Analysts: More Global Momentum Toward Renewables

first_img FacebookTwitterLinkedInEmailPrint分享Bloomberg New Energy Finance:The continuing plunge in costs for solar and wind energy, and for lithium-ion batteries, means that market opportunities will keep opening up for clean power, storage and electric vehicles. In 2017, we saw new records set for the tariffs in renewable energy auctions around the world, at levels – for instance $18.60 per MWh for onshore wind in Mexico – that would have been unthinkable only two or three years ago.In batteries, we estimate that lithium-ion pack prices fell by no less than 24% last year, opening up the prospect, with further cost improvements, of EVs undercutting conventional, internal combustion engine cars on both lifetime and upfront cost by the mid-to-late 2020s.Detailed analysis by our teams suggests that these cost reduction trends are set to remain in place in the years ahead, thanks to economies of scale and technological improvements – although no trend is a straight line, given the importance of the supply-demand balance and commodity prices.The upswing in the world economy in recent months could also be helpful for the transition in energy and transport, since it has bolstered oil and coal (and, to a lesser extent, gas) prices, so tipping the competitive comparison a little further toward wind, solar and EVs. Investor confidence in our sectors has certainly been quietly improving, with the WilderHill New Energy Global Innovation Index, or NEX, which tracks the performance of around 100 clean energy and transport stocks around the world, climbing 28% between the end of 2016 and January 11 this year.However, and this is where the Dark Side comes in, there is room for concern about some of the risks in the wider world at the start of 2018, and about how waves created outside could wash into the energy transition. One particular risk is the uneasy co-existence of the most buoyant financial markets for more than a decade with the potential for a political or geopolitical shock – perhaps a collision between President Donald Trump and Robert Mueller, the special counsel investigating Russian interference in the U.S. presidential election; or a miscalculation on the Korean peninsula; or a military clash between Iran and Saudi Arabia.There is a more conventional market risk. A healthier world economy has raised the likelihood of tightening monetary policies in not just the U.S. but also Europe and Japan. Long-term interest rates have recently been rising – the U.S. 10-year up from 2% in September to more than 2.5% now – and a bigger move in the same direction could start to affect the cost of capital, and therefore the relative competitiveness, of high-capex, low-opex technologies such as wind and solar.The Trump administration will continue to pull every policy lever it can find to revitalize U.S. coal-fired power generation – but will not slow coal’s inexorable and inevitable decline. We are not sticking our noses out too far on this one, actually. Already, 2018 is scheduled to be the second biggest year in U.S. history for coal plant retirements, with 13GW of projects slated to shutter. A particularly cold first week of 2018 could boost the overall coal megawatt-hours a bit, but the total amount of coal capacity online will continue to decline.  In addition, on January 8, the Federal Energy Regulatory Commission rejected a request from Energy Secretary Rick Perry to have U.S. power markets reward coal and nuclear plants for the supposed “resilience” they provide to the grid. FERC, which historically prides itself on independence, rejected Perry’s request with a bipartisan 5-0 vote.The critical supports for U.S. wind and solar remain their tax credits, which survived last year’s tax-cut legislation relatively intact. While there are outstanding questions on how U.S. projects will now get financed in the wake of the tax changes, the pipeline looks relatively healthy for 2018.  However, if Trump chooses to impose trade tariffs or other penalties on foreign-manufactured PV cells, it could boost local prices for PV modules and render a meaningful portion of the U.S. solar project pipeline economically unviable. Ironically, Trump would likely justify such a move by professing his support for solar as two companies with U.S.-based manufacturing are pushing for the tariffs.The energy transition will continue apace in Asia’s two largest power systems, India and China, though the two countries face very different opportunities and challenges. India had a mixed 2017. While a decent 12GW of renewable energy were built, new investment in clean energy fell by 20%, as a result of a number of canceled auctions and power contract renegotiations. On the other hand, India also had a poor year on fossil fuel additions in 2017, with a significant number of projects slipping on their commissioning deadlines. The lag between financing and construction means that Asia’s third-largest economy is likely to see only about 10GW of renewable capacity built in 2018, while as much as 13GW of fossil fuel plants are commissioned, many of them the uncompleted projects from last year.However, 2018 will be the last year in which fossil fuels outpaces renewables in India. From 2019 onwards, greater policy certainty for renewables and a shrinking coal pipeline will mean more renewables built than fossil fuels each year. This will be a major milestone for a country that most see as a key battleground for the fight to stabilize global greenhouse emissions growth.China’s solar fever will continue to rage in 2018 (see Prediction 2, above). In 2018, China will also reach a turning point where it will build more “distribution-grid-connected” solar projects than the larger “transmission-grid-connected” projects and it will also double the volume of behind-the-meter solar projects built.More: The Force Is With Clean Energy: 10 Predictions for 2018 Analysts: More Global Momentum Toward Renewableslast_img read more

