energy systems deployed throughout the U.S. and Canada and 330 MW of installed solar capacity. This deployed solar base, financed predominately through bank funding, makes SunEdison one of the leading providers of solar energy to the U.S. and Canadian markets.
SunEdison continues to look for additional banking partners to finance its strong pipeline of solar projects in North America with additional opportunities available for lenders within this facility.
Terms of the final agreement were not released. (Source: SunEdison, October, 12, 2011)
Contact: Carlos Domenech, President, SunEdison, (866) 786-3347, www.sunedison.com
More Energy Overviews SunEdison news,
Date: 2011-09-15
On Wednesday, European Union governments approved draft rules for creating an auction platform for selling carbon emission permits (EUAs)from the second half of 2012. In the third phase of the EU's emissions trading scheme (2013-2020), power companies and industrial firms will have to purchase most of their EUA needs at auction, rather than receiving them for free.
Auctions will be carried out over a single EU-wide platform for 24 member states, while Britain, Germany and Poland will use their own platforms as they opted out of the common system.
Several emissions exchanges are vying to win the tender for holding auctions. In July, EU countries agreed to auction 120 million Phase 3 permits in 2012 to help power companies hedge forward power sales next year. No firm start date has been set yet.
Early sales of Phase 3 permits could contribute to keeping EU carbon prices low, as supply could swell by up to 650 million units next year, compared to a rise of 110 million this year, analysts said last month.
In 2012, member states could sell up to 250 million phase two (2008-2012) permits from auctioning and new entrant reserves, while another 400 million brought ahead from the 2013-2020 period could also hit the market, according to Deutsche Bank projections. (Source: EU, Reuters, September, 14, 2011)
More Energy Overviews EUAs news, Carbon Auction news,
Date: 2011-09-07
Deutsche Bank has lowered its forecast for the price of carbon in Europe's emissions trading scheme (ETS), A note issued today by Deutsche Bank said its previous carbon price forecasts for year-end 2011 and for 2012-14 are too optimistic. The bank now predicts the price of carbon at the end of 2011 will be €12/t rather than €17/t, and €15/t instead of €19/t at the end of 2012. The bank has retained its emissions forecasts, projecting that participants in the scheme will see allowances capped at 395m tonnes through to 2020, which will force many companies to switch to less carbon-intensive fuels.
Analysts predicted the current surplus of allowances issued during Phase 2 of the ETS will not be cleared until 2015. As a result, prices will be lower than originally anticipated until 2014, averaging € €19/t in 2013 instead of the €23/t previously predicted, and €22/t in 2014 rather than €24/t. Due to the reduced medium-term projections, the bank has also dropped its predicted price for year-end 2020 to €28/tonne from €30/t, adding that EUAs will now trade at an average price of €24/t over the duration of Phase 3. However, the research team maintained predictions for actual emissions that will be traded over the decade at an average of 40Mt per year over 2011-20.
The Fixed Income Research arm of Deutsche Bank said the carbon market remains very fragile given the ongoing nervousness in financial markets over EU sovereign debt and the risk of the recent slowdown in EU growth turning into a double-dip recession.
The bank maintained its emissions forecasts for the coming years, but said it is now more pessimistic about how long it will take EU Allowance prices to recover. This is due to nervousness over national debt and the the supply of Phase-3 EUAs that are expected to hit the market from December 2011 to December 2012. (Source: Deutsche Bank, Business Green, September, 6, 2011)
Contact: Isabelle Curien, Deutsche Bank, (33) 1 4495 6616,[email protected], www.db.com
More Energy Overviews Deutsche Bank news, Carbon Markets news,
Date: 2011-09-01
Over its full cycle of production, distribution, and use, natural gas emits just over half as many GHG emissions as coal does for equivalent energy output, according to a new study from the Worldwatch Institute and the Deutsche Bank Climate Change Advisors. The analysis clarifies the role of methane releases in the calculation of comparative emissions between the two fossil fuels and explores how the growing share of natural gas production from shale formations could change that fuel's footprint.
Earlier this year, the US EPA updated its methodology for estimating methane emissions from natural gas systems, generating concern that the new, higher methane figures could minimize the GHG advantage that natural gas is seen widely to have over coal. Applying the EPA's new estimates, the life-cycle GHG footprint of natural gas-fired electricity increased roughly 11%, according to the study.
