In the second quarter of 2024, the U.S. saw an unprecedented surge in solar panel imports, setting a new record as shipments flooded into the country. 

According to S&P Global Market Intelligence’s Global Trade Analytics Suite, U.S. imports reached 17.4 GW. This marks a 36% increase from the same period in 2023. This spike was primarily driven by factories in Vietnam and Thailand, which were the largest contributors to the influx of photovoltaic (PV) modules. 

The previous record for quarterly imports was 15 GW, achieved in the last quarter of 2023 and nearly matched in the first quarter of 2024.

Racing Against the Clock 

The significant rise in imports follows President Joe Biden’s decision to grant a two-year tariff waiver on solar cells and modules from Southeast Asia in 2022. This waiver allowed the industry to bypass duties that had previously been imposed on Chinese-made PV shipments that were found to be circumventing U.S. tariffs.

READ MORE: Harnessing the Sun: America’s Solar Snapshot in April 2024

Since the waiver’s implementation, the volume of solar component imports has tripled, reflecting the industry’s response to the relaxed restrictions.

As the waiver approached its expiration in June 2024, manufacturers and developers hurried to import as many panels as possible. They do so as they’re anticipating potential new tariffs.

Vietnam led the charge, shipping about 7.3 GW of solar panels to the U.S. in the second quarter. This accounted for 41.6% of total imports during that period. This was a significant increase from the 5.4 GW imported in the first quarter. 

Thailand followed with 3.8 GW, or 22.1% of the total imports, while Malaysia, India, and Cambodia contributed 12.5%, 11%, and 6.4%, respectively. Major importers during this period included affiliates of China-based Trina Solar Co. Ltd. and Arizona’s First Solar Inc.

Amid this surge, the U.S. solar industry is witnessing a wave of new domestic factories, spurred by Biden’s Inflation Reduction Act of 2022, which are now competing for a share of the growing market. However, U.S. manufacturers, who have invested billions of dollars, raised concerns about the sharp increase in imports. They argued that the spike in crystalline-silicon cell and panel imports from Southeast Asia, particularly Thailand and Vietnam, poses a severe threat to the survival of U.S. producers.

The U.S. Solar Industry’s Battle: Domestic vs. Imported

The American Alliance for Solar Manufacturing Trade Committee, with members including major players like First Solar and Qcells, filed a “critical circumstance” petition with the U.S. Commerce Department. 

The petition requests a rapid assessment to determine whether the sudden influx of imports warrants retroactive duties before the department completes its ongoing investigation into Southeast Asian imports. The group argues that these imports are rushed into the country to avoid the imposition of antidumping and countervailing duties.

Dumping is a practice where products are sold on a market at unfairly low prices, below the cost of production. 

This petition comes at a time when the U.S. is attempting to establish a strong domestic supply chain for its rapidly expanding solar industry, which is still heavily reliant on imports. In response to these challenges, President Biden recently increased the cap on the volume of solar cells that can be imported without triggering a 14.25% tariff. 

The new cap, raised from 5 GW to 12.5 GW, was implemented in response to a September 2023 petition from domestic industry representatives. They argued that US cell production was insufficient to meet demand, making reliance on imports necessary in the short term.

Following the Alliance’s petition, Clean Energy Associates (CEA) predicted that a successful outcome could lead to a bottleneck in the supply of solar cells in the U.S. This shortage could increase the prices of both domestically produced and imported solar modules by up to $0.15/watt. The U.S. heavily relies on SEA countries for its solar cell supply, making the potential impact of these tariffs significant.

Rising Prices, Falling Costs and the Shifting Landscape of U.S. Solar Manufacturing

Despite these potential challenges, it’s worth noting that prices across the PV supply chain have decreased significantly over the past years. Thus, solar modules now represent a smaller portion of the overall cost of a solar project than they once did. This price drop could help mitigate the impact of any price increases on the solar market.

