Battery energy storage is a critical technology to reducing our dependence on fossil fuels and build a low carbon future. Renewable energy generation is fundamentally different from traditional fossil fuel energy generation in that energy cannot be produced on demand. Coal can be burned whenever power is needed—wind and solar energy rely on the wind blowing and the sun shining. Solar energy presents a particular problem in that it cannot be pro....
As technological advancements occur through new developments in the offshore wind energy industry, there will be times where these large projects may impact the cultural heritage of humanity's past in our waters. Federal, State, and Tribal government agencies in the United States have regulations in place to protect archaeological cultural resources within and outside their territorial boundaries. The success of offshore projects relies on buildi....
The growth and rapid evolution of the offshore wind industry and the introduction of new, US Jones Act-compliant offshore wind vessels mean that wind operations may involve the use of Jones Act seamen, maritime employees, and other non-maritime employees. Such workers variously fall under the purview of the Jones Act, the Longshore and Harbor Workers’ Compensation Act (LHWCA), and other laws that determine their rights and remedies in cases of ....
Identifying trees, grasslands, and wetlands on landscape-scale project sites has never been simple or clear-cut.
Aerial photos are subject to divergent interpretations. Field surveys incur higher costs from hours spent documenting and mapping observations, and datasets such as the National Land Cover Database can be too coarse to capture nuances in the terrain.
While landscapes change constantly, regulatory officials request informati....
The American Clean Power Association (ACP) announced a new partnership with sustainable finance technology company Crux to make clean energy tax credit transfers more accessible to the cleanenergy industry. Starting immediately, ACP’s 800+ member companies will be able to access discounted transaction fees on Crux’s platform.
Crux is changing the way clean energy projects are financed in the United States, starting with transactions for the new transferable clean energy tax credits created by the Inflation Reduction Act (IRA). The new transferable tax equity market allows, for the first time, clean energy developers and manufacturers to sell their tax credits to third parties for cash—creating a powerful market mechanism to expand access to capital for clean energy infrastructure, innovative technologies, and advanced manufacturing.
“Our partnership with Crux will help catalyze accessible funding alternatives for clean energy,” said Jason Grumet, ACP’s Chief Executive Officer. “By simplifying the ability to monetize tax credits, the industry can invest more effectively and flexibly, bringing more projects, jobs, and investment to communities across the U.S. This collaboration underscores ACP’s commitment to leading innovative solutions that drive the industry forward.”
This partnership provides ACP members with discounts on transferable tax credits transaction fees as well as access to programming and insights developed by Crux—such as PowerCasts, white papers, reports, and more—throughout the year.
“Capitalizing on the tremendous growth opportunity for our clean energy sector and maximizing the tax incentives provided by the IRA requires expanding the tax equity investor base,” said Susan Nickey, ACP Board Chair and Chief Client Officer at HASI. “Partnering with Crux provides the industry with critical tools, data, and pricing transparency to build a robust and efficient market for tax credit transfer transactions. I am thrilled to see ACP members gain access to key resources to help accelerate the deployment of clean energy solutions.”
The partnership will launch officially at CLEANPOWER 2024, ACP’s premier conference which brings policy leaders, industry experts, and major players together for a week of learning, networking, and innovation. At the event, which kicks off May 6 in Minneapolis, Crux CEO and co-founder Alfred Johnson will be participating in daily fireside chats on the PowerCasts stage designed to educate members and attendees on clean energy tax credits.
“Crux is thrilled to partner with the American Clean Power Association to offer its organization of the most prominent clean energy policy leaders, industry experts, and companies access to our powerful technology and large network of tax credit buyers,” said Alfred Johnson, CEO and co-founder of Crux. “We’re looking forward to helping ACP members efficiently finance their clean energy projects in the future.”
Crux’s partnership with ACP aims to boost the emerging transferable tax equity market, estimated to have attracted $7-9 billion in its first year (according to a Crux report published in January). To date, Crux has facilitated diverse technology transactions across solar, standalone storage, microgrids, bioenergy and renewable natural gas, and advanced manufacturing, and currently has more than $8 billion in credits available on its platform.
Vikram Solar, a prominent leader in the Indian solar module manufacturing sector, is excited to announce a significant achievement—a 250 MW order win from Gujarat Industries Power Company Limited (GIPCL). The company has successfully received the Letter of Intent (LoI), signalling a major advancement in enhancing India's solar energy capabilities and supporting the country's ambitious solar objectives.
