Subscription and demo access


 
About Interfax
Press Releases
Products & Services
Contact Us
Customer Login
 


Headlines
 

05/27 05:00   Russia and CIS political and economic calendar: May 27
 
05/26 23:04   U.S. played role in imposing European sanctions on Russia - Marine Le Pen
 
05/26 22:46   Conflict in Syria cannot be settled without Moscow, Tehran - opposition member
 
05/26 22:43   Syrian opposition ready for talks with regime, but not with Assad - opposition group leader
 
05/26 22:39   Participants in Syrian opposition talks in Astana plan to sign final document - opposition group leader
 
05/26 22:32   Aircraft preparing for combat use as part of Central Military District inspection - Russian Defense Ministry (Part 2)
 
05/26 22:20   Anti-aircraft missiles, bombing raids to be practiced in ongoing drills in central Russia (Part 2)
 
05/26 22:14   Stoltenberg assures Obama that NATO is helping to strengthen Ukraine's defense capability
 
05/26 22:13   Russian, Indian defense ministers discuss arms trade - ministry
 
05/26 22:07   Putin doesn't possess detailed info regarding Dynasty Foundation - spokesman (Part 2)
 





 Subscription
You can access a demo version of, recieve more information about or subscribe to Interfax publications by filling in and sending the form below.

First name:


Last name:


Company:


Division:


E-mail:


Phone:


Country:


City:


Please enter the digits in the box below:

 

Interfax.com  |  Interviews  |  Birnbaum: Gas needs negative developments in coal



Interviews


March 19, 2014

Birnbaum: Gas needs negative developments in coal


Interfax spoke to Dr. Leonhard Birnbaum, member of the board of management for markets and services at E.On, about the energy balance in Europe and gass place in it.


Interfax: Gazprom has said it is keen to expand its European gas-to-power portfolio. Do you think well see other upstream players, such as Statoil, moving in to pick up combined cycle gas turbines (CCGTs) at rock bottom prices?

Leonhard Birnbaum: Maybe at a bargain price we will see that, if they want to keep volumes up. But whether it really happens will depend on many factors and you will have to ask them.

Interfax: By how much would gas need to decrease in price by for CCGTs to make commercial sense?

LB: Gas prices would need to fall significantly, by something up to 50%, depending on your assumptions especially those for CO2 and coal prices.

Interfax: Could upstream companies supply it at that price?

LB: Actually, gas is so much out of the money with cheap coal and cheap CO2, it will only move into the money if there is not just a positive development on the gas side, but a negative development on the coal side. This would mean either coal consolidating and becoming more expensive or by regulatory intervention such as the emission standards discussed in the United States or whatever that just pushes coal out. So it doesnt just happen on a cost basis. Thats why, if this gas is required for security of supply, then well need some capacity mechanisms.

Interfax: What are your thoughts on the European Emissions Trading System?

LB: The [EU allowance] prices are low because demand is low and because we have been pumping lots of money into renewables. Now why should customers pay a second time on the CO2 side if theyve already paid on the renewables side? So, from that standpoint, the EU ETS is working it delivers a low price for a low demand. If, however, the political sentiment is that there needs to be a higher price, then the target needs to be adjusted. Then you should go for a more aggressive target, which is what E.On is advocating: put in a 40% or 50% CO2 reduction target and you will see a higher price again. CO2 abatement via the ETS should be the key element of EU climate policy. All other targets should be coordinated with it to avoid distortions between the targets.

Interfax: Is that what you think will happen?

LB: The European Commission actually proposed a 40% target, which I think were going to see eventually. I still dont believe that this is going to explode CO2 prices, but it is a step into the right direction.

Interfax: Is the trend of rising emissions in Germany likely to influence energy policy in future?

LB: Its going to play a role. In Germany, we have paid 100 billion ($140 billion) so far for renewable subsidies. But emissions increase. The system is not efficient and subsidies do not incentivise intelligent technology. I believe the main concern right now is around competitiveness I think we always have the three goals of security of supply, sustainability and affordability. And, while in the past few years we always had an overwhelming focus on renewables and sustainability, I think that has now moved to economics. I think the most relevant target function in society, and indeed even in politics right now, is competitiveness, so I dont see a short-term a push against coal or lignite. You can always be proven wrong, but I dont see that as the main issue in the next 2-3 years or beyond that.



Interviews
 

.
Head of the European Union delegation to Russia Vygaudas Usackas has given an interview to Interfax in which he said that the EUs Eastern Partnership policy is not directed against Moscow, expressed hope that Russias position on illegal immigration will be constructive and criticized Russias new law on unwelcome foreign organizations.

more
.
.
U.S. Ambassador to Russia has given an interview to Interfax foreign political desk chief Olga Golovanova ahead of the V-Day celebration due in Moscow on May 9 in which he praises joint effort in defeating fascism and says that U.S. President Barack Obama hopes for improving relations with Russia in the future.

more
.
.
UN Secretary General Ban Ki-moon, who will attend celebrations of the 70th anniversary of the Great Patriotic War Victory on May 9 in Moscow, has given an interview to Interfax correspondents Alexander Korzun and Andrei Baranovsky ahead of his visit to Russia.

more
.
.
Austrian Foreign Minister Sebastian Kurz has given an interview to Interfax‘ foreign political desk chief Olga Golovanova ahead of his first visit to Russia which starts on May 4 and takes place days before V-Day celebrations in Moscow.

more
.
.
EU External Action Service Deputy Secretary General Helga Schmid has given an interview to Interfax ahead of her visit to Russia in which she speaks about the Ukrainian crisis, EU-Russia relations, S-300 shipments to Iran and the situation in Syria.

more
.
.
Russian Foreign Minister Sergei Lavrov has given an interview with Interfax, in which he summed up the results of this foreign policy year and spoke about the priorities of Russian diplomacy in 2015

more
.
.
Germanys E.ON is spinning its Russian business off to a "New Company" which will be transferred to the companys shareholders, with plans to list it in 2016. Apart from the Russia business, the new company will receive all of E.ONs conventional energy assets. E.ON itself will focus on renewable energy and innovation. Johannes Teyssen, E.ONs CEO, told Interfax in an interview of the logic behind the decision and its implications for the concerns Russian subsidiary OJSC E.ON Russia.

more

 
  
 ©   1991—2015   Interfax Information Service. All rights reserved.
contact information   |   Interfax offices   |   made by web.finmarket

News and other data on this site are provided for information purposes only, and are not intended for republication or redistribution. Republication or redistribution of Interfax content, including by framing or similar means, is expressly prohibited without the prior written consent of Interfax.

Browse other Interfax sites:  Interfax.ru   |   IFX.RU   |   Interfax Group   Rambler's Top100