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NARUC, NASEO Launch Nuclear Collab

The National Association of Regulatory Utility Commissioners and the National Association of State Energy Officials have launched the Advanced Nuclear State Collaborative (ANSC).

The Department of Energy-supported program is dedicated to aiding the deployment of new nuclear in America. ANSC will rally state utility regulators and state energy officials to improve their understanding of the regulatory and policy issues around deploying nuclear.

“As State Energy Offices explore different avenues for incorporating advanced nuclear into their programming, policy, and planning efforts, the Advanced Nuclear State Collaborative offers a valuable platform for peer-learning and information exchange on opportunities and barriers to deployment,” said Richard Stover, the administrator for the Idaho Governor’s Office of Energy and Mineral Resources.

“[NARUC and NASEO] said they invited states that are considering or actively working toward deploying advanced reactors to join ANSC because membership offers an opportunity for direct support from nuclear experts while participating in ‘real-time peer learning,’” reports Utility Dive.

Over 30 utility commissions and state energy offices from 23 states have joined the ANSC.

Russia Sends Fuel By Rail to Iran

Russia exported fuel to Iran by rail this year, with supplies of up to 30,000 tonnes of gasoline and diesel in February and March.

“Russia and Iran, both under Western sanctions, are forging closer ties in order to support their economies and to undermine Western sanctions which both Moscow and Tehran cast as unjustified,” reports Reuters. “Western sanctions on Russian oil products over what Moscow calls its ‘special military operation’ in Ukraine have reshaped global fuel markets with tankers taking longer routes and suppliers choosing exotic destinations and ways of transportation.”

While Russia had sent small amounts of fuel to Iran through the Caspian Sea in 2018, this year marks the country’s first use of rail for Iranian export. Iran has been exporting fuel as well. Some gasoline cargoes were reportedly trucked from Iran to its neighbors, including Iraq.

A Renaissance In US Factory Spending

Spending on factories is making a big comeback in the US. Covid’s supply chain reshuffling, the CHIPS and Science Act, and the Inflation Reduction Act are driving the trend. Factory spending saw a record $108 billion in spending last year.

Some of the uptick in spending comes from abroad. “Some Europe-based companies have also announced expansions in U.S. operations, attracted by the provisions in the IRA,” reports Oilprice.com. “Since the IRA was passed into law, BMW has announced a $1.7 billion investment in its United States operations, including $1 billion to prepare for the production of electric vehicles at Plant Spartanburg, and $700 million to build a new high-voltage battery assembly facility in nearby Woodruff, S.C. FREYR Battery of Norway announced in November plans to build a U.S. Gigafactory in Georgia.”

But domestic investment is a big player, too. The Manufacturers’ Outlook Survey Q1 2023 published by the National Association of Manufacturers showed that 62.3% of the companies involved in international trade plan to scale up their investments and/or sourcing in the US.

“We had the CHIPS and Science Act, which is encouraging a lot more semiconductor production in the U.S.,” said Chad Moutray, chief economist at the National Association of Manufacturers, “The Inflation Reduction Act encourages a lot of particularly battery production in the EV market to take place here.”

Much of the investment in factories is flowing into the renewables industry as companies take advantage of the lavish subsidies and tax breaks provided by the IRA, which total around $370 billion.

But not all is sunny. The above report from NAM also said that three-quarters of manufacturers cited employee retention and attraction as their major challenges—even above issues like rising raw materials’ costs and supply chain snags.

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Conversation Starters

1. India is going offshore for oil. “India’s Oil and Natural Gas Corp. is preparing to bet billions of dollars on deepwater and ultra-deepwater exploration, boosting spending in a push that could help one of the world’s top oil importing nations reduce reliance on overseas supply,” reports Rigzone. “India, with a fast-growing appetite for crude, is eager to reduce its fuel import bill and bolster energy security, and has encouraged companies like state-controlled ONGC to do more to tap domestic oil and gas reserves. It’s a gamble that, if successful, would yield rewards for producers and for a government looking to reduce its overseas dependence.”

2. Maryland wants offshore wind. “The US state of Maryland on Monday passed the Promoting Offshore Wind Energy Resources Act, known as the POWER Act. The state’s governor, Wes Moore, is expected to sign the bill into law,” reports Splash247. “According to the Chesapeake Climate Action Network (CCAN), a nonprofit dedicated to fighting global warming in Maryland, Virginia and Washington, D.C., the POWER Act will boost Maryland’s goal for offshore wind by 2031 from 2 GW to 8.5. The organisation also anticipates that the legislation will ‘strengthen labour standards for offshore wind manufacturing, installation and maintenance’ in the state.”

3. More trouble for the energy transition inbound. “A sharp increase in export restrictions by countries including China and India on raw materials critical for green technologies has a potentially sizable impact on the global economy and could make climate goals harder to meet,” reports Bloomberg. “The restrictions — most frequently taxes, but also quantitative limits — have increased more than five-fold in the last decade to a point where 10% of the global value of exports is subject to at least one measure, the OECD said.”

Crom’s Blessing