The authors stress that although methane emitted during natural gas production might not make natural gas-fired electricity dirtier than coal, it can and must be mitigated immediately.
The study points out that regulatory and technological tools to reduce methane emissions are being demonstrated in some US states and by some companies. Although reducing methane emissions has been largely voluntary to date in the United States, new EPA rules could require the natural gas industry to measure and report its GHG emissions and to use control technologies that will significantly reduce associated methane emissions as early as 2012.
The study finds that methane emissions during natural gas production, processing, transport, storage, and distribution can be mitigated now at moderately low cost using existing technologies and best practices.
Such capture potential presents a commercial and investment opportunity that would further improve the life-cycle GHG footprint of natural gas. (Source: Worldwatch Institute, August, 29, 2011)
Access study HERE
Contact: Christopher Flavin, President,Worldwatch Institute, (202) 452-1992, www.worldwatch.org
More Energy Overviews Worldwatch Institute news,
Date: 2011-08-30
Iberdrola has submitted a revised environmental statement to the German Federal Maritime and Hydrographic Agency as it seeks planning consent for Wikinger, a 400 MW offshore wind farm in the Baltic Sea. The project will utilize 5 MW capacity wind turbines and could come on stream in 2016.
In March 2010, Iberdrola acquired 100% of the construction rights to the Wikinger offshore complex from the joint venture between DEE Deutsche Erneuerbare Energien GmbH (Deutsche Bank Group) and Ventotec GmbH (GHF-Group). At the time, the plant had already obtained permits from the German government to install floating wind turbines. But, after an in-depth analysis of the project and the site, Iberdrola decided it was better to use large turbines on fixed structures directly anchored on the sea floor.
Once the necessary authorizations have been obtained , the company intends to present the final plans for the offshore project in early 2014. Construction is projected to begin in 2015 for completion in 2016. (Source: Iberdrola, August, 29, 2011) Contact:
Contact: Jan Johnson, Iberdrola Renewables, (503) 796-7070, [email protected]
More Energy Overviews Iberdrola news, Offshore Wind news,
Date: 2011-08-26
At the opening of last week's trial in Frankfurt, six former Deutsche Bank employees accused of evading over €200m in value-added tax (VAT) as part of a carbon market fraud, are about to take the stand. The trial raises the final curtain on EU investigation that identified 170 suspects believed guilty of fraudulent carbon credit trading. of carbon credits. Although none of the six defendants on trial in Frankfurt work for Germany's biggest bank, seven of the 170 suspects have been identified as Deutsche Bank employees.
Although Deutsche Bank denies the accusations, one of the first defendants is said to have suggested that the bank had left the door open for tax evasion when it established its emissions trading division, in effect blaming the Bank for his misdeeds. Deutsche Bank also insisted that while its employees may stand trial, the bank itself is not under investigation.
The trial is expected to run until March 2012, and will determine if the defendants participated in carousel fraud, in which carbon traders collect tax and disappear before turning the tax in to authorities.
European police suspect that fraud in the carbon market cost national exchequers up to €5 billion until a crackdown and tightening of the rules governing carbon trading closed the loopholes on VAT payments. (Source: Deutsche Bank, Business Green , August, 24, 2011)
More Energy Overviews Deutsche Bank news, Carbon Credit Trading Fraud news,
Date: 2011-08-02
The world's largest biobutanol producer, Cathay Industrial Biotech has announced terms for its IPO. The Shanghai, China-based company plans to raise $90 million by offering 6.9 million shares at a price range of $12 to $14 and host a concurrent private placement at the IPO price from current investors.
