Category Archives: Energy

Embracing the Future: How Businesses Can Navigate the Risks and Regulations of Generative AI

Posted on by
Reply

In an era where technological advancements are not just rapid but revolutionary, generative AI stands at the forefront, redefining the boundaries of what’s possible. This makes important to understand and adapt to the risks and regulatory challenges posed by technologies like Generative AI.

Understanding the Landscape: Generative AI, with its ability to create content and automate processes, is a game-changer for businesses across various sectors. However, with great power comes great responsibility. It is important for business leaders to be well-versed in the potential risks associated with these technologies. From data privacy concerns to ethical implications, the landscape is complex and ever-evolving. As these AI models become more integrated into business operations, understanding their legal and ethical dimensions becomes paramount.

Navigating the risks associated with generative AI: this involves a multifaceted approach. Here are key strategies a company can adopt:

  • Stay Informed and Educate Teams: Continuously educate yourself and your team about the latest developments in generative AI. Understanding the capabilities and limitations of these technologies is crucial. Regular training and workshops can help employees stay abreast of new developments and understand the ethical and legal implications of AI.
  • Develop Robust Policies and Guidelines: Create clear policies and guidelines for using generative AI. These should cover areas like data privacy, ethical use of AI, and compliance with relevant laws and regulations. Ensure these policies are regularly updated to reflect the evolving nature of AI technology and regulatory landscapes.
  • Implement Strong Data Governance: Since generative AI often relies on large datasets, it’s vital to have strong data governance policies in place. This includes ensuring data privacy, securing data against breaches, and complying with data protection regulations like GDPR or CCPA.
  • Risk Assessment and Management: Conduct regular risk assessments to identify potential risks associated with the use of generative AI. This should include evaluating the impact of AI decisions and outputs on various stakeholders, including customers, employees, and the broader community.
  • Ethical AI Framework: Develop an ethical framework for AI use that aligns with your company’s values and ethical standards. This includes ensuring fairness, transparency, and accountability in AI systems.
  • Engage with Legal and Compliance Teams: Work closely with legal and compliance teams to understand the regulatory environment and ensure that your use of AI is compliant with all relevant laws and regulations.
  • Collaborate with External Experts: Collaborate with external experts, including AI ethicists, legal experts, and industry peers, to gain diverse perspectives and stay informed about best practices in AI usage.
  • Monitor AI Performance and Impact: Continuously monitor the performance of AI systems to ensure they are working as intended and not producing biased or unfair outcomes. Be prepared to modify or discontinue the use of AI systems that do not meet ethical or performance standards.
  • Transparency and Accountability: Be transparent with stakeholders about how AI is being used in your business. This includes being open about the capabilities of AI systems and any limitations or risks associated with their use.
  • Prepare for Future Regulations: Anticipate future changes in the regulatory landscape and be prepared to adapt your AI strategies accordingly. This proactive approach can help avoid compliance issues and maintain a competitive edge.

By implementing these strategies, companies can better navigate the risks associated with generative AI and leverage its benefits responsibly and ethically.

Conclusion: The message is clear: the time to act is now. Businesses cannot afford to be passive consumers of generative AI technology. Instead, they must be active participants in shaping its use within their operations. By developing informed policies and staying ahead of regulatory curves, businesses can harness the full potential of generative AI while mitigating its risks. This proactive approach is not just a safeguard but a strategic advantage in the rapidly evolving digital world. As we step into the future, embracing and shaping the landscape of generative AI becomes a key determinant of success for businesses worldwide.

EU Taxonomy: MEPs do not object to inclusion of gas and nuclear activities.

Posted on by
Reply

EU missed opportunity to show global leadership on climate change with a robust and science-based taxonomy that underpins a credible pathway to net zero. This will undermine the EU’s climate neutrality target by 2050.

The taxonomy is a voluntary instrument to guide financial sector toward investment that allow us to reach our climate goals, which it is a de facto the key driven force. We are talking about what is the guide for the future on what is sustainable.!