Chart from OurWorldinData.org

The U.S. solar industry is in a state of transition, with domestic module manufacturing expanding rapidly. A report identified 31 GW of US module manufacturing capacity that is either online or in the process of ramping up. This includes facilities from First Solar and Qcells, as well as U.S. affiliates of China-based PV companies like Trina Solar (U.S.) Inc. 

However, the report also highlighted the absence of U.S. manufacturing for solar cells and wafers. Qcells plans to address this gap by bringing an integrated 3.3-GW ingot, wafer, cell, and panel complex online in Georgia later this year.

SEE MORE: US Solar Installations in Q1 2024 Surpass 100 GW Milestone

As the U.S. navigates these complex dynamics, the outcome of the ongoing trade disputes and the future of domestic manufacturing will be crucial in determining the nation’s ability to build a resilient and self-sufficient solar industry.

The post Will Record-Breaking Solar Imports Reshape U.S. Industry Amid Tariff Uncertainty? appeared first on Carbon Credits.

In 2024, the biofuel industry is on track for a significant boost. Thanks to increased investments in renewable diesel and biodiesel. The Biden-Harris administration’s support is set to accelerate this growth, making these biofuels key players in the shift toward cleaner energy. Let’s discover what’s happening in this space.

Surge in Renewable Diesel Production

According to the U.S. Energy Information Administration (EIA). the country has seen a major rise in renewable diesel production, with five new plants opening in 2018. This increase pushed the production capacity of this alternative fuel to 282,000 barrels per day (bpd). Recently two new facilities in the Gulf Coast and West Coast regions, and one on the East Coast were installed. With these, the country now has a total 22 renewable diesel plants. Notably, the West Coast alone saw its capacity more than double to 82,000 bpd this year.

But Why Biodiesel Plants Are Struggling?

As U.S. fuel makers shift toward renewable diesel to adapt to the decline of petroleum-based fuels, the production of this biofuel remains expensive and heavily subsidized by federal and state governments. However, the rapid expansion of renewable diesel has squeezed out some biodiesel manufacturers, who receive fewer financial incentives from the government. From media reports, we discovered that over the past year, three biofuel plants—located on the East Coast, West Coast, and Midwest—were forced to close.

Even though biodiesel production capacity is relatively stable at 136,000 bpd, more closures are likely to happen in the future. Talking about closures, Chevron has indefinitely shut down two biodiesel production facilities in the U.S.

Another factor behind the potentially crashing demand for biodiesel is high production costs. It is certainly more expensive than conventional petroleum diesel and renewable diesel. Even though it burns green and generates credits, it is not pocket-friendly. This has led to a slight imbalance in the demand and supply of biodiesel.

Meanwhile, Reuters reported, ethanol production saw a slight boost. Although one plant closed on the East Coast, a newer, larger facility on the Gulf Coast increased the total output capacity of 187 operational plants by 2%, reaching 1.18 million bpd. In another report, the media house also stated that by 2023, the combined output capacity for biomass-based diesel, including biodiesel, in the U.S. exceeded 5 billion gallons.

SEE MORE: First Ethanol Facility to Issue Carbon Removal Credits

EIA Uncovers the Shifting Landscape of Biodiesel and Renewable Diesel

EIA reported that biodiesel exports reached their highest point in 2008 due to an “unintended” discrepancy in tax credits in the European Union. However, exports fell sharply after was salvaged. From 2011 onward, biodiesel production and consumption increased, largely driven by the Renewable Fuel Standard.  However, in recent years, both production and consumption have declined, possibly due to the rise of renewable diesel.

This chart shows trends in U.S. biodiesel production, exports, and consumption from 2001 to 2023.

Source: EIA

Renewable diesel is becoming more popular because it meets the same quality standards as petroleum diesel. This fuel is mainly produced from used cooking oil and inedible animal fats, which are leftovers from meat processing. It syncs well with diesel engines and infrastructure, requiring no modifications. Renewable diesel is predominantly used in California, where it takes advantage of financial incentives from the Low Carbon Fuel Standard.