At the mid-point of the proposed range, Cathay Industrial Biotech will command a market value of $610 million. Cathay Industrial Biotech, which was founded in 1997 and booked $144 million in sales for the 12 months ended March 31, 2011, plans to list on the NASDAQ under the symbol CBIO. Morgan Stanley, Deutsche Bank Securities, and Jefferies & Co. are the lead underwriters on the deal, which is expected to price during the week of August 8. (Source: Cathay, August, 1, 2011)
Contact: Yijun Du , VP, Sales, Cathay Industrial Biotech, +86 21 50801916, www.cathaybiotech.com
More Energy Overviews Cathay Industrial Biotech news, Biobutanol news,
Date: 2011-07-21
The world's largest biobutanol producer Cathay Industrial Biotech, on Tuesday filed with the SEC to raise up to $200 million in an initial public offering. The Shanghai, China-based company has two additional product candidates in its development pipeline, including a bioprocess technology to produce biobutanol from cellulosic biomass feedstock.
Cathay Industrial Biotech, which was founded in 1997 and booked $144 million in sales for the 12 months ended March 31, 2011, plans to list on the NASDAQ under the symbol CBIO. Morgan Stanley, Deutsche Bank Securities and Jefferies & Co. are the lead underwriters on the deal. No pricing terms were disclosed. (Source: Cathay Industrial, Renaissance Capital.com, July, 19, 2011)
Contact: Yijun Du , VP, Sales, Cathay Industrial Biotech, +86 21 50801916, www.cathaybiotech.com
More Energy Overviews Biobutanol news,
Date: 2011-06-27
Pasadena, Texas-headquartered KiOR, Inc., a cellulosic fuels company, has raised $150 million on its IPO of 10,000,000 shares of Class A common stock at a price to of $15.00 per share. KiOR granted the underwriters a 30-day option to purchase up to an additional 1,500,000 shares of Class A common stock at the initial public offering price to cover over-allotments, if any. The Class A common stock will trade on The NASDAQ Global Select Market under the symbol KiOR.
Credit Suisse Securities (USA) LLC, UBS Securities LLC and Goldman, Sachs & Co. are joint book-running managers for the offering, with Piper Jaffray & Co., Citigroup Global Markets Inc. and Deutsche Bank Securities Inc. acting as co-managers.
(Source: KiOR, June, 24, 2011) Contact: Fred Cannon, President, KiOR, (281) 694-8700, www.kior.com
More Energy Overviews KiOR news, Cellulosic Fuels news,
Date: 2011-06-02
Germany's plan to decommission all its nuclear power plants by 2022 will add up to 40 million metric tons of CO2 emissions annually as the country turns the clock back to fossil fuels. The extra emissions would increase demand for carbon permits under the European Union's trading scheme, thereby adding a little to carbon prices and pollution costs for EU industry.
The phase-out is seen by environmentalists and industry as more political than technical as German Chancellor Angela Merkel tries to capture anti-nuclear sentiment in the aftermath of Japan's Fukushima crisis.
Analysts warn the move will see an increase in planet-warming GHGs equivalent to the annual emissions of Slovakia, as Germany returns to gas and coal to plug a power generation gap. That calculation implied some scepticism with the coalition's assertion it would cut power demand and expand the use of renewables.
Deutsche Bank analysts estimated an extra 370 million metric tons of CO2 emissions through 2020, compared with Societe Generale's extra 406 million metric tons.
Matteo Mazzoni, analyst at Italy's Nomisma Energia, estimated an extra 20-29 million extra metric tons of CO2 per year.
(Source: Reuters, June, 1, 2011)
Contact:Matteo Mazzoni, Nomisma Energia, +39 051 19986550, [email protected];
Emmanuel Fages, Head of CO2, Gas, Coal and Power Research, Orbeo, +33 (0)1 4213 3029 , [email protected]
More Energy Overviews Nuclear Power news,
Date: 2011-05-25
Boston-based wind developer First Wind has issued $200 million in senior secured notes due 2018 to repay existing debt and to develop and build new wind projects. Credit Suisse, Deutsche Bank Securities, Goldman Sachs & Co, and RBS acted as Joint Book-Running Managers.
Since early 2009, First Wind and its subsidiaries have refinanced, raised or received approximately $2.8 billion (excluding the notes issued today) in 26 refinancing, new capital, and customer prepayments.