BCA sees jump in digital banking services amid pandemic

first_imgBank Central Asia (BCA) has seen a jump in its digital banking transactions amid the COVID-19 pandemic as it works to ramp up its new digital banking arm.BCA, the largest private bank in Indonesia, recorded a 91 percent annual rise in the number of mobile banking transactions to 1.29 billion, while the number of internet banking transactions increased by 24 percent year-on-year (yoy) to 740 million in the first quarter, company data show.The total value of the transactions reached a staggering Rp 3.38 quadrillion (US$2.28 trillion), or more than 45 percent of the bank’s total transactions, almost matching the value of transactions via the bank’ branches of Rp 3.5 quadrillion. “BCA supports the physical distancing policy during the COVID-19 pandemic through its Banking from Home campaign, in which we provide banking services through various online channels. We have seen an increase in mobile and internet banking transactions [during the period],” BCA president director Jahja Setiaatmadja said in a livestreamed press briefing on Wednesday.Read also: COVID-19: Indonesian banks face challenging time but hopes remainTransactions via ATMs and branch offices, at the same time, were down by 1 percent and 5 percent, respectively. As a result, its non-interest income soared 25.5 percent yoy to Rp 5.9 trillion, while its net interest income jumped 14.1 percent to Rp 13.68 trillion during the first quarter. The bank reported that its net profit grew by 8.6 percent to Rp 6.58 trillion in this year’s first three months. BCA is known for its technology and digital breakthroughs in Indonesia’s banking industry. It is now working to complete the acquisitions of privately-owned Rabobank International Indonesia and Bank Royal Indonesia. The latter is projected to become BCA’s digital bank, namely Bank Digital BCA, the soft launching of which is to be held in the second half.“Bank Royal still needs [the authority’s] approval to be a digital bank, while the acquisition of Rabobank is still being completed,” he said, stressing that BCA currently had no plan to acquire other banks.BCA concluded in 2019 its acquisition of Bank Royal for Rp 1.01 trillion in an effort to expand its digital banking business and focus on certain customer segments.BCA reported on Wednesday that its loan disbursement grew 12.3 percent annually to Rp 612.16 trillion as of March, while third-party funds (DPK) added 16.8 percent to Rp 741.02 trillion. Its non-performing loan (NPL) ratio stood at 1.6 percent, slightly up by 10 basis points (bps) compared to the corresponding period last year.Read also: Government to help pay interest on mortgages, car loansJahja admitted that his company had seen a downturn in consumer loans, as mortgages, vehicle loans, credit card and employee loans decreased, and the situation would most likely continue.The coronavirus outbreak has disrupted Indonesia’s banking industry as various businesses were forced to shut due to slowing demand, while millions of people are out of work, slowing loan disbursement and jeopardizing credit repayments.Financial Services Authority (OJK) data reveal that loan growth stood at 7.95 percent yoy in the first quarter, higher than the 6.08 percent recorded at the end of last year. However, no new loan demand was recorded in the period, as the growth came from the disbursement of existing credit facilities.“It is not the right time to push for consumer credits, especially with customer’s dwindling purchasing power and a significant amount of loans being restructured recently,” Jahja said.BCA as of mid-March has been processing loan restructuring worth between Rp 65 trillion and Rp 82.6 trillion, or 10 percent to 14 percent of its total loan portfolio, from around 72,000 debtors following the government’s stimulus to support businesspeople and consumers affected by the pandemic.It expects the restructuring figure to increase to around 20 percent to 30 percent of its total loan in the next few months.Read also: Banking shares under pressure as investors avoid risk amid gloomy outlook“BCA has relatively little loan outstanding that is directly linked to COVID-19,” Mirae Asset Sekuritas Indonesia analyst Lee Young-jun wrote in a research note published on April 2.“In addition, BCA revealed that it has less than 5 percent exposure on foreign exchange loans and less than 1 percent of capital in net open foreign position,” Lee said. BCA’s shares, traded at Indonesia Stock Exchange (IDX) under the code BBCA, were up 6.65 percent on Thursday, handily outperforming the exchange’s main gauge, the Jakarta Composite Index (JCI), which was up 1.61 percent.Topics :last_img read more

Man U capture Bruno Fernandes

first_imgRelatedPosts Ighalo: My best moment as ‘Red Devil’ EPL: Crystal Palace stun sloppy Man U EPL: Red Devils attack Palace Manchester United have agreed a deal in principle to sign Sporting star Bruno Fernandes, the Premier League club has announced. Fernandes still has to pass his medical and agree personal terms with United but the Red Devils expect both of those to be formalities. United have agreed an initial £46.6 million fee with Sporting plus £21.6 million in performance related add-ons. Fernandes was earmarked as United’s top transfer target this month and the Red Devils have finally got a deal over the line. A deal between United and Sporting looked off as recently as the start of the week, particularly once Barcelona showed an interest. United refused to match Sporting’s demands of £68 million up front but the Liga NOS outfit surprisingly buckled in discussions on Tuesday night. It will now require Fernandes to be a roaring success at Old Trafford, to be named the best player in the world and United winning the Champions League, for Sporting to get that fee. United have kept tabs on Fernandes for a number of years and believe he is now the complete player to help fire the club into the top four. Ole Gunnar Solskjaer’s side have been crying out for goals and creativity from midfield all season and Fernandes has been signed to carry out that role. The Portugal international has remarkably scored or assisted 48 goals in 50 league appearances since the start of last season (28 goals, 20 assists).Tags: Bruno FernandesManchester unitManchester UnitedOld Traffordlast_img read more