This graph shows U.S. renewable diesel fuel production and consumption.

Source: EIA

The Biden-Harris Administration Invests in Domestic Biofuels and Clean Energy

On August 16, the USDA announced that the Biden-Harris administration will invest in domestic biofuels and clean energy as part of President Biden’s Investing in America Agenda. USDA Secretary Tom Vilsack announced $99.6 million in funding through the Higher Blends Infrastructure Incentive Program (HBIIP) and REAP.

It further noted, that ever since the Biden-Harris Administration began, the USDA has invested over $220 million into biofuel access and $2.2 billion into renewable energy projects.

Moving on, they are using the REAP program to support the Justice40 Initiative. It ensures that 40% of the benefits from federal climate and clean energy investments go to communities that have faced underinvestment and pollution. As part of this effort, the USDA is awarding $90.3 million in grants to 89 projects across 26 states.

Can it Revive America’s Future for Biofuels?

This investment, backed by President Biden’s Inflation Reduction Act, aims to increase access to biofuels and clean energy systems. These efforts are designed to strengthen energy independence, create jobs, and provide new opportunities for American farmers and rural communities. Additionally, these grants will help businesses upgrade infrastructure like fuel pumps and storage tanks, boosting economic growth in rural areas.

Secretary Tom Vilsack visited the University of Minnesota and spoke about investing in the American bioeconomy announced, where he disclosed the funding. A significant example of this funding beneficiary is The Corner Store in Inver Grove Heights, which is getting a $518,250 grant to upgrade its fuel infrastructure. The store will install four E15 dispensers, four E85 dispensers, and two ethanol storage tanks. These upgrades are expected to boost ethanol sales by 506,100 gallons per year. Other notable upgrades are:

In Georgia, CSX Transportation Inc. received a $1.9 million grant to set up a 200-gallon biodiesel storage tank, along with distribution equipment and electric monitoring tools. The company plans to increase biofuel availability by 1 million gallons per year with this investment.
In Nevada, Anabi Real Estate Development LLC secured a $3.7 million grant to install three E85 dispensers and three B20 dispensers at two fueling stations. This project aims to raise biofuel sales by over 80,000 gallons per year.

Following this, he assured by saying,

 “By expanding access to homegrown biofuels and clean energy systems, we are strengthening our energy independence, addressing the impacts of climate change and creating new market opportunities and revenue streams for American producers while bringing good-paying jobs in rural communities.”

Overall, we can count on the right policies and tax incentives for growth of the biofuel. USDA’s new investment plan offers a promising boost for biodiesel, renewable diesel, renewable energy, and other biofuels, paving the way for a smooth transition to clean energy.

FURTHER READING: Why Shell Hit the Brakes on New Rotterdam’s Biofuel Plant

The post Can Biden-Harris Investment Backup Spark a Biofuel Boom in the U.S.? appeared first on Carbon Credits.

On August 13, US-based Uranium Energy Corp (UEC) announced resuming uranium production at its Christensen Ranch site in Wyoming. However, UEC was already operational in Mine Unit 10 at Christensen Ranch from a week back. The company expects a surge in uranium levels after a certain period, even though the initial uranium concentrations are good enough. But can the mining giant maintain its decarbonization goals amid the anticipated production spike?

A MESSAGE FROM URANIUM ROYALY CORP.
[Disseminated on behalf of Uranium Royalty Corp.]

NASDAQ’s Sole Uranium Focused Royalty Company

The company is Uranium Royalty Corp., trading as (NASDAQ: UROY, TSX: URC), holding a strong portfolio includes strategic acquisitions in uranium interests with royalties, streams, equity in uranium companies, and physical uranium trading. Their strategic approach aims to support cleaner, carbon-free nuclear energy while fostering long-term relationships based on sustainability principles.