First Wind has wind projects in the Northeast, the West, and in Hawaii, with the capacity to generate up to 635 MW of power, and projects under construction with the capacity to generate up to an additional 121 MW.(Source: FirstWind, May, 23, 2011)
Contact: Paul Gaynor, CEO, First Wind Holdings LLC, (617) 960- 2888, www.firstwind.com
More Energy Overviews First Wind news,
Date: 2011-03-31
Prosecutors in Frankfort, Germany, have arrested six individuals implicated in a value-added (VAT) tax fraud scheme in the recent European carbon market scandal, and charged them with having conspired from September 2009 to April 2010 to evade €230 million ($323.5 million) in VAT. A further 170 suspects, seven of whom are Deutsche Bank employees, are still under investigation and may face charges. Deutsche Bank declined to comment.
Prosecutors said the total damage amounted to €850 million , €100 million of which has been recovered. (Source: Reuters, March 30, 2011)
Date: 2011-03-30
Australia is at risk of being left out of the global carbon market and clean technology investment sector if further carbon market legislation procrastination continues, warns Deutsche Bank's Head of Carbon Emissions Research, Mark Lewis.
Having followed the EU's Emissions Trading Scheme (ETS) very closely since its inception in 2005, Lewis is a firm advocate of a swift move towards a market based rather than a fixed price system. "Cutting Australia's emissions cost-effectively requires carbon pricing and a move to a market-based system will help reduce emissions at the lowest cost," he said.
With the EU ETS now entrenched as a major pillar of EU climate policy and constraining the growth of Europe's carbon emissions, Lewis stressed the need to give visibility to industry. "There has been progress in Australia but a lack of visibility can translate into uncertainty. For any investor looking to take a long view on the carbon price, they need absolute clarity. Meanwhile those industries that will be most affected are those with very long-term capital investment structures. For them, the key point isn't so much what the carbon price is today, it's clarity around what it will be further down the line to give people the visibility to invest," he said. Lewis added that further delays are the biggest threat to the introduction of any carbon scheme. "The short term cost of a carbon scheme is vastly outweighed by the longer term costs of not doing anything. More delays will ultimately cost everyone - business, government and not least the environment," he said.
The EU has a carbon trade scheme, as does New Zealand, while a regional scheme operates across 10 eastern US states. California has also approved an emissions trading scheme to start in 2012 which Lewis says provides a relevant comparable with Australia. "The fact is that there is a global carbon market functioning for Australia to plug into. This isn't just an environmental argument but an important economic argument where Australia will lose ground unless it moves quickly. The opportunities to develop green or clean technology investment solutions are enormous, creating long-term jobs in both skilled and unskilled areas. This can only take place when a carbon price is fully integrated." (Source: IBTimes, March 29, 2011)
Contact: Mark Lewis, Deutsche Bank's Head of Carbon Emissions Research, +(33) 1 4495 6761, [email protected]
Date: 2011-03-17
One of the world's largest solar power companies, Canadian Solar Inc. and SkyPower Ltd will build a 10.5 MW solar park in Thunder Bay, Ontario. SkyPower is Canada's largest owner and developer of large-scale solar projects and most recently was awarded 148.3 MW through thirteen power-purchase agreements by the Ontario Power Authority under the province's Feed-in Tariff Program.
This project is in addition to two previous agreements signed by both companies in December 2010. SkyPower closed financing with Deutsche Bank on these projects late last year. The previous 18.5 MW agreement consists of a 10.5 MW solar park in Napanee, home to First Light I, (SkyPower's first solar project and Canada's first fully operational solar park). The second project is an 8.5 MW solar park located on Thunder Bay International Airport Authority land, with the third being the 10.5 MW project in Thunder Bay on Fort William First Nation land.
Once fully operational, the combined total for these projects is approximately 30 MW of nameplate capacity.
Construction of all three projects is expected to be completed by third quarter 2011. Together, they are expected to generate approximately 28 million KWh in their first full year of operation and almost 600 million kWh total over the next 20 years. (Source: Canadian Solar, March 16, 2011)
Contact: Dr. Shawn Qu, CEO and President , Canadian Solar, (519) 954-2057, www.canadiansolar.com; Richard Ressler , SkyPower Limited, (416) 979-4625, www.skypower.com
More Energy Overviews Canadian Solar news, SkyPower news,
Date: 2011-03-07
According to the German daily Sueddeutsche Zeitung, the Frankfurt attorney general's office now suspects that carbon credit trading fraud previously estimated by the German government to be in the €200 million range may be closer to €850 million. The fraud was apparently committed when companies purchased carbon permits in one country without paying value-added tax (VAT) then sold them, plus the VAT, in another country and pocketed the the difference.
