Category: Energy

Renewable energy not profitable now, says Brics Bank chief KV Kamath

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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K.V. Kamath, the chief of the New Development Bank of the BRICS countries said on Saturday that the renewable energy sector will be profitable moving forward but not at the moment with many fossil fuel plants in place.

In an exclusive interview with CNBCTV18, the banker said that it doesn’t really make sense to put in new fossil fuel plants unless they have some extraordinary measures to build the same.

He also added that the renewable sector is changing dramatically with the price curve going downwards.

“With the current level of committed projects, you imagine a commitment which is 5x or 10x of what it is, you look at off-grade type of structures, you are looking at cost dropping dramatically and these sort of structures are not only in India but also in large markets like China and in due course could be in Africa,” Kamath said.

Kamath added that if solar is going to be the future of power sector, then the coal plants should retrofit to make the plants more efficient and less polluting.

“So there are very interesting ways that over the next 15-20 years when the residual life of these plants – you need them. You cannot mothball them today because you need that power,” he said.

The need of the hour is to make the existing plants efficient enough while adding new solar plants and infrastructure in place, Kamath concluded.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Crude price rises on Trump-Kim Jong meeting in May

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Crude prices rose on Friday after U.S. President, Donald Trump and North Korean leader, Kim Jong Un agreed to hold a meeting in May.

The global benchmark for crude, Brent was trading at $63.84 per barrel while the U.S. West Texas Intermediate (WTI) crude was trading at $60.29 per barrel at 0851 GMT.

The crude prices rose on the speculations of the meeting that would take place at a place and date which will be announced later, the White House said, as reported by Reuters.

The North Korean leader said that it will refrain from any kind of nuclear missile testing till the meeting, South Korea’s national chief said after a meeting between Seoul and Pyongyang.

Despite the rise in the prices, both the benchmarks are on a 1 percent and 1.6 percent weekly decline.

United States has emerged as the largest crude exporting country, surpassing Saudi Arabia with its increased shale production.

“It seems only a matter of time before the U.S. becomes the biggest oil producer in the world. The main question which keeps investors busy is when exactly this will be reached,” Hans van Cleef, senior energy economist at Dutch bank ABN Amro, said in a note to investors, as reported by Reuters.

However, the demand for crude will slowdown eventually due to the weather conditions in the Northern Hemisphere and will help in the rise of the crude prices.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

JSW MD Sajjan Jindal says import tariffs will not hamper exports

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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Jindal South West Group’s (JSW Group) managing director and chairman, Sajjan Jindal on Friday complimented U.S. President Donald Trump on the imposition of import tariffs on goods on Twitter.

Jindal tweeted saying that it is an importantly strategical step towards safe guarding the steel and other industries in developing and developed nations, further adding that the tariffs on imports will not hamper the exports of a country.

China has a surplus production of about 15%,which they use to disrupt the steel industry world over by dumping cheap quality steel. What @POTUS has done is something our policy makers should replicate. Infact Steel should be excluded from all FTAs @SteelMinIndia @sureshpprabhu

— Sajjan Jindal (@sajjanjindal) March 9, 2018

He also said that the domestic manufacturers should be protected come what may and the National Democratic Alliance (NDA) government should focus on the bigger picture instead of what the vote bank demands.

On Thursday, Anand Mahindra, chairman of India’s largest tractor maker Mahindra & Mahindra (M&M) took to social media  website Twitter to dispel worries about tariff imposition by the U.S. on Indian ggods.

Mahindra, in a series of tweets, said that “India can stand tall in a trade war,” adding that countries with large domestic economies can easily withstand tariff threats.

“MNC’s wanting access to India’s markets will have to manufacture locally, which they will. So no danger of drifting back to a socialist, stagnant economy. I’m no believer in protectionism & enjoy competing globally but I believe India can stand tall in a trade war,” Mahindra said.

He further added that India is a free economy with innovative start-ups, access to global technology and is resource-rich having the ability to meet its commodities demand by importing from outside.