Learn about the company’s portfolio of royalty assets and uranium holdings >>

UEC Achieves Key Milestones for Uranium Production Ramp-Up

UEC has prepped up all for the smooth ramp-up of uranium production at its Irigaray Central Processing Plant and Christensen Ranch. Last year, UEC carried out extensive redevelopments at the Christensen Ranch. Subsequently, the uranium recovered from Christensen Ranch will be processed at the Irigaray plant which is located 15 miles northwest of the actual site.

The Irigaray plant, licensed to produce 2.5 million pounds of U3O8 annually, may soon increase its capacity to 4.0 million pounds. However, its regulatory approval is pending.

Another stark feature of this plant is that it’s the hub of UEC’s Wyoming “hub-and-spoke project”, which includes 11 satellite ISL projects, four fully permitted. They expect the first shipment of uranium to be in November or December of this year.

Donna Wichers, Vice President of Wyoming Operations

“The Christensen Ranch ISL Mine has successfully restarted and we are in full growth mode with initial recoveries from Mine Unit 10 to be followed with Mine Units 7 and 8 in the coming months,”

She further explained that UEC has drilled, cased, and completed 55 wellfield patterns to extend Mine Unit 10 but production will start next year. Significantly, additional production growth is underway with delineation drilling and monitoring well planning at Mine Unit 11.

Here’s an image of Christensen Ranch satellite plant exterior

source: UEC

Christensen Ranch Revival: Can UEC Break Free from Russian Uranium Dependence?

Uranium Energy Corp President and CEO Amir Adnani highlighted the increasing demand for regional uranium, supporting U.S. national security needs. With uranium prices rising and Russian imports cut off, UEC has accelerated its production readiness to meet the demand surge for domestic uranium.

From previous media reports, we discovered that UEC acquired the Irigaray plant and associated orebodies, including Christensen Ranch, in 2021. It was made through the purchase of Uranium One Americas Inc. from Russian state-owned Rosatom. The Willow Creek project, which includes both Christensen Ranch and the Irigaray plant, has been on standby mode since 2018. Thus, reviving the site became a necessity.

This acquisition secured key assets, making UEC the largest fully permitted, low-cost ISL resource base among U.S. producers. Since then, the uranium giant has maintained its core infrastructure, including wellfields and the satellite ion exchange plant, to enable a quick restart.

Amir Adnani added,

“I am very proud of the Wyoming team who have executed as planned to achieve the restart of production. This is the moment we have been working towards for over a decade, having acquired and further developed leading US and Canadian assets with an exceptional, deeply experienced operations team. Global uranium market fundamentals are solid, with prospects for extraordinary growth in nuclear power and uranium demand.”

We can infer that UEC’s latest uranium effort directly supports the “Prohibiting Russian Uranium Imports Act.” Once the steady supply begins, it will position America to meet global uranium demand and gain a competitive edge.

READ MORE: Fulcrum Metals and Terra Balcanica Forge Deal to Explore Uranium in Canada 

Wyoming’s Uranium Capacity

Going back to April 2022, UEC reported over 69 million pounds of U3O8 in mineral resources across its Wyoming hub-and-spoke uranium ISL project. Notably, it is the largest S-K 1300 Compliant ISR Uranium Resource Base in the United States

The project encompasses several areas, including Irigaray, Christensen Ranch, Moore Ranch, Reno Creek, Ludeman, Allemand-Ross, Barge, and Jab/West Jab. The mining company reported that its Wyoming projects have:

Total Measured and Indicated resources disclosed in Wyoming projects are 66,198,200 lbs. with 58,460,000 tons with an average portfolio grade of 0.057% eU3O8.

Total Inferred resources disclosed in Wyoming projects are 15,053,700 lbs. with 10,859,000 tons with an average portfolio grade of 0.069% eU3O8.

data source: Uranium Energy Corp press release

A MESSAGE FROM URANIUM ROYALY CORP.
[Disseminated on behalf of Uranium Royalty Corp.]

