Beijing lifts renewable subsidy for 2021

Beijing lifts renewable subsidy for 2021
People wearing face masks to protect against the coronavirus wait to cross an intersection in Beijing, Friday, Nov. 20, 2020. (AP)
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Updated 21 November 2020

Beijing lifts renewable subsidy for 2021

Beijing lifts renewable subsidy for 2021
  • Wind farm operators and biomass generators did see their overall subsidy for 2021 drop by 24.3 percent and 18.5 percent year-on-year, respectively, to 2.31 billion yuan and 59.78 million yuan

BEIJING: China’s Ministry of Finance said that it had set the country’s renewable power subsidy for 2021 at 5.95 billion yuan ($905.7 million), up 4.9 percent from this year, thanks to a big increase in the allocation to solar projects.
The subsidy will go to wind farms, biomass power generators and distributed solar power operators, as well as solar power projects for poverty alleviation purposes, in 14 Chinese regions, according to a statement from the ministry’s Central Budget and Final Accounts Public Platform.
China, the world’s biggest energy consumer, had slashed the subsidy in 2020 from the previous year by about 30 percent as it aimed to stop funding large producers of electricity from renewable sources to make them compete with coal-fired utilities and achieve grid-price parity.

HIGHLIGHTS

● 2021 subsidy for 2021 is 5.95 billion yuan.

● Solar power subsidy at 3.38 billion yuan.

● China aims to peak CO2 emissions by 2030.

However, a surge in new capacity — amid a sharp fall in the manufacturing costs for renewable energy components — has left the finance ministry with a subsidy backlog that was expected to reach as much as 300 billion yuan by the end of this year.
Wind farm operators and biomass generators did see their overall subsidy for 2021 drop by 24.3 percent and 18.5 percent year-on-year, respectively, to 2.31 billion yuan and 59.78 million yuan. But total subsidies for solar projects have been set at 3.38 billion yuan, up 56.8 percent from this year, with the lion’s share being allocated to China’s Inner Mongolia region.
China aims to peak carbon dioxide emissions by 2030 and achieve carbon-neutrality before 2060.


‘The worst is behind us’: Aramco CEO

Saudi Aramco President and CEO Amin Nasser, this year’s winner of the annual Chemists’ Club Kavaler award. (Supplied)
Updated 22 min 39 sec ago

‘The worst is behind us’: Aramco CEO

Saudi Aramco President and CEO Amin Nasser, this year’s winner of the annual Chemists’ Club Kavaler award. (Supplied)
  • Amin Nasser points to oil industry recovery after accepting prestigious chemists’ award

RIYADH: The oil industry is recovering from the impact of the coronavirus pandemic and “the worst is behind us,” Saudi Aramco’s President and CEO, Amin Nasser, told an award ceremony in Riyadh on Thursday.

“April was by far the worst month for our industry when oil demand fell. Such a massive drop was never seen at any time in the industry. But I believe the worst is behind us. At this moment there is a recovery taking place,” Nasser said after he was announced as this year’s winner of the annual Chemists’ Club Kavaler award.

The award, which recognizes Nasser’s work in the petrochemical industry, was presented at a virtual event on Dec. 3 and included a discussion with the official about Aramco’s strategy, outlook and key industry trends.

Accepting the award, Nasser praised Saudi Aramco’s employees, saying he wanted to share the prestige with them.

“I am proud to accept this award on behalf of the thousands of men and women of Saudi Aramco who are showing great determination and resilience in a year that has been unlike any in our lifetime. This is definitely their award, too,” he said.

During the fireside chat, Nasser spoke about projects currently underway at Saudi Aramco.

“Despite COVID-19 and all its challenges, our work is going on at Aramco. We have continued to pursue our long-term strategy to be a bigger player in chemicals, to projects here in the Kingdom and around the world. In fact, the progress we have made is just the beginning of a major transformation positioning Aramco for the future,” he said.

In a statement ahead of the ceremony, Joseph Chang, global editor of the ICIS Chemical Business publication, praised Nasser for his achievements.

“Saudi Aramco CEO Amin Nasser has made huge advances in petrochemicals with the $69 billion acquisition of SABIC, the construction of mega-projects worldwide and the development of crude oil-to-chemicals technology. The level of project activity for Aramco is unprecedented for any company. Its global ambitions and investments in petrochemicals will create waves in the industry for years to come,” he said.

The Chemists’ Club, a private organization in New York, offers memberships to research and industrial chemists working in all areas.

The Kavaler prize, presented for the first time to a recipient outside Europe and North America, was awarded for “outstanding achievement.”

Profitability, innovation, acquisition activity, and commitment to environmental and social issues are taken into consideration when choosing the recipient.

Voting is carried out by the recipient’s peers in the ICIS Top 40 Power Players, a global ranking of industry leaders making the greatest positive impact published in ICIS Chemical Business magazine.

Previous winners include LyondellBasell CEO Bob Patel, BASF CEO Kurt Bock, Ineos chairman Jim Ratcliffe, former Dow Chemical CEO Andrew Liveris, former LyondellBasell CEO Jim Gallogly, and former PPG CEO Charles Bunch.