- US President Joe Biden has started the process of reversing former president’s environmental and energy regulations.
- The USA, under Trump administration, had exited the Paris Climate Agreement in November last year.
- The US Energy Information Administration has estimated that renewable energy would deliver 70% of new generation capacity to be built in 2021.
Just after few hours of resuming the President’s office, Joe Biden signed an executive order that will see the US returning to the Paris Climate Agreement. He has initiated the process to reverse the former President's official orders and decree on climate change.
Image Source - ©Kalkine Group 2020
Latest Update: Biden signs order for US to rejoin Paris climate accord
Former President Donald Trump had withdrawn from the Paris Climate Agreement in November last year. Mr Trump, who is a strong supporter of fossil fuels, was even heard saying once that the birds were in danger due to the wind turbines’ revolving blades.
However, Biden’s prompt actions reflect his commitment and a serious new approach by the US towards fighting the climate crisis.
The executive order signed by Biden will also reverse the previous administration's decisions in favour of the oil and gas industry, including the Keystone Pipeline Project and drilling in Arctic National Wildlife Refuge in Alaska.
During the election campaigns, Joe Biden had formulated 9 key steps in the clean energy revolution.
- Reverse the damage done by the previous administration and make progress in climate change faster.
- Enact legislation in 2021 to put the US on an irreversible path of net-zero emission by 2050.
- Engaging with world leaders on climate change issue within the first 100 days of the presidency.
- Invest US$400 billion in 10 years in clean energy.
- Will make the availability of clean energy technology to all sectors of the economy in a speedy manner.
- Prioritising environmental justice in all federal agencies.
- Public companies to disclose emission level and bear the cost of pollution. Corporate houses will be held accountable for pollution, and executives can face jail terms also.
- Money spent on rebuilding the infrastructure will be used to mitigate the climate crisis.
- Look after the people and communities whose livelihoods will be impacted by changing the energy dynamics.
As mentioned above, the US government under Biden administration is going to invest US$400 billion in the next 10 years. It will be a great boost for the clean and renewable energy sector. In the purview of all these highlights, let us walk through few ASX-listed green energy companies that will benefit from changing the world's energy dynamics.
Infinite Blue Energy, a Perth-based renewable energy sector company, has plans to launch its IPO on the ASX in the first quarter of 2021. However, the company raised A$2 million in funds as pre-IPO funding to develop its hydrogen generation facility in Western Australia.
Image Source - ©Kalkine Group 2020
Infinite Blue will be among the first zero-emission companies listed on the ASX, which are into the green hydrogen production business. The Company is planning to commence hydrogen production by the year 2022. The Company will employ electrolysis to produce hydrogen using the electricity generated from its own solar and wind farms.
Infinite Blue has planned a facility capacity of 25 tons of hydrogen production a day. The Company may use the natural gas pipeline to source its produced hydrogen to the market.
Woodside Petroleum Limited (ASX:WPL): Woodside is engaged in two renewable hydrogen projects- H2TAS and Badgingarra.
The company is working on the pilot project H2TAS in partnership with Countrywide Renewable Energy for hydrogen production of up to 4.5 tonnes annually. The project is located in Bell Bay Advanced Manufacturing Zone of Tasmania.
The second project- Badgingarra, involves the production of Green Hydrogen in Western Australia. Woodside is partnering with the APA Group for the project to produce hydrogen using the wind and solar energy.
Australian Renewable Energy Agency (ARENA) has shortlisted both the projects for the A$70 million funding program to promote hydrogen-based industry in Australia.
The Company's shares closed at A$26.330 with a market cap of A$25.55 billion on 25 January 2021.
Lithium Power International (ASX:LPI) The Company recently announced the resumption of its exploration activities concerning lithium assets in Western Australia. With the current boom in EVs and other battery storage energy technology, lithium is in huge demand.
LPI wholly owns the 398KM2 Greenbushes Project in Australia along with two projects in South America. The Company owns 51% interest in the Maricunga Project in Chile and another 71% in Argentina’s Centenario Project.
The Company has recently raised A$8 million through Placements and is fully funded for 2021 exploration activities.
LPI shares last traded at A$0.345 on 25 January 2021, up 4.545%. The Company has a market cap of A$98.42 million.