Not sure why Indian markets seem so perturbed by the threat of global tariff wars.Small, export focused countries stand to lose. Countries with large domestic economies can easily withstand tariff threats. The world needs access to the fastest-growing large economy—India.(1/3)

— anand mahindra (@anandmahindra) March 8, 2018

If India retaliates with tariffs,the effect will be very different from what it was https://t.co/fbItr5dRAL,India’s a free-market economy&can access global technology&capital to fuel its own innovative https://t.co/KTEwTlNBtb’s resource-rich&can import commodities it lacks(2/3)

— anand mahindra (@anandmahindra) March 8, 2018

The tweets come after a day the U.S. President, Donald Trump imposed a 25 percent tariff on the import of aluminum and steel.

However, the U.S. has kept Canada and Mexico out of the said tariff imposition.

Countries like China, Brazil, India, Russia, Korea, Thailand and South Africa will face the brunt of this new metal tariff blow.

Trump is already facing resistance from his own Republican government, where few lawmakers are of the opinion that this trade war may retaliate from countries like China.

In the Asian trading hours on Friday, Chinese commodities were cracking as the Shanghai Rebar extended losses, down 5 percent at 3,666 Yuan/Tonne.

The Dalian iron ore also fell 5 percent, with February Chinese iron ore imports declined 16 percent from a month ago.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Moody’s: Investment in renewable energy sector in India and China profitable in long term

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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China and India, world’s most populated countries, have emerged as an investment pool for the renewable energy sector, Moody’s Investor Services said in a report on Thursday.

The countries which are ranked as A1 stable and Baa2 stable respectively by the rating agency, have been highly dependent on fossil fuels to meet its energy needs and investment in the clean energy sector will be profitable in the long run.

“However, there remain the hurdles of an evolving regulatory framework, land acquisition, leverage risks, and access to funding capacities. In the near term, these hurdles will limit the credit benefits of the shift to renewable energy for both sovereigns,” Moody’s said.

The investment will boost the countries’ growth potential and improve energy securities, the rating agency said adding that it expects the renewable energy capacity to increase by 34% and 40% of total installed power capacity by 2020 and 2030 for China and India respectively.

China and India have increased its investing capacity to implement renewable energy across the sectors as well as reducing the countries carbon emission targets.

Towards the end of 2017, both the countries faced with smog related issues, with China shutting down its coal and iron ore production as well as importing the same from other countries.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow

Power is a stressed sector for entire banking space, says SBI

KV Prasad Jun 13, 2022, 06:35 AM IST (Published)

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The power minister has said that State Bank of India is “worried” about its exposure to the Mundra power projects of both Adani Power and Tata Power. He also went on to express concerns over stressed assets in the power sector as a whole. In an interview to CNBC-TV18, Sunil Srivastava, Deputy MD of SBI spoke about the same.

Srivastava said that power is a stressed sector for the entire banking sector.

He further said that there is a problem related to distribution and DISCOMS’ (Distribution Companies) health.

“Addressing these issues in a short possible time of six months is going to be very-very difficult,” said Srivastava.

According to him, there are 34 thermal power plants under stress.

DISCOMS looking at buying cheap power over exchange than honouring their contract, he added.

Srivastava also mentioned that Central Electricity Regulatory Commission (CERC) is taking time in revising tariffs.

There are still a few power plants that could be classified as non-performing assets (NPAs). However, not all gas-based power plants are under stress, he said.

For entire interview, watch accompanying video.

Elon Musk forms several ‘X Holdings’ companies to fund potential Twitter buyout

3 Mins Read

Thursday’s filing dispelled some doubts, though Musk still has work to do. He and his advisers will spend the coming days vetting potential investors for the equity portion of his offer, according to people familiar with the matter

KV Prasad Journo follow politics, process in Parliament and US Congress. Former Congressional APSA-Fulbright Fellow