Europe’s energy shortages have underscored the challenges of phasing out fossil fuels & nuclear power, and of relying on renewable supplies and power storage. Gas is seen as a way of helping to wean poorer EU countries like Poland off coal, which pollutes much more. France have touted nuclear as a low-carbon energy source crucial for the replacement of Russian fossil fuels. Excluding these energies sources from the taxonomy could be “particularly challenging” for Ukraine’s post-war reconstruction. Germany has expressed its rejection of the inclusion of nuclear energy and its dependency on gas. This decision could benefit Russia and perpetuate European reliance on its gas supplies.

It’s completely clear that both nuclear energy, and fossil gas have nothing to do with sustainability. This denotes the supremacy of lobby groups and countries’ energy policy over the scientific rationale.!!!

More on: https://bit.ly/3anhVyY

Digitalization and Sustainability

Posted on by
Reply

Digitalization and sustainability are two of the most disruptive forces. Digitalization can foster productivity growth and long-run prosperity. Nevertheless, it is challenging firms and people that cannot keep up, because it requires high investment costs, creates labour market risks derived from automation, and could even defy sustainability if not properly managed.

Sustainability has a transformation up-front costs and could be disruptive in the short-term, but at the same time, it could catalyse productivity gains, and energy efficiency, while conserving natural capital and reversing ecosystems’ degradation.

All in all, digitalization may reduce carbon emissions in the medium and long-term. Thus, it may impact decarbonization through higher energy consumption and carbon footprint of the digital sector, optimization, and structural economic changes.

Spain’ Sovereign Green Bond Issuance in September

Posted on by
Reply

The Spanish Sovereign Green Bond Framework is aligned with the four core components of the Green Bond Principles 2021 (GBP) and follows best market practices identified by Vigeo Eiris (VE). The Kingdom of Spain’s Sovereign Sustainability Rating from VE is 78/100, which indicates an ‘advanced’ sustainability performance, the highest level on VE’s four-point scale.

Spain will sell its inaugural green bond in September. The Spanish Treasury’s first such bond will have a 20-year maturity. Spanish government did not specify how much it plans to raise, though the government has identified 13.6 billion euros ($16.1 billion) of projects to finance or refinance projects tied to the country’s environmental objectives, including renewable energy, biodiversity protection, and climate change adaptation.

In addition, Spain will invest around 20 billion euros on other environmental programs through 2023 that will be financed by the European Union’s executive arm. The bloc is also expected to make its green bond debut later this year and ultimately become the world’s biggest seller, channelling those funds to member states as part of its pandemic recovery package.

The EU has also laid out a voluntary green bond framework and Spain plans to align its spending with the bloc’s classification of sustainable investments, or taxonomy. The first green bond is included in the country’s plan to issue 80 billion euros of net debt this year.

Spain’s Sovereign Green Bond Framework: https://bit.ly/3zNr22V

Vigeo Eiris’ Second Party Opinion: https://bit.ly/3rGEP8v

The EU Fit for 55 Package

Posted on by
Reply

It is intended to fundamentally revise the EU’s energy policy framework and thus adapt it to the EU updated climate targets. By 2030, the EU’s GHE are to be reduced by 55% compared to the amount emitted in 1990. While the focus in December 2021 will be on decarbonised gas and the buildings sector, ten initiatives was planned last 14 July 2021. Overall, the “Fit for 55 Package” with the initiatives listed below is the central measures package of the European Green Deal:

1.- Revision of the EU Emissions Trading System (ETS), including maritime transport, aviation and CORSIA

2.- Carbon Border Adjustment Mechanism (CBAM)

3.- Revision of the Effort Sharing Regulation (ESR)

4.- Revision of the Energy Tax Directive (ETD)

5.- Amendments to the Renewable Energy Directive (RED) to implement the ambition of the new 2030 climate target

6.- Amendments to the Energy Efficiency Directive (EED) to implement the ambition of the new 2030 climate target

7.- Reduction of methane emissions in the energy sector

8.- Revision of the regulation on the inclusion of greenhouse gas emissions and removals from land use, land use change and forestry (LULUCF)

9.- Revision of the Directive on the Deployment of Alternative Fuels Infrastructure

10.- Revision of the Regulation setting CO2 standards for new passenger cars and for new light commercial vehicles

11.- Revision of the Third Energy Package for gas (Directive 2009/73/EU and Regulation 715/2009/EU) to regulate competitive decarbonised gas markets in Q4 2021