The modules to be supplied under this agreement fall within the Approved List of Models and Manufacturers (ALMM), featuring high-efficiency panels. This collaboration is set to catalyze the development of solar energy infrastructure in Gujarat.
Mr. Gyanesh Chaudhary, Chairman & Managing Director of Vikram Solar, expressed his enthusiasm about the partnership, stating, “We are thrilled to secure this order, which reinforces the strong and enduring relationship between Vikram Solar and GIPCL. This new agreement underscores their confidence in our capabilities and commitment to excellence. Our focus remains on innovation, performance, and customer satisfaction. As India progresses towards its green energy objectives, we are optimistic about future prospects and are ready to play an integral role in transforming India's renewable energy landscape and enhancing its stature as a global leader in sustainable practices.”
Under the terms of the agreement, Vikram Solar will manufacture, test and deliver high-efficiency, bifacial solar PV modules employing cutting-edge technology with the range of minimum module capacity of 540Wp and maximum module capacity of 570Wp. These modules will be deployed at the MW RE Park in Village Khavda, in the vast expanses of the Great Rann of Kutch, Gujarat.
Clear Blue Technologies International Inc. (TSXV: CBLU) (FRANKFURT: OYA) (OTCQB: CBUTF) announces that it requires an additional two (2) weeks to complete its audited financial results for 2023. During Q1 2023, Clear Blue acquired eSite Power Systems AB (“eSite”), a telecom site power systems provider located in Lidköping, Sweden.
The completion of the audit for this transaction has created the need for additional time to complete the audit and release the full financial statements for Clear Blue for fiscal 2023. As a result, the Company applied for a management cease trade order ("MCTO") under National Policy 12-203 - Management Cease Trade Orders ("NP 12-203"). An MCTO has been granted by the Company's principal regulator, the British Columbia Securities Commission (the "BCSC").
The MCTO restricts trading in securities of the Company by management of the Company until such time as the Annual Filings have been filed by the Company and the MCTO is no longer in effect. The MCTO does not affect the ability of shareholders to trade their securities and the general investing public will continue to be able to trade in the Company's common shares. However, the Company's CEO and CFO will not be able to trade the Company's common shares until such time as the Annual Filings have been filed and all continuous disclosure requirements have been satisfied by the Company, and the MCTO has been revoked by the BCSC.
The Company is working diligently with its auditors to complete the audit work and expects to release the fully audited financial statements and related documents on or before May 15, 2024. The Company will issue a news release once the Annual Filings have been filed. The Company confirms that it intends to satisfy the provisions of section 4.4 of NP 12-203 and issue bi-weekly default status reports for so long as the Company remains in default of the financial statement filing requirement. Such report will disclose any material changes to the information in this release; all actions taken by the Company to remedy the default; particulars of any failure by the Company to fulfill these provisions; any subsequent defaults of the Company requiring a default announcement; and any other material information concerning the affairs of the Company not previously disclosed. The Company is not be subject to any insolvency proceedings nor is there in other material information concerning the affairs of the Issuer that has not been generally disclosed.
Community and company leaders celebrated the opening of GAF Energy's new 450,000-square-foot Timberline Solar manufacturing facility in Georgetown, Texas. GAF Energy, a Standard Industries company and a leading provider of solar roofing in North America, built the facility to meet the growing demand for the company's solar roof, Timberline Solar. The event brought together community leaders, including Georgetown Mayor Josh Schroeder and State Representative Caroline Harris Davila, alongside GAF Energy and Standard Industries leadership to officially “cut the ribbon” on the facility.
"Today is a great day for the future of solar and the future of Georgetown,” said Martin DeBono, President of GAF Energy. “We’re thrilled to be celebrating the opening of our manufacturing complex here in Georgetown, Texas. We’ve been overjoyed with our decision to build in Georgetown, the community has welcomed us with open arms and made it feel like home.”
“We are excited to celebrate GAF Energy opening here in Georgetown,” Mayor Schroeder said. “What is equally as exciting is the impact this project will have on our community through the creation of high-paying jobs for Georgetown residents and the creation of new career opportunities in advanced manufacturing and clean energy for students in Georgetown ISD. Thank you to GAF Energy for choosing Georgetown, and we look forward to growing together with you in the years to come.”
