MOSCOW (MRC) -- The U.S, is attracting investment in renewables through new legislation while the European Union's rules could deter investors, the head of Spanish energy company Repsol said, as per Hydrocarbonprocessing.
Speaking as a European, you are lucky guys," Repsol Chief Executive Officer Josu Jon Imaz told the CERAWeek energy conference in the capital of the U.S. oil industry, Houston. U.S. President Joe Biden's signature climate change legislation, called the Inflation Reduction Act (IRA), was passed into law in August 2022.
The IRA's USD370 B in climate spending included provisions to cut carbon emission and boost domestic production and manufacturing of renewables and low-carbon fuels. The European Union, by contrast, has struggled to formulate clear legislation to attract investment.
"You have the framework to make decisions. Simplicity is from my point of view one of the main features of the IRA and that is very important for investors... you have a broad possibility to invest in many areas in the United States." "What you have here is a carrot, what we have in Europe to boost the energy transition is a stick."
The IRA laid out a framework for hydrogren, carbon capture, biofuels and synethetic biofuels, he said. In Europe, each is dealt with differently and there are many conditions attached to development of renewable energy.
We remind, Repsol will nearly double the production capacity of its Reciclex recycled polyolefins with a new production line at its Puertollano Industrial Complex in Spain. The company will invest EUR 26 M to install a new 25,000 tonnes/y production line for polyolefins with mechanically recycled plastic content. Repsol currently has 16,000 tonnes/y of Reciclex polyolefins capacity.