Green Markets - August 26, 2024

Aug 27, 2024

Green Markets is a daily series dedicated to highlighting events of interest that could impact investments within environmental markets.

Brian Deese, an economic advisor to Kamala Harris, has proposed a new economic strategy similar to the Marshall Plan. It aims to provide loans to U.S. allies for green energy technologies. He advocates for creating a Clean Energy Finance Authority to support advanced clean energy projects and developing a strategic mineral reserve to protect against supply chain disruptions. The plan seeks to enhance U.S. leadership in clean energy and counterbalance China's Belt and Road initiative.
The United States EPA has announced grants totaling approximately $20 billion from the $27 billion Greenhouse Gas Reduction Fund. These grants are dedicated to mobilizing private investment in green investments. Funding was provided to eight initiatives selected from two nationwide competitions.
The Australian Senate has approved new legislation requiring large and medium-sized companies to disclose climate-related risks and opportunities, aligning with IFRS Foundation standards. The initial reporting requirements will affect companies with over 500 employees or significant financial metrics starting in 2025, with medium-sized companies following two years later. The Australian Accounting Standards Board and the Australian Auditing and Assurance Board are developing standards and assurance measures for these disclosures.

Germany’s Economy Ministry plans to invest €3.3 billion ($3.7 billion) in industry decarbonization and carbon storage. This initiative will support advanced technologies and carbon storage solutions, including offshore sites. The program will launch in September 2024.
Wood, an engineering and consulting business, is advancing three carbon capture and storage (CCS) projects, which could collectively store up to 21 million tonnes of CO2 annually. The CCS licenses for these projects are held by various industry partners, including Sval, Storegga, Vår Energi, Wintershall Dea, Total, and Altera.
BP and Chubu Electric Power have expanded their collaboration on a carbon capture and storage (CCS) project. The updated memorandum of understanding (MoU) builds on their previous agreement and includes evaluations for cost optimization and business models to develop commercial CCS projects.

Related Stock List(s): Carbon Capture Stocks

The United Kingdom is considering allowing the usage of GGRs
Egypt is launching its first voluntary carbon market to support green energy initiatives. The market, managed by the Financial Regulatory Authority, will allow entities to purchase carbon credits to offset emissions and support greenhouse gas reduction projects.

Related Stock List(s): Carbon Credit Stocks

Ford has canceled plans for an all-electric SUV and will cut its capital spending on electric vehicles from 40% to 30% of its total budget. The company will instead focus on a new hybrid vehicle and delay the launch of an electric pickup truck by 18 months. Ford aims to enhance profitability and capital efficiency by making adjustments based on market demand and customer preferences.

HD Korea Shipbuilding & Offshore Engineering (HD KSOE) has announced that its subsidiary, HD Hydrogen, will acquire Finnish fuel cell technology company Convion Oy for approximately €72 million ($80 million).
Air Products has agreed to acquire Saneg’s hydrogen production assets at the Fergana oil refinery in Uzbekistan for $140 million. The transaction is expected to close in Q4 2024.

Related Stock List(s): Hydrogen Stocks

New Zealand plans to pass legislation by the end of 2024 to reverse the 2018 ban on offshore oil and gas exploration. This is due to severe energy shortages that have driven up energy prices, leading the country to seek increased LNG imports. The government will also streamline the consent process for renewable energy projects and aims to issue the first feasibility permits for offshore renewable energy schemes by 2025.

Related Stock List(s): LNG Stocks

Poland is set to allocate $1.2 billion in its 2025 budget to begin preparations for its first nuclear power plant. This investment is part of a broader plan to secure approximately $12 billion for the project from 2025 to 2030, with additional financing expected from the US. The plant, located on the Baltic Sea, is expected to be operational within the next decade.

BASF has launched its prototype metal refinery for battery recycling in Germany. The facility will process end-of-life lithium-ion batteries and production scrap to recover valuable metals like lithium, nickel, and cobalt.
EQT Infrastructure has agreed to acquire KJ Environment and its affiliated companies from Genesis Private Equity to create a comprehensive waste treatment platform in South Korea. The acquisition will expand EQT’s presence in the waste management sector, focusing on plastic recycling and waste-to-energy with strategically located sites in the Greater Seoul Metropolitan Area.

Related Stock List(s): Recycling Stocks

Meta Platforms has signed a deal with Sage Geosystems to purchase geothermal power for its U.S. data centers. The first phase of the 150 MW project is expected to be operational by 2027, with a location to be decided east of the Rocky Mountains. Sage, a startup backed by major energy firms, will use this project to scale its innovative geothermal technology.
Equinor has decided to halt its offshore wind development plans in Vietnam and close its Hanoi office. The decision reflects broader challenges in Vietnam's renewables sector, including delays in regulatory reforms and political instability. This setback follows similar moves by other major players, like Ørsted, and highlights difficulties in Vietnam's ambitious wind energy goals, which aim for 6 GW of offshore wind capacity by 2030.

Norges Bank Investment Management (NBIM) has committed €900 million (approximately $1 billion) to Copenhagen Infrastructure Partners' fifth flagship renewable energy fund. The investment will support projects across offshore and onshore wind, solar farms, grid distribution, and energy storage. Mie

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