The facility builds on GAF Energy’s track record of delivering a best-in-class solar roof product that is assembled in America. The new manufacturing facility, the company’s second, will increase its capacity by 500% and bring total production of its solar shingle to 300 megawatts annually, making GAF Energy the largest producer of solar roofing in the world.
Premier Truck Rental (PTR), a leading nationwide provider of custom truck and trailer rentals, is proud to announce its recognition as the fourth-place winner in the NAFA (National Association of Fleet Administrators) Top 100 Commercial Fleets of America competition. NAFA commended PTR for its exemplary fleet management practices and impactful contribution to the industry.
The NAFA Top 100 Commercial Fleets of America award recognizes and celebrates the top-performing commercial fleets across the United States. PTR's fourth-place achievement reflects its commitment to excellence, advancement, and operational efficiency in the realm of fleet management.
In a competitive evaluation process, PTR demonstrated exceptional performance across the following key criteria:
1.Accountability
2.Asset Management
3.Business Management
4.Financial Management
5.Use of Technology & Information
6.Maintenance Management
7.Professional Development
8.Risk Management
9.Fuel Management
10.Sustainability
Adriene Horn, President of PTR, remarked, "The NAFA Top 100 Fleet Award is a testament to the unwavering commitment to excellence and hard work demonstrated by our team every day.”
PTR continues to innovate and elevate its services to meet the evolving needs of its customers while maintaining a strong focus on efficiency, customer service, quality and industry-leading practices.
President/CEO of the Cambria County Association for the Blind and Handicapped (CCABH), Tara Bosserman, has been chosen as one of Pennsylvania Business Central’s Women in Business’ Top Non-Profit Female Leaders. This well-deserved honor recognizes women throughout Pennsylvania who are not only leaders of a non-profit organziation but also are dedicated to their community.
Tara receives this honor in just her third year of presidency and is a testament to her commitment to the mission of CCABH. The mission of the Cambria County Association for the Blind and Handicapped is to develop and support an environment for persons with disabilities which promotes vocational and employment training, independence, and community involvement through rehabilitative, recreation and low-vision services, and education for the prevention of blindness. The Cambria County Association for the Blind and Handicapped unites vocational training and a manufacturing business producing quality products, that offers employment for persons with disabilities while ensuring worldwide customer satisfaction.
Tara Bosserman states, “It is a true honor and privilege to be recognized as a leader in the non-profit sector along with so many other amazing women.”
Boviet Solar Technology Co. Ltd. (the "Company" or "Boviet Solar"), a Vietnam solar energy technology company specializing in manufacturing monocrystalline PV cells, Gamma Series Monofacial, and Vega Series Bifacial PV Modules, announces its selection of Greenville, Pitt County, North Carolina as the location for their first production facility in North America.
The manufacturing facility includes two phases and represents a total investment of $294 million. It's expected to create approximately 908 skilled local jobs and generate positive economic impact for the area once facilities are fully ramped up. This will be Boviet Solar's first United States manufacturing facility and the second globally, following its successful track record of PV cell and module production in Vietnam.
"Our dreams of producing our PV modules in the U.S. finally come to realization," said Jimmy Xie, General Manager of Boviet Solar. "We are proud of bringing our manufacturing excellence to our most important solar market, creating jobs, and making a positive impact on North Carolina's economy. We are committed to expanding solar as a widely used renewable energy source in the U.S. and delivering locally made, top-performing PV modules to accelerate the advent of the global renewable revolution."
"We are excited about the establishment of a manufacturing facility in North Carolina, which will allow us to bring 'Made in USA' products to the market," said Scott Chen, Vice President of Global Sales and Marketing at Boviet Solar. "This strategic move exemplifies our client-centric business philosophy and commitment to providing unparalleled quality and service to our valuable clients. By localizing production, we are confident in offering enhanced flexibility, reliability, and agility in meeting client demands."
"We are thrilled to embark on this new chapter in our journey as our establishment into North Carolina marks a pivotal moment in our mission to foster stronger connections with our clients while driving innovation and excellence in everything we do," said Sienna Cen, President of Boviet Solar USA. "Our investment in North Carolina underscores our dedication to not only meeting but exceeding client expectations. Through 'Made in America' products, we are confident in our ability to deliver superior experiences and remain responsive to the diverse needs of our clients."
