11/29 Closing prices / revised 11/30/2023  08:05 GMT 11/29    OPEC Basket    83.89 +0.49 | 11/29    Mezcla Mexicana de Exportación   Mexico Basket (MME)   $74.39  +1.37  | 10/31     Venezuela Basket (Merey)  $72.54  – 3.00  (Source: Economia Hoy)  | 11/29    NYMEX WTI Texas Intermediate January CLF24   $77.86 +1.45    | 11/29    ICE Brent January  BRNF24   $83.10   +1.42  | 11/29    NYMEX Gasoline December  RBZ23    $2.28   +2.4% | 11/29     NYMEX  Heating Oil  December HOZ23   $2.89  -0.6% | 11/29     Natural Gas January NGF24    $2.80 -1.2%  | 11/22    Active U.S. Rig Count (Oil & Gas)    622     +4    | 11/30     USD/MXN Mexican Peso  17.2702 (data live  | 11/30   EUR/USD    1.0954  (data live)  | 11/30    US/Bs. (Bolivar)   $35.49390000  ( data BCV)    |      

CERAWeek-NextEra CEO says offshore wind a bad bet – Reuters

Electric power transmission pylon miniatures and Nextera Energy logo are seen in this illustration taken, December 9, 2022.
Electric power transmission pylon miniatures and Nextera Energy logo are seen in this illustration taken, December 9, 2022. (Dado Ruvic/Illustration/Reuters)

David French, Reuters

Energiesnet.com 03 08 2023

Offshore wind is a bad bet due to the complications of installing and maintaining infrastructure at sea and the high cost of transmitting electricity back to shore, NextEra Chief Executive John Ketchum said on Wednesday.

“It’s very capital intensive,” he said during an event at the CERAWeek energy conference in Houston.

U.S.-based NextEra is the world’s largest producer of renewable power, with a focus on solar and onshore wind.

The administration of President Joe Biden is hoping to grow U.S. offshore wind power as part of its multipronged effort to decarbonize the economy to fight climate change. It has auctioned leases in federal waters. But most of the interest in those leases has so far come from European companies with years of experience in the offshore wind sector, which took off in Europe decades ago.

Ketchum said some of the industry’s complications included salt water corrosion, the threat of hurricanes, the availability of ships and the installation of subsea transmission cables, and added that supply chain issues have driven up the costs.

“We find it hard enough just to take care of a fleet onshore with some of the issues that we deal with as a company, and we’re best in class,” he said.

Ketchum said NextEra expects its power generation capacity – excluding its regulated utility Florida Power and Light – to grow dramatically in the next few years, from around 25 gigawatts now to around 70 gigawatts in 2026.

“And that installed capacity is going to come from renewables only,” he said.

He said the company’s plans assume huge advancements in battery storage technology needed to provide power to the grid when the sun is not shining and wind is not blowing. Batteries for power storage currently only last around four hours.

“You’re going to see significant innovations that come to market for the next, I’d say, five to seven years that are going to dramatically change how we think about batteries,” he said.

He said the electric vehicle industry was driving much of the innovation in batteries.

Ketchum said the Biden administration’s Inflation Reduction Act, which provides some $370 billion in incentives for clean energy, was a significant boost to the industry and that NextEra was well-placed to take advantage of it because of the company’s scale.

Despite having the largest renewable power fleet, Ketchum believed natural gas would play an important role in generation until storage technology improves.

“I mean it’s just putting your head in the sand to believe that the energy transition that this country is embarking on will work without natural gas power generation.”

Reporting by David French; Writing by Simon Webb; Editing by Rich Valdmanis and David Gregorio

reuters/com 03 08 2023

Share this news

Support EnergiesNet.com

By Elio Ohep · Launched in 1999 under Petroleumworld.com

Information & News on Latin America’s Energy, Oil, Gas, Renewables, Climate, Technology, Politics and Social issues

Contact : editor@petroleuworld.com

CopyRight©1999-2021, EnergiesNet.com™  / Elio Ohep – All rights reserved

This site is a public free site and it contains copyrighted material the use of which has not always been specifically authorized by the copyright owner.We are making such material available in our efforts to advance understanding of business, environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have chosen to view the included information for research, information, and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use’, you must obtain permission fromPetroleumworld or the copyright owner of the material.

Scroll to Top