12.- Revision of the energy performance of Buildings Directive (EPBD) in Q4 2021

Vice-President Franz Timmermans presented the plans in Brussels last Wednesday. That was the kick-off for a long process, looking for agreement among the Commission, the Parliament, and the Member States. This will be a challenge, as the new seems to be on achieving the reduction targets, which open to the countries’ challenges of what adjustments are necessary to achieve them. Another key aspect is how to support industries and companies that compete with others abroad EU, maintain international competitiveness. Specially with competitors in countries where the financial burden of environmental protection is lower. Nowadays, these are only draft initiatives, we do not know yet when the implementation will begin in the individual Member States, and what specific content will have agreed on at that time.

This stablishes the EU positioning of climate policy in everyday Europeans’ life, impacting firms and the way Europe makes business. It is key to ensure no one must be left behind in the process, to guarantee a social and society fair transition.

More on: https://bit.ly/2VJlB6i

Innovation is key for the Net‐Zero Emissions Scenario 2050 (NZE)

Posted on by
Reply

The @IEA just released the world’s first comprehensive roadmap for the global energy sector to reach net-zero emissions by 2050. They say almost 50% of the emissions reductions needed in 2050 in the NZE depend on technologies that are at the prototype or demonstration stage. This share is even higher in sectors such as heavy industry and long‐distance transport.
This is clearly ambitious, as most clean energy technologies that have not been demonstrated at scale today should reach markets by 2030 at the latest. Technologies at the demonstration stage, such as CCUS in cement production or low‐emissions ammonia‐fuelled ships, are brought into the market in the next three to four years. Hydrogen‐based steel production, direct air capture (DAC) and other technologies at the large prototype stage reach the market in about six years, while most technologies at small prototype stage – such as solid state refrigerant‐free cooling or solid state batteries – do so within the coming nine years.
In the NZE, electrification, CCUS, hydrogen and sustainable bioenergy account for nearly half of the cumulative emissions reductions to 2050. Just three technologies are critical in enabling around 15% of the cumulative emissions reductions in the NZE between 2030 and 2050: advanced high‐energy density batteries, hydrogen electrolysers and DAC.

You can read the report “Net Zero by 2050: A Roadmap for the Global Energy Sector” here

Hydrogen’s innovation in the EU framework of Energy and Climate

Posted on by
Reply

Hydrogen’s innovation in the EU framework of Energy and Climate: hydrogen holds the potential for helping Europe to reach its targets of a climate neutral 2050. The development of new clean tech industries can help Europe to bounce back even faster, while boosting its competitiveness.

Europe is looking at a power system that will be based on more than 80% renewables by 2050. Hydrogen has the potential to reach 13-14% of Europe energy mix by 2050. Today it only reaches just about 2%.

Europe also looks to hydrogen for its use in industry and areas of transport where emissions are difficult to abate and where electrification cannot be guaranteed. Today’s demonstration projects in steel making are very promising and should be scaled up rapidly.

EU industry holds a strong global position in hydrogen, it simply does not have the infrastructure at scale yet to improve on its goals. Thus, Hydrogen strategy puts forward ambitious targets to install 6 GW of electrolyser capacity by 2024 and 40 GW by 2030 producing up to 10 MTn of renewable hydrogen.

Even if the costs have already been reduced by 60% in the last ten years, it is required investments which is the biggest barrier to innovation. EU decreased its public investment in research and innovation by 13% over the last years.

For this reason, the 672.5 billion Recovery and Resilience Facility will channel 37% of its grants and loans to climate-related investment. Also, Horizon Europe has a budget of 95.5 BEUR, 35% of these funds will be dedicated to the green transition.