The PV module manufacturing facility will produce Boviet Solar's TOPCon N-Type cell, technology-based Monofacial and Bifacial PV modules for residential, commercial, industrial, and utility-scale U.S. clients. Phase one of the project will utilize the existing building to manufacture solar modules. Phase two will include constructing a state-of-the-art 500,000 to 600,000-square-foot factory on 34 acres to manufacture PV cells. This location is expected to output 2 GW of solar panels and 2 GW of PV cells annually. Official opening and mass production of the factory is scheduled for Q1 2025.
"It's great to welcome Boviet Solar to North Carolina," said North Carolina Governor Roy Cooper. "This decision has proven yet again that North Carolina is a hub for clean energy, offering advanced manufacturers a skilled workforce, an excellent quality of life, and affordable communities to support its work in sustainability."
"Boviet Solar's decision to establish a manufacturing facility right here in Greenville-Pitt County not only signifies a significant investment in our local economy by bringing in a $294 million investment and 908 new jobs but also underscores the vital role our region plays in advancing renewable energy initiatives," said Rep. Donald G. Davis. "This investment in North Carolina's 1st District speaks volumes about the strength of our community and our shared dedication to fostering innovation and sustainability. I look forward to seeing the positive impact this project will bring to the East."
"I could not be more excited to welcome Boviet Solar to Greenville," said Greenville's Mayor P.J. Connelly. "Since taking the oath of Mayor, I have been a strong advocate for partnerships and collaboration in our economic development work. Welcoming a manufacturer of this magnitude in our community is a win for Greenville, Pitt County, and all of eastern North Carolina, and we owe a lot of it to our collaborative efforts."
The U.S. solar industry has been key for Boviet Solar since it first entered the market in 2015. Boviet Solar has also been a Bloomberg New Energy Finance Tier 1 PV Module Manufacturer since 2017. The company offers financial and business stability, technology expertise, manufacturing excellence, top-performing PV modules, strong ESG protocol, and supply chain transparency. Boviet Solar's PV modules are known for their power, performance, and quality and have been rated as top performers on PVEL's PV Module Reliability Scorecard since 2019.
The United States is slow to anger, but relentlessly seeks victory once it enters a struggle, throwing all its resources into the conflict. “When we go to war, we should have a purpose that our people understand and support,” as former Secretary ....
Unleashing trillions of dollars for a resilient energy future is within our grasp — if we can successfully navigate investment risk and project uncertainties.
The money is there — so where are the projects?
A cleaner and more secure energy future will depend on tapping trillions of dollars of capital. The need to mobilize money and markets to enable the energy transition was one of the key findings of one of the largest studies ever conducted among the global energy sector C-suite. This will mean finding ways to reduce the barriers and uncertainties that prevent money from flowing into the projects and technologies that will transform the energy system. It will also mean fostering greater collaboration and alignment among key players in the energy space.
Interestingly, the study found that insufficient access to finance was notconsidered the primary cause of the current global energy crisis. In fact, capital was seen to be available — but not being unlocked. Why is that? The answer lies in the differing risk profiles of energy transition investments around the world. These risks manifest in multiple ways, including uncertainties relating to project planning, public education, stakeholder engagement, permitting, approvals, policy at national and local levels, funding and incentives, technology availability, and supply chains.
These risks need to be addressed to create more appealing investment opportunities for both public and private sector funders. This will require smart policy and regulatory frameworks that drive returns from long-term investment into energy infrastructure. It will also require investors to recognize that resilient energy infrastructure is more than an ESG play — it is a smart investment in the context of doing business in the 21st century.
Make de-risking investment profiles a number one priority
According to the study, 80 percent of respondents believe the lack of capital being deployed to accelerate the transition is the primary barrier to building the infrastructure required to improve energy security. At the same time, investors are looking for opportunities to invest in infrastructure that meets ESG and sustainability criteria. This suggests an imbalance between the supply and demand of capital for energy transition projects.
How can we close the gap?
