Monthly Archives: April 2020

In todays Electrek Green Energy Brief (EGEB):

The Electrek Green Energy Brief (EGEB): A daily technical, financial, and political review/analysis of important green energy news.

Norwegian oil giant Equinor has gotten the go-ahead from Norways Ministry of Petroleum and Industry to build and operate the Hywind Tampen floating offshore wind farm in the North Sea.

Now, heres the twist: This new offshore wind farm will be powering the Snorre and Gullfaks offshore oil and gas platforms. Its a world first. (Writers note: Yes, Im trying to get my head around the concept of renewables to power fossil fuels, too, in case you think its just you.)

Hywind Tampen will feature 11 8MW wind turbines and will be situated around 140km (87 miles) from shore, between the two fossil-fuel platforms. The wind farm will generate 88MW of energy that will meet about 35% of the annual power demand of the oil and gas platforms.

Equinor Norway development and production executive vice-president Arne Sigve Nylund said [via Power Technology]:

Hywind Tampen is a pioneering project and a central contribution to reducing emissions from Gullfaks and Snorre, and I am pleased that both ESA and Norwegian authorities have approved the project.

A Harvard University study at the T.H. Chan School of Public Health, which was updated on April 5, has confirmed that there is a direct correlation between long-term exposure to air pollution and a higher coronavirus death rate.

This study is the first to confirm a statistical link between coronavirus deaths and air pollution something public health officials and environmentalists already surmised.

The studys background states that the majority of pre-existing conditions that increase the risk of death for coronavirus are the same diseases that are affected by long-term exposure to air pollution. They investigated whether long-term average exposure to fine particulate matter, which is caused by fossil fuels and vehicle emissions, increases the risk of COVID-19 deaths in the US.

The researchers collected data for about 3,000 US counties (98% of the population) for 17 years, up to April 4, 2020.

An increase of one microgram of fine particulates per cubic meter is associated with a 15% increase in the coronavirus death rate. Breathing in fine particulates damages the lungs over time, making it harder for the body to fight respiratory infections.

The study concluded:

A small increase in long-term exposure to PM2.5 [fine particulate matter] leads to a large increase in COVID-19 death rate, with the magnitude of increase 20 times that observed for PM2.5 [fine particulate matter] and all-cause mortality. The study results underscore the importance of continuing to enforce existing air pollution regulations to protect human health both during and after the COVID-19 crisis.

Harvard study researcher Xiao Wu said [via the Guardian]:

We should consider additional measures to protect ourselves from pollution exposure to reduce the COVID-19 death toll.

The American Wind Energy Association (AWEA) reports that more than 80% of US voters favor offshore wind energy, with widespread support coming from both Republicans and Democrats and every demographic group across the country, according to a national survey conducted by Public Opinion Strategies from March 16 to 19, 2020.

85% of all voters think wind energy is a clean, renewable, and affordable power source of the future, including 80% of Republicans. GOP voters support offshore wind energy for slightly different reasons than Democrats: They cite well-paying, stable jobs and improved economic revitalization for port communities/coastal states.

Further, voters from Gen Z to Millennials to Gen X and Boomers all express 83% to 88% favorability in their support for offshore wind.

AWEA CEO Tom Kiernan said:

Republicans and Democrats alike see offshore wind as playing a key role in the nations future energy portfolio, providing tremendous economic and environmental benefits and helping stabilize the cost of electricity.

Photo: Equinor illustration of Hywind

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EGEB: A world first: Offshore oil and gas platforms to be powered by wind - Electrek

The "HNW Offshore Investment: Drivers and Motivations" report has been added to ResearchAndMarkets.com's offering.

This report draws on survey results to analyze the drivers behind offshore investments in the HNW space. It examines and contrasts offshore HNW investment preferences across 27 jurisdictions, providing readers with an in-depth understanding of what is motivating HNW investors to look for new homes for their wealth.

Key Highlights

The proportion of HNW individuals who invest offshore has been on the rise despite the scandals that have shaken the industry.

While the reasons are diverse and differ from country to country, an expectation of better returns abroad, international business interests, and local political and economic instability top the list. However, we are seeing notable differences between regions, suggesting that one strategy does not fit all.

For example, tax efficiencies as a driver for offshore investments are of particular importance in Europe and North America. This means assisting HNW investors in minimizing their tax liabilities is key in these regions. Meanwhile, in Asia Pacific business interests are a significant driver, so a well-designed business and investment banking proposition neatly integrated with standard private banking services is a must.

