Tawanai

This was reported in The News. An American firm Sheladia would undertake a viability study for generation of up to 10 megawatts (MW) of electricity from solid waste in Karachi under a US-funded project.

Funds for the study would be channelled through Alternative Energy Development Board (AEDB), the focal point for promotion of renewable energy resources in the country. An agreement to this effect would be formally inked next week between Sheladia and AEDB.

The firm plans to commence the $325,000 project shortly, which would be concluded in about five months. It has been asked to complete the waste management study, defining the best options for converting it to energy and preparing required tender documents for the power plant. The plant will then be set up under public-private partnership.

AEDB Chief Executive Officer Arif Alauddin, speaking after a briefing held in connection with the feasibility study, said all efforts would be made to get it completed on a fast track.

“It is really encouraging to note that an agreement between AEDB and Sheladia would be signed in a week’s time for conducting the study for producing 5-10MW through solid waste, which will not only expand electricity production sources, but would also make modest contribution to reducing the energy deficit facing the country,” said Richard O’Shea, representing the US Consulate General and USTDA.

Alauddin said it will be the first study of its kind and the project when implemented will become a model waste to energy project for other cities to follow. “Not only such a project will administer local waste, it will also add to power generation, lessen load-shedding and utilise renewable energy resources for increasing the security of energy supply.”

The CEO said AEDB was working on expeditious development of renewable energy resources in the country and the First commercial wind farm established by M/s Zorlu would be inaugurated in about two weeks. Karachi City Nazim, Syed Mustafa Kamal welcomed the AEDB initiative and called it appropriate. He guaranteed AEDB of absolute support of his office to certify that the study is completed in time and is of the topmost eminence.

Mustafa Kamal stated that he considers Solid Waste Management an imperative bustle for Karachi and has been functioning on fast tract on this for some time. He stated that he had set up 8 stations to ensure that the waste is collected in these centres during the day and is transported to the dumping site in the night, where the traffic is thin. Karachi having a population of 18 million produces 10,000 tonnes of solid waste daily. Power generation through waste would not only facilitate cut down the electricity deficit, but would also help in addressing the issues of pollution.

Energy, Investment, Renewable Energy

Merril Lynch issues regular updates on the macroeconomic conditions in the country. Here is what they wrote about the oil and gas industry situation in the December 24th update.

Drilling activity is slow to pick up in 1HFY09. Only four exploration and two development wells were drilled up to November, according to PPIS, relative to the full-year target of 40 and 50 wells, respectively. The full-year drilling target is likely to be revised down.

Relative to its peers, production surprises are limited for PPL. The expected production growth of 2-3% in
FY09 depends on completion of phase II expansion phase on Tal block.

Gas, Investment, Oil, Pakistan

Pakistan is facing hard time as the shortage of Petroleum and Gasoline has hit the country. From the last couple of weeks there has been an era of difficulty on Industrial, consumer and contractor basis. The economical situation of the country is not stable. With this artifical shortage of petroleum and gas the industries are in trouble. Industrialists fear that they would not be able to meet their orders in time. Many industries are being closed or shut down as a result of these issues. As the price of petrol came down there has been a reverse effect. Petrol stations are closed as government is unable to provide petrol to people. Instead of saving Pakistani government stopped the inflow of petrol into the country. People on the other hand have started making rumours of why there has been such shortage. Some think its going to the military where as some say that its an artificial shortage. On the latest news till now the prime minister has requested Iran to aid Pakistani to meet the oil shortage.

On the other hand Sui Northern Gas Compnay has also limited its supply and then again industries and consumers are paying the price for it. There is a word out these days called “Gas Load Shedding”. The company has failed to provide gas to CNG stations and homes. Shortly after the petrol was available on the filling stations, CNG went out. There was not a single gas station open in Lahore at the day time because of the shortage. The CNG station owners say that out of 15% there is 2% gas available to them which is not a good number. In Lahore CNG stations start there business at the midnight and go till 8 in the morning. Both the domestic consumers and the industrialists have protested heavily against the government.

The oil and gas shortage is a threat to Pakistan’s economic stability. If the industries are shut down there would be no domestic or foreign investment. The stock markets will fall. Government has a limited time barrier to come over these problems or to face heavy damages to the infrastructure of the country.

Consumers, Economics, Energy, Gas, Infrastructure, Investment, Oil, Petrol

According to JS Research, oil prices are at their lowest levels since March 2005, down 69% from 2008 peak levels. And that has prompted investors to sell energy stocks globally. Similarly we have recently seen increase in off-market discount in E&P shares. Uncertainty regarding international oil prices is rising and thus it looks difficult to bet on which direction they will set in.

In Pakistan, OGDC, PPL and POL are all cash rich and can weather this storm but their dividends can shrink if falling oil price situation does not improve. The impact of price change would be significant for POL due to higher oil share in its hydrocarbon profile, followed by lesser impact on OGDC and PPL.

Economics, Investment oil price

Via Fast Company.

Vinod Khosla is pouring his own millions into science experiments to counter global warming — and to prove he’s the smartest guy in the Valley.