One way is to link investors directly to energy companies. Not only would this enable true collaboration and non-traditional partnerships, but it would change the way project financing is conceived and structured — ultimately aiding in potentially satisfying the risk appetite of latent but hugely influential investors, such as pension funds. The current mismatch of investor appetite and investable projects reveals a need for improving risk profiles, as well as a mindset shift towards how we bring investment and developer stakeholders together for mutual benefit. The circular dilemma remains: one sector is looking for capital to undertake projects within their skill to deploy, while another sector wonders where the investable projects are.
This conflict is being played out around the world; promising project announcements are made, only to be followed by slow progress (or no action at all). This inertia results when risks are compounded and poorly understood. To encourage collaboration between project developers and investors with an ESG focus, more attractive investment opportunities can be created by pulling several levers: public and private investment strategies, green bonds and other sustainable finance instruments, and innovative financing models such as impact investing.
Expedite permitting to speed the adoption of new technologies
Another effective strategy to de-risk investment profiles is found in leveraging new technologies and approaches that reduce costs, increase efficiency, and enhance the reliability of energy supply. Research shows that 62 percent of respondents indicated a moderate or significant increase in investment in new and transitional technologies respectively, highlighting the growing interest in innovative solutions to drive the energy transition forward.
Hydrogen, carbon capture and storage, large-scale energy storage, and smart grids are some of the emerging technologies identified by survey respondents as having the greatest potential to transform the energy system and create new investment opportunities. However, these technologies face challenges such as long lag times between conception and implementation.
If the regulatory environment makes sense, then policy uncertainty is reduced, and the all-important permitting pathways are well understood and can be navigated. Currently, the lack of clear, timely, and fit-for-purpose permitting is a major roadblock to the energy transition. To truly unleash the potential of transitional technologies requires the acceleration of regulatory systems that better respond to the nuance and complexity of such technologies (rather than the current one-size-fits all approach). In addition, permitting processes must also be expedited to dramatically decrease the period between innovation, commercialization, and implementation. One of the key elements of faster permitting is effective consultation with stakeholders and engagement with communities where these projects will be housed for decades. This is a highly complex area that requires both technical and communication skills.
The power of collaboration, consistency, and systems thinking
The report also reveals the need for greater collaboration among companies in the energy space to build a more resilient system. The report shows that, in achieving net zero, there is a near-equal split between those increasing investment (47 percent of respondents), and those decreasing investment (39 percent of respondents). This illustrates the complexity and diversity of the system around the world. A more resilient system will require all its components – goals and actions – to be aligned towards a common outcome.
Another way to de-risk the energy transition is to establish consistent, transparent, and supportive policy frameworks that encourage investment and drive technological innovation. The energy transition depends on policy to guide its direction and speed by affecting how investors feel and how the markets behave. However, inconsistent or inadequate policy can also be a source of uncertainty and instability. For example, shifting political priorities, conflicting international standards, and the lack of market-based mechanisms can hinder the deployment of sustainable technologies, resulting in a reluctance to commit resources to long-term projects.
Variations in country-to-country deployment creates disparities in energy transition progress. For instance, the 2022Inflation Reduction Act in the US has posed challenges for the rest of the world, by potentially channeling energy transition investment away from other markets and into the US. This highlights the need for a globally unified approach to energy policy that balances various national interests while addressing a global problem.
To facilitate the energy transition, it is imperative to establish stable, cohesive, and forward-looking policies that align with global goals and standards. By harmonizing international standards, and providing clear and consistent signals, governments and policymakers can generate investor confidence, helping to foster a robust energy ecosystem that propels the sector forward.
Furthermore, substantive and far-reaching discussions at international events like the United Nations Conference of the Parties (COP), are essential to facilitate this global alignment. These events provide an opportunity to de-risk the energy transition through consistent policy that enables countries to work together, ensuring that the global community can tackle the challenges and opportunities of the energy transition as a united front.
Keeping net-zero ambitions on track
Despite the challenges faced by the energy sector, the latest research reveals a key positive: 91 percent of energy leaders surveyed are working towards achieving net zero. This demonstrates a strong commitment to the transition and clear recognition of its importance. It also emphasizes the need to accelerate our efforts, streamline processes, and reduce barriers to realizing net-zero ambitions — and further underscores the need to de-risk energy transition investment by removing uncertainties.
The solution is collaborating and harmonizing our goals with the main players in the energy sector across the private and public sectors, while establishing consistent, transparent, and supportive policy frameworks that encourage investment and drive technological innovation.