In 2010, Germany and the UK arrested 25 individuals in connection with the case, and Deutsche Bank claimed that seven of its employees were suspects in the German investigation.
A spokesman for Deutsche Bank said on Saturday that a law firm assigned by the bank had so far not found evidence that supported the prosecutors' claims.
The probe in Germany follows investigations in Britain, France, Spain, Norway and the Netherlands into carbon credit fraud.(Source: Sueddeutsche Zeitung, March 6,2011)
More Energy Overviews Deutsche Bank news, Carbon Credit Trading Fraud news,
Date: 2011-03-04
Solar Senior Capital Ltd. has closed its IPO of 8,000,000 shares of common stock at a public offering price of $20.00 per share for total gross proceeds of $160 million. Underwriters had an option to purchase up to 1,200,000 additional shares of common stock to cover over-allotments, if any. Management purchased an additional 500,000 shares at $20.00 per share.
Solar Senior Capital Ltd. expects to use the net proceeds from this offering to make investments in portfolio companies and for general working capital purposes. The joint book-running managers Citi, Wells Fargo Securities, Deutsche Bank Securities and SunTrust Robinson Humphrey. The lead manager for the initial public offering was RBC Capital Markets, and the junior co-managers were BB&T Capital Markets, Ladenburg Thalmann & Co. Inc. and Lazard Capital Markets.
(Source: Solar Senior Capital, Business Wire, March 3, 2011)
Contact: Nick Radesca, Solar Senior Capital Ltd., 212-993-1660
Date: 2011-02-25
The Wall Street Green Summit X has always been the practitioners' conference. This is where you can learn from green financial market pioneers how to get the job done. The creation of a green economy and those green jobs require knowledge, and that knowledge is how the financial markets work, how they create economic value, and how they create opportunities in green trading. Renewable energy project finance for solar energy is getting an upwind and other innovations are also taking place.
Learn from the innovators at Schneider Electric, Barclays Capital, Element Markets, Deutsche Bank, Point Carbon, Bloomberg New Energy Finance, Next Era Energy, Baker & Botts, Brown Rudnick, and other market pioneers in green trading and finance. The Wall Street Green Summit has always been about knowledge transfer from experienced professionals who have created the green financial community. Find out:
This esteemed annual conference sets the stage for the next year in environmental trading and finance. Wall Street is the still the Main Street for Green Finance. Don't miss this once a year event.
For further information, please go to www.wsgts.com
Date: 2010-11-19
The shale gas boom could help the United States reduce greenhouse gas emissions even if Congress does not pass broad climate legislation, according to a Deutsche Bank report.
According to the report, broader use of natural gas, and renewable energy like wind and solar power, could slash coal use. The efforts would cut emissions from power generation by 44 percent by 2030, it said. Looming Environmental Protection Agency rules on mercury, particulates, and other emissions from coal-fired power plants could help reduce electricity generated from coal from about 47 percent now to about 22 percent by 2030, the report said.
"The economics of this are compelling," said Fulton. "This really is just pure economics, the industry will want to do this because it is cheaper." The report assumed natural gas prices would average about $6 per mmBtu, about $2 higher than current prices.
Existing U.S. natural gas plants also have extra capacity. Two-thirds of the extra natural gas generation will come from existing plants near existing power lines, the report said.
(Source: Deutsche Bank, Reuters, November 18,2010)
Contact: Mark Fulton, , Global Head of climate change investment research ,Deutsche Bank, (212) 454-7881, [email protected]
More Energy Overviews Deutsche Bank news, Natural Gas news,
Date: 2010-10-21
An environmental group is arguing that UN carbon offsets awarded for nitrous oxide projects are nothing more than "phantom" emissions cuts, but that claim is is unlikely to impact carbon permit prices, according to analysts. "For now, the N2O issue should not have an impact on the market," said Isabelle Curien, an analyst at Deutsche Bank. "I'm not sure (a UN panel) will launch an inquiry as I'm not sure there are grounds," she added.