Over the past four years, Khosla has become the world’s foremost investor in environmental startups. He has committed an estimated $450 million of his personal fortune to financing 45 ethanol factories, solar-power parks, and makers of environmentally friendly lightbulbs, batteries, and automotive components. These investments have made him the most prominent of an increasingly rare breed, the so-called angel investors who put their own funds into the youngest of companies — including outfits that are pursuing the most innovative, but not yet commercially viable, approaches to serious problems such as global warming. It’s a kind of seed-stage investing that traditional venture funds have largely abandoned. And rightly so, Khosla says. “If somebody comes to you with a cold-fusion idea, you should not be funding it as an investor with other people’s money. Funding it, if they’re credible people, as a science experiment, as a hobby, is perfectly okay — as long as it’s your own money.”

Khosla’s green investing has made him something of a celebrity, mentioned in the media with the likes of mogul Richard Branson, former President Bill Clinton, Hollywood producer Stephen Bing, and General Motors chairman and CEO Richard Wagoner. I’ve known Khosla since his days as a recent immigrant from India more than two decades ago but hadn’t seen him in years until we met in his office in Menlo Park, California, earlier this year. Khosla Ventures is tucked away in an unprepossessing corner of a redwood complex of small offices. The decor is rental-furniture bland. The only reading set out for visitors is a four-month-old issue of National Geographic with a cover story on biofuels. Khosla’s own office is spare, with 15 large black-and-white photographs of his four children on the walls. For others in the firm, office dress is Silicon Valley casual — jeans, fleece vests, and running shoes — but Khosla arrives more elegantly attired, in taupe slacks; a chocolate long-sleeve, zip-neck knit shirt; and slip-ons in luggage tan with leather bows and kilties. He’s 53, a slender 5-foot-10, genial and looking relaxed despite the prominent dark circles under his eyes.

Energy, Green, Investment

Abu Dhabi is hosting an international event: World Future Energy Summit. Top government officials, heads of global organisations, leading environmentalists and the largest international investors are meeting once again at the World Future Energy Summit, 19-21 January 2009, Abu Dhabi to discuss, debate and plan the world’s future energy. The Summit is the platform for policy decision making, investment and high-level business deals.

Prominent leaders and personalities are planning to attend.

• His Royal Highness Prince Willem-Alexander of the Netherlands, Prince of Orange
• H.E. Abdulrahman Bin Hamad Al-Attiyah, Secretary-General, GCC 
• Dr. Sultan Ahmed Al Jaber, CEO, MASDAR, Abu Dhabi Future Energy Company
• Ana Aguirre Zurutuza, Minister for Industry and Commerce, Basque Government
• Dan Arvizu, Director, National Renewable Energy Lab, USA
• Tony Blair, Former Prime Minister, UK
• Preston Chiaro, Chief Executive Energy, London, Rio Tinto
• Vivienne Cox, Chief Executive, BP Alternative Energy
• Henry Derwent, President and CEO, International Emissions Trading Association
• Ditlev Engel, CEO, Vestas
• Sigmar Gabriel, (representing Angela Merkel) Federal Minister for the Environment, Germany
• Prof. Herbert Girardet, Director of Programmes, World Future Council
• H.E. Connie Hedegaard, Minister for Climate and Energy, Denmark
• Dr. Susan Hockfield, President, Massachusetts Institute of Technology
• Jean-Paul Jeanrenaud, Head of Business and Industry Policy, WWF International
• Vinod Khosla, Khosla Ventures
• Dr. Gerd Leipold, International Executive Director, Greenpeace International
• H.E. Moritz Leuenberger, Minister of Energy, Environment and Public Transport, Switzerland
• Dr. Frank Mastiaux, CEO. E.ON Climate and Renewables
• Esteban Morrás, CEO and Board Member, Accciona Energy
• Dr. Rajendra Pachauri, Chairman, Intergovernmental Panel on Climate Change
• Andris Piebalgs, Commissioner for Energy, European Commission
• Kevin Parker, Managing Director – Global Head, Asset Management, Deutsche Bank
• Prof. Hermann Requardt, Chief Technology Officer, Siemens AG
• Dr. Hermann Scheer, President of EUROSOLAR, General Chairman of the World Council for Renewable Energy (WCRE), President of the International Parliamentary Forum on Renewable Energies; Member of the German Bundestag.

Energy, Events, Green, Investment

The Abu Dhabi National Energy Company has expressed interest in setting up a coal-based power plant in Pakistan. The company’s vice-president, Abdullah Khunji, discussed the proposal with Pakistani President Asif Ali Zardari and indicated its willingness to invest in the power sector. Well, we’ll see when this one starts!

Zardari was in the United Arab Emirates’ capital Abu Dhabi on an official visit to boost business ties and strategic cooperation between the two countries. Khunji later told reporters that Pakistan was the best place for investment and his company would soon launch its energy projects in the country. The president assured him of the government’s full support and cooperation.

Emirates Investment Group chairman Tariq Al Qasimi also met Zardari and expressed his group’s desire to invest in Pakistan’s financial sector. Qasimi told reporters his company had its presence in Pakistan and was exploring new avenues of investment in the agriculture and banking sectors.

UAE Minister for Petroleum Mohammad Dhaen Al Halimi also met President Zardari and discussed with him prospects of cooperation in the energy, oil and gas sectors. The president praised the UAE for investing 5 billion dollars on a refinery in Baluchistan and said he hoped that the private sector would invest more in joint venture projects in the petroleum and energy sectors.

Via Adnkronos.

Energy, Investment