These tasks, while daunting, are achievable. They require vision, leadership, and action from all stakeholders involved. By adopting a new mindset about how we participate in the energy system and what our obligations are, we can stimulate the rapid progress needed on the road to net zero.
Dr. Tej Gidda (Ph.D., M.Sc., BSc Eng) is an educator and engineer with over 20 years of experience in the energy and environmental fields. As GHD Global Leader – Future Energy, Tej is passionate about moving society along the path towards a future of secure, reliable, and affordable low-carbon energy. His focus is on helping public and private sector clients set and deliver on decarbonization goals in order to achieve long-lasting positive change for customers, communities, and the climate. Tej enjoys fostering the next generation of clean energy champions as an Adjunct Professor at the University of Waterloo Department of Civil and Environmental Engineering.
The Kincardine floating wind farm, located off the east coast of Scotland, was a landmark development: the first commercial-scale project of its kind in the UK sector. Therefore, it has been closely watched by the industry throughout its installation. With two of the turbines now having gone through heavy maintenance, it has also provided valuable lessons into the O&M processes of floating wind projects.
In late May, the second floating wind turbine from the five-turbine development arrived in the port of Massvlakte, Rotterdam, for maintenance. An Anchor Handling Tug Supply (AHTS)
vessel was used to deliver the KIN-02 turbine two weeks after a Platform Supply Vessel (PSV) and AHTS had worked to disconnect the turbine from the wind farm site. The towing vessel became the third vessel used in the operation.
This is not the first turbine disconnected from the site and towed for maintenance. In the summer of 2022, KIN-03 became the world’s first-ever floating wind turbine that required heavy maintenance (i.e. being disconnected and towed for repair). It was also towed from Scotland to Massvlakte.
Each of these operations has provided valuable lessons for the ever-watchful industry in how to navigate the complexities of heavy maintenance in floating wind as the market segment grows.
The heavy maintenance process
When one of Kincardine’s five floating 9.5 MW turbines (KIN-03) suffered a technical failure in May 2022, a major technical component needed to be replaced. The heavy maintenance strategy selected by the developer and the offshore contractors consisted in disconnecting and towing the turbine and its floater to Rotterdam for maintenance, followed by a return tow and re-connection. All of the infrastructure, such as crane and tower access, remained at the quay following the construction phase. (Note, the following analysis only covers KIN-03, as details of the second turbine operation are not yet available).
Comparing the net vessel days for both the maintenance and the installation campaigns at this project highlights how using a dedicated marine spread can positively impact operations.
For this first-ever operation, a total of 17.2 net vessel days were required during turbine reconnection—only a slight increase on the 14.6 net vessel days that were required for the first hook-up operation performed during the initial installation in 2021. However, it exceeds the average of eight net vessel days during installation. The marine spread used in the heavy maintenance operation differed from that used during installation. Due to this, it did not benefit from the learning curve and experience gained throughout the initial installation, which ultimately led to the lower average vessel days.
The array cable re-connection operation encountered a similar effect. The process was performed by one AHTS that spent 10 net vessel days on the operation. This compares to the installation campaign, where the array cable second-end pull-in lasted a maximum of 23.7 hours using a cable layer.
Overall, the turbine shutdown duration can be broken up as 14 days at the quay for maintenance, 52 days from turbine disconnection to turbine reconnection, and 94 days from disconnection to the end of post-reconnection activities.
What developers should keep in mind for heavy maintenance operations
This analysis has uncovered two main lessons developers should consider when planning a floating wind project: the need to identify an appropriate O&M port, and to guarantee that a secure fleet is available.
Identification of the O&M port
Floating wind O&M operations require a port with both sufficient room and a deep-water quay. The port must also be equipped with a heavy crane with sufficient tip height to accommodate large floaters and reach turbine elevation. Distance to the wind farm should also be taken into account, as shorter distances will reduce towing time and, therefore, minimize transit and non-productive turbine time.
During the heavy maintenance period for KIN-03 and KIN-02, the selected quay (which had also been utilized in the initial installation phase of the wind farm project), was already busy as a marshalling area for other North Sea projects. This complicated the schedule significantly, as the availability of the quay and its facilities had to be navigated alongside these other projects. This highlights the importance of abundant quay availability both for installation (long-term planning) and maintenance that may be needed on short notice.