NASDAQ’s Sole Uranium Focused Royalty Company

The company is Uranium Royalty Corp., trading as (NASDAQ: UROY, TSX: URC), holding a strong portfolio includes strategic acquisitions in uranium interests with royalties, streams, equity in uranium companies, and physical uranium trading. Their strategic approach aims to support cleaner, carbon-free nuclear energy while fostering long-term relationships based on sustainability principles.

Learn about the company’s portfolio of royalty assets and uranium holdings >>

UEC’s Commitment to Nuclear Energy and Decarbonization

Nuclear energy is crucial for the transition to a low-carbon economy. Thus, UEC is scaling operations to meet rising nuclear energy demand in the U.S. and globally. Most importantly, it aims for net-zero emissions at its ISR facilities in Texas and Wyoming.

As a leading uranium supplier, UEC is well-positioned to support the shift from fossil fuels to clean energy. Its latest objectives include developing a decarbonization strategy for Wyoming and setting emission reduction targets for Scope 1 and 2 emissions. The company also wants to conduct a Scope 3 emissions study for Texas operations.

Looking back, UEC has a robust emission reduction strategy in place for its Texas facilities. Despite a slight increase in emissions due to activity at Burke Hollow, UEC continues to invest in carbon offset programs. It covered 2,712 t CO2e last year and is actively working toward further reducing its carbon footprint.

We discovered from its sustainability report that, UEC has invested in the A-Gas Voluntary Emission Reduction Program in Texas. This project mitigates over 1MMT of GHG emissions annually by preventing harmful hydrofluorocarbons (HFCs) from entering the atmosphere. HFCs cause far more environmental damage than CO2.

Cut Scope 1 emissions (about 22% during production) with carbon capture, recycling, and electric vehicles.
Lower Scope 2 emissions (around 78% during production) by using renewable energy and boosting energy efficiency.

source: UEC

Amir Adnani further noted,

“There has been a step-change across the globe with an increasing number of countries adopting plans and programs to restart, extend the life of and or build new nuclear plants in the quest for clean, safe, highly reliable and cost-effective electricity that nuclear power provides.”

The picture is clear, which means UEC’s uranium targets and emission reduction goals will drive a successful transition. All in all, they will also help establish a secure and independent nuclear fuel supply chain in the U.S. in the coming years.

SEE MORE: Unplugging The Energy Crisis… Fueled by Uranium

The post UEC Resumes Uranium Production at Christensen Ranch: How Will It Balance Output and Decarbonization? appeared first on Carbon Credits.

Iberdrola, Europe’s largest electricity provider, through its U.S. subsidiary New York State Electric & Gas (NYSEG), has successfully issued a 10-year green bond worth $525 million (EUR 490 million). The company reported massive demand for the bond that exceeded EUR 2 billion. This high demand allowed Iberdrola to reduce its benchmark interest rate to 135 basis points. As a result, the transaction cost was set at 5.332%.

Investor Confidence Fuels Iberdrola’s U.S. Bond Success

Iberdrola has once again shown financial supremacy under Ignacio Galán’s leadership with a successful bond issue in the U.S. this month. The company smartly capitalized on the recent decline in U.S. long-term interest rates, issuing a green bond that drew participation from over 60 major American investors. Iberdrola will use the secured fund to expand its U.S. network business.

The press release notes that the bond issue was managed by several leading banks, including BNP Paribas, MUFG, Wells Fargo, Santander, SMBC, Intesa, and Commerzbank.

It also highlighted that the current transaction is part of a series of successful financing activities by Iberdrola this year. It follows the EUR 500 million syndicated green loan secured on August 1 with ICO, Sabadell, and HSBC, backed by Cesce.

Furthermore, it has added green loans with the European Investment Bank (EIB) and the World Bank to its portfolio. As a result, the company’s total green bonds outstanding now amount to approximately €23 billion.

Earlier this year, Iberdrola unveiled a major investment program focused on electrification. From 2024 to 2026, the company plans to invest €41 billion in its network and renewable energy projects. The investment will be split 60:40, with the majority going to network growth—covering distribution and transmission—and the remaining portion directed to the U.S.