More on:

2020 report on the State of the Energy Union https://bit.ly/3bfvptA

A Hydrogen Strategy for a climate-neutral Europe https://bit.ly/3y8fOWX

My new publication: “Public-Private Partnership in Energy Infrastructures: Experiences in Latin America”

Featured

Posted on by
Reply

Energy infrastructures in Latin America deserve a particular study with regard to Public-Private Partnerships (PPPs). Its different regulatory frameworks and degrees of institutional and operational maturity, make them to have a unique map of risks, policies and best practices. My publication on “PPPs in the Energy Infrastructures: experiences in Latin America” thus is proposed. The demographic increase and the economic growth of the Latin America countries emphasize the need for large investments in infrastructure to reduce the gap, which are also linked to their plans for sustainable development, climate action and interconnection to the infrastructures of the region (for example, electrical networks, gas pipelines and gasification terminals), and the regional energy markets. It is expected that the Public-Private Partnerships can funnel these investments. To do this, governments must create an environment in which the private sector can grow, by developing transparent regulatory frameworks. These reforms should gain the confidence of investors in these countries, which now compete with the other countries in a globalized world, to attract Foreign Direct Investment (FDI) to their energy markets. All this leads to reforms in each country in order to establish a more attractive environment to do business. A new field of opportunities opens up, driven by the national and international expansion plans of the private sector, and the search for better returns by the large investment funds in a context of low interest rates. In this scenario, the International Financial Institutions (IFI) must continue supporting infrastructure development.

Publication available on http://www.scioteca.caf.com/handle/123456789/1225

Captura

Entrevista en Onda Madrid

Posted on by
Reply

TelemadridOnda Madrid

Aquí no hay Playa
Programa del lunes 28 de Agosto de 2017

20170829 Onda Madrid.

Por Carlos Honorato y Paloma Nolasco

Entrevista a Miguel Chamochín sobre su libro

Hoy hemos tenido con nosotros a Miguel Chamochín en Onda Madrid, que ha publicado su libro titulado  “Internacionalización, Desarrollo Sostenible y Energías Renovables: América Latina”.

Su libro tiene un carácter divulgativo, se dirige tanto a profesionales, como a estudiantes y público general, que quieran adquirir una visión en conjunto del sector de las energías renovables y sus implicaciones para América Latina.

La obra ha sido condicionada por los objetivos de desarrollar las infraestructuras de América Latina y alcanzar el desarrollo sostenible de la región. Estudia estas necesidades y los catalizadores que apoyan estos objetivos. Hace también un análisis de varios aspectos – como el comercio, mercado eléctrico, desarrollo sostenible, regulación, tecnología, agentes de mercado, inversiones y financiación – centrado en el sector de la energía renovable en América Latina. Es un ejemplo de la importancia de la coordinación de estos aspectos, que poseen ciclos y funcionamientos distintos, para realizar una “transición hacia un modelo sostenible”, que afronte los importantes retos que está atravesando la Agenda Internacional. Retos marcados por los Objetivos de Desarrollo Sostenible (ODS) de Naciones Unidas, y el Acuerdo de Cambio Climático de Paris.

El libro está disponible en Amazón, aqui

My book “Internationalization, Sustainable Development and Renewable Energy: Latin America”.

Featured

Posted on by
Reply

“The book makes a multidisciplinary analysis (trade, electricity market, sustainable development, regulation, technology, market agents, investments and financing) of the renewable energy sector in Latin America.“

The work starts with an introductory chapter presenting the need for internationalization of the renewable energy sector, which has a natural development market in Latin America. It then shows the needs, threats and opportunities of the Latin American Electricity Markets. It subsequently proceeds to analyse the sustainable development question in the energy sector, which allows us to enter into the issues associated with climate change and univWIP Cover Frontal Resized ENersal access to energy, focusing the analysis on Latin America. From here, the job carries out a critical study of the different renewable energy support mechanisms in the region. Afterwards, it studies the national R&D programs. The writing continues with the agents of the market and the roles and issues they find in their value chain within the region. From it, the book introduces the subject of investment, uncovering the ultimate problem, as well as the origin and destination of the investment flows that Latin America has received in renewable energy. Before finalizing, it analyses the financial instruments used for investment in renewable energy. Finally, the work ends with two real business cases of investment in power plants, which are financially modelled (Project Finance and Project Bonds). As a final conclusion, the writing highlights business opportunities, obstacles and solutions, all influencing the development of renewable energies in the region.

“The book is a vivid example of the great importance of the coordination among different sectors and areas (e.g. financial, monetary, fiscal, political, economic, business, technological, social, etc.), which have different cycles and operations, in order to face the major challenges of mankind today.”

Available now on Amazon here

Follow me on twitter: @MiguelChamochin