A secure fleet
At the time of the first turbine’s maintenance program (June 2022), the North Sea AHTS market was in an exceptional situation: the largest bollard pull AHTS units contracted at over $200,000 a day, the highest rate in over a decade.
During this time, the spot market was close to selling out due to medium-term commitments, alongside the demand for high bollard pull vessels for the installation phase at a Norwegian floating wind farm project. The Norwegian project required the use of four AHTS above a 200t bollard pull. With spot rates ranging from $63,000 to $210,000 for the vessels contracted for Kincardine’s maintenance, the total cost of the marine spread used in the first repair campaign was more than $4 million.
Developers should therefore consider the need to structure maintenance contracts with AHTS companies, either through frame agreements or long-term charters, to decrease their exposure to spot market day rates as the market tightens in the future.
While these lessons are relevant for floating wind developers now, new players are looking towards alternative heavy O&M maintenance options for the future. Two crane concepts are especially relevant in this instance. The first method is for a crane to be included in the turbine nacelle to be able to directly lift the component which requires repair from the floater, as is currently seen on onshore turbines. This method is already employed in onshore turbines and could be applicable for offshore. The second method is self-elevating cranes with several such solutions already in development.
The heavy maintenance operations conducted on floating turbines at the Kincardine wind farm have provided invaluable insights for industry players, especially developers. The complex process of disconnecting and towing turbines for repairs highlights the need for meticulous planning and exploration of alternative maintenance strategies, some of which are already in the pipeline. As the industry evolves, careful consideration of ports, and securing fleet contracts, will be crucial in driving efficient and cost-effective O&M practices for the floating wind market.
Sarah McLean is Market Research Analyst at Spinergie, a maritime technology company specializing in emission, vessel performance, and operation optimization.
A large percentage of new installations are being developed in areas that are prone to extreme weather events and natural disasters (e.g., Texas and California), including high wind, tornadoes, hail, flooding, earthquakes, wildfires, etc. With the frequency and severity of many of these events increasing, project developers, asset owners, and tax equity partners are under growing pressure to better understand and mitigate risk.
Figure 1. The history of billion-dollar disasters in the United States each year from 1980 to 2022 (source: NOAA)
In terms of loss prevention, a Catastrophe (CAT) Modeling Study is the first step to understanding the exposure and potential financial loss from natural hazards or extreme weather events. CAT studies form the foundation for wider risk management strategies, and have significant implications for insurance costs and coverage.
Despite their importance, developers often view these studies as little more than a formality required for project financing. As a result, they are often conducted late in the development cycle, typically after a site has been selected. However, a strong case can be made for engaging early with an independent third party to perform a more rigorous site-specific technical assessment. Doing so can provide several advantages over traditional assessments conducted by insurance brokerage affiliates, who may not possess the specialty expertise or technical understanding needed to properly apply models or interpret the results they generate. One notable advantage of early-stage catastrophe studies is to help ensure that the range of insurance costs, which can vary from year to year with market forces, are adequately incorporated into the project financial projections.
Investors, insurers, and financiers of renewable projects have taken notice of this trend, and are subsequently adapting their behavior and standards accordingly. In the solar market, for example, insurance premiums increased roughly four-fold from 2019 to 2021. The impetus for this increase can largely be traced back to a severe storm in Texas in 2019, which resulted in an $80 million loss on 13,000 solar panels that were damaged by hail.
The event awakened the industry to the hazards severe storms present, particularly when it comes to large-scale solar arrays. Since then, the impact of convective weather on existing and planned installations has been more thoroughly evaluated during the underwriting process. However, far less attention has been given to the potential for other natural disasters; events like floods and earthquakes have not yet resulted in large losses and/or claims on renewable projects (including wind farms). The extraordinary and widespread effect of the recent Canadian wildfires may alter this behavior moving forward.
A thorough assessment, starting with a CAT study, is key to quantifying the probability of their occurrence — and estimating potential losses — so that appropriate measures can be taken to mitigate risk.
All models are not created equal
Industrywide, certain misconceptions persist around the use of CAT models to estimate losses from an extreme weather event or natural disaster.
