Tag Archives: money

2014: New #record year of #growth for the global #solar sector

 

SolarPower Europe, the new EPIA (European Photovoltaic Industry Association), released today its flagship market report the “Global Market Outlook for Solar Power 2015-2019”. James Watson, CEO of SolarPower Europe  stated ‘it reveals that the global solar sector has reached a cumulative capacity of 178 Gigawatt (GW) in 2014, multiplying the installed capacity by a factor of 100 in only 14 years of development.’

China, Japan and the USA lead the world’s solar market in 2014, while Europe installed 7 GW, with the UK leading the way – contributing 2.4 GW in 2014. Watson continued, “The success of the UK, set to be the largest European market again in 2015, reinforces the evidence that solar power is a versatile and cost-efficient energy source in any climate.” He added ‘Solar power could grow by 80% in Europe by 2020’.

Michael Schmela, SolarPower Europe’s Executive Advisor, outlined that. ‘If todays global solar momentum continues, and being supported by the right frameworks, we could see over half a Terrawatt (TW) of solar power capacity installed by 2020.’ SolarPower Europe`s Global Market Outlook foresees up to 540 GW of total solar capacity by 2020 in its high-scenario, but even the low support scenario estimates a total solar volume of 396 GW, which would be about twice as much as the capacity installed today.

The rise of solar power was confirmed, with 3 European markets, Germany, Italy and Greece, already reporting that solar covers more than 7% of the electricity demand.

SolarPower Europe believes that 2014 marks a tipping point in the make-up of our energy market, even if European solar market growth slowed again last year. ‘For the first time ever in Europe, renewables produced more power than nuclear – and solar power was key in achieving this remarkable achievement,’ emphasized Schmela. `Being now one of the lowest-cost power sources, solar needs the right market design so that it can continue to contribute its strong support for Europe to reach its clean energy targets,’ he added.

EP VOTES NEW ANTI-MONEY LAUNDERING RULES

The ultimate owners of companies and trusts would have to be listed in public registers in EU countries, under updated draft anti-money laundering rules approved by the Economic Affairs and the Justice and Home Affairs committees on Thursday. Casinos are included in the scope of the draft rules, but decisions to exclude other gambling services posing a low risk are left to member states.

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“The outcome of this vote is a big step forward in the fight against tax evasion and a clear call for more transparency. With this vote Parliament has shown, from left to right, that it is in favour of public beneficial ownership registers, and thus sends a strong signal to the Council for forthcoming negotiations on the file. By approving the establishment of beneficial ownership registers, the committees have shown that they are serious in their demand to finally break with the tradition of hidden company ownership”, said Civil Liberties Committee rapporteur Judith Sargentini (Greens/EFA, NL).

“For years, criminals in Europe have used the anonymity of offshore companies and accounts to hide their financial dealings. Creating an EU-wide register of beneficial ownership will help to lift the veil of secrecy from offshore accounts and greatly aid the fight against money laundering and blatant tax evasion”, said Economic and Monetary Affairs Committee rapporteur Krišjānis Kariņš (EPP, LV). “Today is a good day for law-abiding citizens, but a lousy day for criminals”, he added.

WHAT IS THE FUTURE OF 1 AND 2 EUROCENT COINS ?

The Commission has suggested four possible scenarios for the future issuance or withdrawal of 1 and 2 euro cent coins. The Communication adopted today responds to a request from the European Parliament and the Council of Ministers in 2012 to investigate the use of the 1 and 2 euro cent coins against the criteria of costs and public acceptability.  The conclusions of the exercise largely focussed on the cost-benefits of producing and issuing the coins and the attitude of the general public towards the coins.

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“The Commission has consulted business and consumer associations, treasuries, mints and central banks on the pros and cons of continued issuance of the 1 and 2 cent coins” said Olli Rehn, Commission Vice-President for Economic and Monetary Affairs and the Euro. “We will now take forward this discussion with stakeholders and Member States and see whether a clear preference emerges on which to base a legislative proposal.”

The Commission has structured its analysis around four possible scenarios:

  • Status quo: 1 and 2 cent coins continue to be issued under today’s conditions, without changing the legal or material context. They remain legal tender and continue to be produced with the current technical specifications (such as metal, weight and size) and without changing the production and issuance processes.
  • Issuance at reduced costs: The coins continue to be issued but issuance costs are reduced through changing the material composition of the coins or by increasing the efficiency of the coin production, or both. This would address the problem confronting most euro area Member States facing losses as a result of issuance costs far exceeding the face value of the coins.
  • Quick withdrawal: Under this scenario, the issuance of these denominations ceases and the coins in circulation are withdrawn, mainly through retailers and banks within a pre-established short time period. Binding rounding rules would apply as of the first day of the withdrawal period and the coins would cease to be legal tender at the end of the withdrawal exercise.
  • Fading out: This scenario has the effect of a withdrawal, but achieves it in a different way. While the issuance of coins would cease and binding rounding rules apply also under this scenario, the coins would remain legal tender. They could still be used, but only for payment of the rounded final sum. Since no new coins would be issued, they would be expected to disappear gradually from circulation due to their high loss rate and lack of attractiveness as convenient payment means.

A number of key conclusions can be drawn from the stakeholder consultation and the analysis:

  • The production of 1 and 2 cent coins is clearly a loss-making activity for the euro area with the difference between the face value of the coins and the price paid by the state to get them pointing at an estimated total cumulative loss of €1.4 billion since 2002.
  • The attitude of the general public is rather mixed: while people are attached to these small denominations and fear the risk of inflation if they were to disappear, they handle these coins as non-value items and do not re-circulate them in payment channels. The resulting high loss rate combined with the existence of psychological prices leads to an ever-growing demand for issuance of new small coins, which today represent nearly half of the coins in circulation.
  • While the economics of issuing 1 and 2 euro cent coins would plead for discontinuing issuance, cost elements need to be balanced against other considerations, notably the negative reaction from the general public that rounding rules could trigger.

Next steps

Further discussions with all the relevant stakeholders are needed on the basis of the four scenarios described. Should a clear preference emerge, the Commission will come forward with the necessary legislative proposals.

Background

Euro coins are issued by Member States but the Council is competent for harmonising their denominations and technical specifications. Denominations and technical specifications of euro coins intended for circulation are laid down in Council Regulation (EC) No 975/98. In accordance with that Council Regulation, only coins denominated in euro and cent and complying with the denominations and technical specifications laid down by the Council have the status of legal tender in all Member States whose currency is the euro. Any change in the existing euro coin denomination structure (e.g. abolishing the 1 and 2 euro cent coins) would require a change of the relevant Council regulation.

Since January 2002, euro area Member States have issued more than 45.8 billion 1 and 2 euro cent coins, the equivalent of 137 coins per capita.