The UK has big climate plans for India: British International Investment (BII) — the UK government’s development finance institution — is planning to pour in c. USD 1 bn in climate-related projects in India by 2026, BII’s CEO Nick O’Donohoe tells Reuters. “We are evaluating exciting businesses in sectors such as biofuels, circular economy … as part of the vision for the 2030 roadmap agreed between India and the UK,” O’Donohoe said. BII invested over USD 300 mn in climate finance last year in the South Asian country’s renewable energy, electric mobility, and sustainable agriculture sectors, he told the newswire. BII’s current portfolio in India currently stands at USD 2.2 bn with investments in more than 290 businesses, according to Reuters. Its latest venture in the country was a USD 250 mn commitment in Indian carmaker’s Mahindra and Mahindra’s new electric vehicle unit last year.

Australia is one step closer to becoming a renewable energy superpower: A future hydrogen hub in South Australia has secured funding commitments in a bid to bring the country closer to becoming a renewable energy superpower, according to a statement by the Australian prime minister’s office. Both the Albanese and Malinauskas governments have committed USD 100 mn to develop infrastructure at Port Bonython to help it become South Australia’s first large-scale export terminal for hydrogen. The port is also expected to be home to projects worth up to USD 13 bn and generate as much as 1.8 mn tons of hydrogen by 2030, the statement read.

ALSO- Households in Australia are close to adding 3 GW of rooftop solar capacity to the electricity grid this year, the Guardian reports, citing data from the Clean Energy Regulator. Some 1.4 GW of capacity from c. 160k rooftop systems was added to the grid in the first six months of the year. The new additions would bring the size of rooftop solar capacity to the grid close to the 2021 record of 3.2 GW, according to the regulator.

South Korea’s Posco may set up shop abroad in a “desperate” attempt to meet its corporate target to slash 30% of its emissions by 2035, with Australia among the countries Posco is considering, Senior Vice President for Posco’s Climate Action Strategy Kim Hee told Bloomberg. The company’s plans to reach net-zero targets by mid-century would require some 3.7 mn tonnes of green hydrogen, Kim said. The company — which has some 45 global subsidiaries and operations in over 16 countries aside from South Korea — plans to establish its green steel plants beyond its hometown due to non-competitive domestic levelized electricity costs. Although the move would be a “last resort” due to associated risks, “the fact that we may put this idea on the table shows how desperate we are in delivering our climate commitment,” Kim said.

Regional footprint and expected net-zero investment ticket: The company, which plans to fuel its green steel production targets from renewables-powered hydrogen, was awarded in June a USD 6.7 bn contract to set up what it described as the world’s largest green hydrogen plant in Oman’s Duqm, and later in July signed an agreement with KSA’s Acwa Power to jointly develop green hydrogen and its derivatives, in a bid to help decarbonize Posco Group’s power generation and steel manufacturing operations. The global steel industry accounts for about eight percent of global greenhouse gas emissions, generating around 1.85 tons of CO2 per steel ton, and Posco remains South Korea’s largest corporate emitter. The company estimates its carbon-neutrality ambitions would have a 40 tn KRW (USD 30 bn) price tag, and entail development of nine clean hydrogen production plants. Earlier in July, the company announced plans to allocate some USD 93 bn to scale its hydrogen, battery materials, and steel production sectors.

Kenya plans to break ground on its first nuclear power plant in 2027 as it pushes for zero carbon energy, CEO of the Nuclear Power and Energy Agency (NuPEA) Justus Wabuyabo tells the Business Daily. The agency plans to issue international tenders to construct the plant in either Kilifi or Kwale counties. The plant will have an expected capacity of 1 GW. “We will do the bidding stage, as anytime between 2026 and 2027 and start construction in 2027. Construction ranges six to 10 years so we are looking at 2034-35 to commission the first plant,” Wabuyabo added.

China may offer compensation to utilities with idle coal plants to support their green transition: China is considering compensating utility providers for the coal plants initially built to tackle persistent supply shortages, but are likely to become idle as the country transitions to renewables, Bloomberg reported, citing a draft of the plan of which it obtained a copy. The funds will be collected through fees for industrial and commercial consumers based on their power capacity and the rates they pay on their electricity, the news outlet added. If approved, consumers will begin to pay for the additional fee starting next year.

BACKGROUND- China has accelerated its construction of coal-fired power in recent years due to supply shortages and a need for backup generation to intermittent wind and solar. Despite the breakneck speed of China’s renewable power installations, coal still accounts for 59% of the country’s electricity.

IFC + Reserve Bank of Fiji to develop a green finance taxonomy: The International Finance Corporation (IFC) and the Reserve Bank of Fiji (RBF) will work together to implement a “green taxonomy” — a set of clear guidelines and parameters to help define green assets and projects, the IFC said in a statement. The move, the IFC and RBF say, will facilitate more climate financing from the private sector to such projects, as well as creating green jobs and avoiding greenwashing. The IFC will also help Fiji’s financial sector to implement ESG practices.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

• Unusually heavy rains caused eight deaths in Mexico after the rains resulted in the flooding of a river in the Mexican state of Jalisco, destroying four houses and damaging 50 others. (Reuters)
• A major low-carbon iron ore facility in Brazil could be happening: Brazil’s top miner Vale has signed an agreement with Latin America’s largest commercial port Acu port to examine the possibility of setting up a low-carbon iron ore complex in Rio de Janeiro, according to company executives. (Reuters)