CDM Watch has said that the pollutant N2O, a by-product from adipic acid production, should be excluded from the EU ETS. It commissioned a study which suggests that CDM incentives have merely shifted adipic acid production to emerging nations, resulting in increased emissions overall. (Source: Reuters, October 19, 2010)
Contact: Eva Filzmoser, CDM Watch, +32 (2) 893-0894, [email protected], www.cdm-watch.org; Isabelle Curien, Research Analyst, Deutsche Bank, +33 1 4495-6616, [email protected], db.com; David Abbas, Executive Board, UN Clean Development Mechanism, [email protected], http://cdm.unfccc.int.
More Energy Overviews CDM Watch news,
Date: 2010-10-13
The UN's proposal to make auditors of clean energy projects liable for over-issuing carbon offsets would be detrimental to the CDM as a whole, according to a top Deutsche Bank official. The proposal would force auditors to buy back bad credits at market rates. "It would be such a negative move in every sense unless there was clear proof of willful negligence," says the bank's top carbon analyst Mark Lewis. "In the absolute worst case scenario, if they succeed in making [auditors] liable for over-issuance in the past, it would open an absolute Pandora's Box." (Source: Reuters, October 11, 2010) Contact: Ted Meyer, Media, Deutsche Bank Americas, (212) 250-7253, www.db.com
More Energy Overviews CDM Regulations news,
Date: 2010-09-24
EV 20, a new global alliance led by The Climate Group and chaired by Prince Albert II of Monaco, and that includes global fleet owner TNT, auto manufacturers PSA Peugeot Citroen, Smith Electric Vehicles, Johnson Controls Inc., Better Place and Deutsche Bank, along with governments of New York State, South Australia, Victoria, Quebec and the Basque Country, has set a target of getting 1 million more electrical vehicles on the road in the next five years than automakers had planned to bring to market.
EV 20 members have agreed to work together over the next three years to pursue targets that they believe will change the game on the EV market. The business and government partners aim to achieve this through brokering international fleet procurement alliances, developing national, state and municipal policy frameworks, and financing solutions. (Source: Reuters, September 21, 2010)
Contact: Sasha Tenenbaum, The Climate Group, (917) 435-6671, [email protected], www.theclimategroup.org; Isabelle Peters, Prince Albert II of Monaco Foundation, +33 (678) 63 5168, [email protected], www.fpa2.mc.
More Energy Overviews EV 20 news,
Date: 2010-09-02
The SJF Summit on the New Green Economy: Accelerating Growth and Impact will be held on September 14-15, 2010 at the Durham Convention Center, in North Carolina.
The Summit will be a dynamic gathering of entrepreneurs, investors, government and community leaders sharing inspiring successes & practical tools and exploring strategic partnerships to build the green economy with opportunities for all.
The event will feature keynotes from Bruce Usher, former CEO of carbon trading firm EcoSecurities, Bruce Kahn, Deutsche Bank Climate Change Advisors, Dr Robert Wallace, Bith Energy and David Orr, distinguished professor at Oberlin College describing the innovative Oberlin green economy initiative, as well as many more. There will also be a Cleantech CEO panel and concurrent sessions on the latest in cleantech investing, emerging capital market innovations, green jobs and green economic development strategies, and carbon markets. Contact: Registration Details. More information can be found Here
Date: 2010-08-23
Register now for the SJF Summit on the New Green Economy: Accelerating Growth and Impact, to be held on September 14-15, 2010 at the Durham Convention Center, in North Carolina.
The SJF Summit will be a dynamic gathering of entrepreneurs, investors, government and community leaders sharing inspiring successes & practical tools and exploring strategic partnerships to build the green economy with opportunities for all. The event will feature keynotes from Bruce Usher, former CEO of carbon trading firm EcoSecurities,Bruce Kahn, Deutsche Bank Climate Change Advisors,Dr Robert Wallace, Bith Energy and David Orr, distinguished professor at Oberlin College describing the innovative Oberlin green economy initiative, as well as many more. There will also be a Cleantech CEO panel and concurrent sessions on the latest in cleantech investing, emerging capital market innovations, green jobs and green economic development strategies, and carbon markets.
Contact: Registration Details.
More information can be found Here