Often, the perception is that risk assessors only need a handful of model inputs to arrive at an accurate figure, with the geographic location being the most important variable. While it’s true that many practitioners running models will pre-specify certain project characteristics regardless of the asset’s design (for example, the use of steel moment frames without trackers for all solar arrays in a given region or state), failure to account for even minor details can lead to loss estimates that are off by multiple orders of magnitude.
The evaluation process has recently become even more complex with the addition of battery energy storage. Relative to standalone solar and wind farms, very little real-world experience and data on the impact of extreme weather events has been accrued on these large-scale storage installations. Such projects require an even greater level of granularity to help ensure that all risks are identified and addressed.
Even when the most advanced modeling software tools are used (which allow for thousands of lines of inputs), there is still a great deal that is subject to interpretation. If the practitioner does not possess the expertise or technical ability needed to understand the model, the margin for error can increase substantially. Ultimately, this can lead to overpaying for insurance. Worse, you may end up with a policy with insufficient coverage. In both cases, the profitability of the asset is impacted.
Supplementing CAT studies
In certain instances, it may be necessary to supplement CAT models with an even more detailed analysis of the individual property, equipment, policies, and procedures. In this way, an unbundled risk assessment can be developed that is tailored to the project. Supplemental information (site-specific wind speed studies and hydrological studies, structural assessment, flood maps, etc.) can be considered to adjust vulnerability models.
This provides an added layer of assurance that goes beyond the pre-defined asset descriptions in the software used by traditional studies or assessments. By leveraging expert elicitations, onsite investigations, and rigorous engineering-based methods, it is possible to discretely evaluate asset-specific components as part of the typical financial loss estimate study: this includes Normal Expected Loss (NEL), also known as Scenario Expected Loss (SEL); Probable Maximum Loss (PML), also known as Scenario Upper Loss (SUL); and Probabilistic Loss (PL).
Understanding the specific vulnerabilities and consequences can afford project stakeholders unique insights into quantifying and prioritizing risks, as well as identifying proper mitigation recommendations.
Every project is unique
The increasing frequency and severity of natural disasters and extreme weather events globally is placing an added burden on the renewable industry, especially when it comes to project risk assessment and mitigation. Insurers have signaled that insurance may no longer be the main basis for transferring risk; traditional risk management, as well as site and technology selection, must be considered by developers, purchasers, and financiers.
As one of the first steps in understanding exposure and the potential capital loss from a given event, CAT studies are becoming an increasingly important piece of the risk management puzzle. Developers should treat them as such by engaging early in the project lifecycle with an independent third-party practitioner with the specialty knowledge, tools, and expertise to properly interpret models and quantify risk.
Hazards and potential losses can vary significantly depending on the project design and the specific location. Every asset should be evaluated rigorously and thoroughly to minimize the margin for error, and maximize profitability over its life.
Chris LeBoeuf is Global Head of the Extreme Loads and Structural Risk division of ABS Group, based in San Antonio, Texas. He leads a team of more than 60 engineers and scientists in the US, UK, and Singapore, specializing in management of risks to structures and equipment related to extreme loading events, including wind, flood, seismic and blast. Chris has more than 20 years of professional experience as an engineering consultant, and is a recognized expert in the study of blast effects and blast analysis, as well as design of buildings. He holds a Bachelor of Science in Civil Engineering from The University of Texas at San Antonio, and is a registered Professional Engineer in 12 states.
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I’m just going to say it, BIPV is dumb.
Hear me out….
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President/CEO of the Cambria County Association for the Blind and Handicapped (CCABH), Tara Bosserman, has been chosen as one of Pennsylvania Business Central’s Women in Business’ Top Non-Profit Female Leaders. This well-deserved honor recognizes women throughout Pennsylvania who are not only leaders of a non-profit organziation but also are dedicated to their community. 
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Chris LeBoeuf is Global Head of the Extreme Loads and Structural Risk division of ABS Group, based in San Antonio, Texas. He leads a team of more than 60 engineers and scientists in the US, UK, and Singapore, specializing in management of risks to structures and equipment related to extreme loading events, including wind, flood, seismic and blast. Chris has more than 20 years of professional experience as an engineering consultant, and is a recognized expert in the study of blast effects and blast analysis, as well as design of buildings. He holds a Bachelor of Science in Civil Engineering from The University of Texas at San Antonio, and is a registered Professional Engineer in 12 states.