Additionally, Iberdrola has already completed three other significant financing operations in 2024: a EUR 700 million hybrid bond in January, a CHF 335 million bond in the Swiss market in June, and a EUR 750 million senior bond in July.

Ignacio Galán, chairman of Iberdrola group said,

“As the main issuer of green bonds and provider of renewable energy, Iberdrola supports sustainable finance as a way of speeding up energy transition, along with any other initiative that seeks to tackle climate change.”

READ MORE: Iberdrola Invests $45 Billion in US Power Grid: A Game-Changer in Energy Infrastructure

Dominating the Green Bond Market

Green bonds are used to fund or refinance sustainable projects including renewable energy, clean transportation, energy efficiency and waste management, etc. Notably, Iberdrola has established itself as the world’s largest issuer of green bonds! In early 2021, the company made history by issuing the largest hybrid green bond ever, valued at €2 billion. In another major move in 2022, the energy house issued a 10-year, €1 billion green bond to support its offshore wind projects in France and Germany.

Moving on, green financing aligns perfectly with Iberdrola’s environmental goals. It supports the company’s investment plan by providing investors with transparency, enabling them to allocate funds effectively and measure their contribution to sustainability. Notably, the “Iberdrola Framework for Green Financing” ensures that its green financing efforts are right in place.

Image: Green and sustainable financing chart

source: Iberdrola

Iberdrola’s Climate Action and Net Zero Goals

The electricity sector plays a crucial role in achieving the Paris Agreement’s goal of limiting global temperature rise to 1.5ºC. Iberdrola’s Climate Action Plan, aligned with the Paris Agreement, includes ambitious Science Based Targets initiative (SBTi) goals. They include:

achieving carbon neutrality for scopes 1 and 2 by 2030
net-zero emissions across all scopes, including scope 3, by 2040

For over 20 years, Iberdrola has been proactively developing sustainable solutions to support the global shift towards electrification. The company focuses on cleaner energy, increased storage, stable power backup, smarter grids, and enhanced digitization to meet its decarbonization goals.

Most recently, the company has taken a giant leap in the green hydrogen space. It has more than 50 green hydrogen projects, including ammonia and green methanol, spanning across the UK, Australia, Brazil, and the U.S. These initiatives aim to meet the electrification and decarbonization needs of industries and heavy transport.

source: Iberdrola

Four Key Levers Driving the Climate Action Plan

Environmental protection and sustainable development have been top priorities for the energy leader. Its sustainability report reveals that in the last four years, the company has invested over €140 billion in the energy transition. These investments have transformed the electric system, resulting in a more decarbonized generation mix and significantly reduced emissions.

Iberdrola’s Climate Action Plan focuses on four main levers to reduce emissions across all three scopes:

1. 100% Renewables

Iberdrola is heavily investing in renewable energy, expanding storage capacity, and advancing new technologies like hybrid systems and long-term storage. The goal is to achieve 52 GW of installed renewable capacity, primarily reducing Scope 1 emissions while also impacting Scope 3.

2. 100% Smart Grids

By 2025, Iberdrola aims for over 83% of its grid to be smart, making it a key component of a decarbonized and electrified energy system. These actions will directly reduce Scope 2 emissions and indirectly affect Scope 3.

3. Green Solutions for Customers

It is promoting the electrification and decarbonization of energy demand through initiatives like green hydrogen, sustainable mobility, and strategic alliances in green technologies. This lever is focused on reducing Scope 3 emissions.

4. Green Purchases

Iberdrola is committed to buying renewable energy for its use and forming partnerships to reduce emissions and accelerate the development of green products. These actions target reductions in both Scopes 2 and 3 emissions.

All in all, Iberdrola’s ability to attract investors across various markets is evident. As confidence grows, their commitment to sustainability and strategic market timing strengthens.

FURTHER READING: Iberdrola Launches New Carbon Credit Unit to Sequester 61M Tons of CO2

Disclaimer: Data and content source- Iberdrola’s reports

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