Reasons to Buy

Companies Mentioned

Key Topics Covered

1. EXECUTIVE SUMMARY

1.1. HNW offshore investment is driven by a multitude of factors

1.2. Key findings

1.3. Critical success factors

2. GLOBAL TRENDS DRIVING HNW OFFSHORE INVESTMENTS

2.1. Increasingly easy access will drive offshore investments across the globe

2.1.1. A third of HNW offshore wealth is booked abroad

2.1.2. A sophisticated offshore proposition has become a hygiene factor

2.2. An expectation of better returns abroad and business interests account for a third of HNW offshore investments globally

2.2.1. HNW investors are looking for better returns abroad

2.2.2. Already the second most important offshore driver, the importance of international business interests is set to increase

2.2.3. Taken together, tax efficiencies and client anonymity are the number one driver for offshore investments

2.2.4. Other drivers include access to better investment options, local political and economic instability, expatriate money flows, and currency volatility

2.3. Significant regional differences exist in the motivations for offshore investment

2.3.1. Offshore propositions must be tailored at a country or regional level

3. DETAILED DRIVER ANALYSIS

3.1. Local market factors drive the variety in HNW individuals' motivations for offshore investment

3.2. Driver one: HNW investors are betting on better returns offshore

3.2.1. Despite a desire to capitalize on returns abroad, HNW investors are taking a more careful and diversified stance

3.2.2. Investors who look for better returns abroad are biased towards the US

3.2.3. Chinese HNW investors look for returns abroad in the property space, but tensions with the US will affect booking center preferences going forward

3.3. Driver two: Business interests as a driver for offshore investments means offering hedging products is a must

3.3.1. Targeting Japanese HNW entrepreneurs requires a sophisticated offshore proposition

3.3.2. Increasing business dealings with the US will see more Taiwanese HNW wealth flow offshore

3.4. Driver three: Political and economic uncertainty

3.4.1. Economic factors are marginally more important than political ones as an offshore driver

3.4.2. Political instability remains an important driver for offshore investments in Europe

3.4.3. Political and economic instability are also major concerns in South Africa

3.4.4. Providing access to safe havens is paramount in countries where economic and political stability rank highly

3.4.5. Hong Kong seeks to defend its safe haven status amid economic and political unrest

3.5. Driver four: Access to a broader and better range of investments is also an important consideration in the offshoring decision

3.5.1. Domestic market sector concentration bias drives offshore investment in the developed world

3.5.2. Access to a broader range of investment options is also an important driver in markets with limited investment options

3.6. Driver five: The desire for tax efficiency represents an opportunity, but achieving anonymity is becoming increasingly challenging

Story continues

3.6.1. With a few exceptions, the importance of tax efficiency and client anonymity as an offshore driver go hand in hand

3.6.2. Compliance is becoming an increasingly big headache, but technology can assist

3.6.3. The US and fake residency information are the biggest issues facing CRS

3.6.4. Tax efficiencies are a major driver in the UAE despite the lack of income taxes

3.7. Other drivers: The importance of currency volatility, geographic diversification benefits, and expat money flows vary across markets

3.7.1. Players looking to attract offshore HNW wealth should highlight the benefits of geographic diversification, while smaller companies should promote funds

3.7.2. Expat flows are an important driver in countries with high immigration rates

3.7.3. Currency volatility as a driver for offshore investments is becoming more important

4. APPENDIX

4.1. Supplementary data

4.2. Abbreviations and acronyms

4.3. Definitions

4.3.1. Affluent

4.3.2. CRS

4.3.3. HNW

4.3.4. Liquid assets

4.3.5. Mass affluent

4.3.6. Residency

4.4. Methodology

4.4.1. The 2019 Global Wealth Managers Survey

4.4.2. The 2018 Global Wealth Managers Survey

4.5. Secondary sources

For more information about this report visit https://www.researchandmarkets.com/r/iwfwyq

View source version on businesswire.com: https://www.businesswire.com/news/home/20200409005440/en/

Contacts

ResearchAndMarkets.comLaura Wood, Senior Press Managerpress@researchandmarkets.com For E.S.T Office Hours Call 1-917-300-0470For U.S./CAN Toll Free Call 1-800-526-8630For GMT Office Hours Call +353-1-416-8900

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Global HNW Offshore Investment Drivers & Motivations, 2020 - 32.5% of HNW Wealth is Invested Outside One's Country of Residence -...

New poll: Americans across party lines support offshore wind by wide margins

In todays world, sometimes it can feel like a struggle getting two people to agree the sky is blue. And yet, in an era of polarized opinions, wind energy has remained an outlierits a bright beacon of consensus. Just a few months ago, Pew found 85 percent of Americans supported expanding the use of wind power.

Now, just-released survey results show this same support extends to offshore wind. Over 80 percent of U.S. voters favor offshore wind, according to a new AWEA-commissioned study conducted by Public Opinion Strategies. Notably, that support is universal. It transcends across political party affiliation, geography, and every demographic group measured.

Although the U.S. only has one operating offshore wind farm today, states up and down the East Coast have made and the offshore wind project pipeline stands at nearly 26,000 megawatts (MW). Thats enough to power millions of homes and businesses with reliable, affordable, clean energy generated in close proximity to many of the countrys largest population centers.

Building that project pipeline could create over 80,000 jobs by 2030 and a new domestic supply chain, while spurring $57 billion of investment into the U.S. economy. Voters are buying this vision of the future57 percent think wind energy will be more important to the U.S. economy than oil and gas 10 years from now. As one would expect, the creation of well-paying jobs and a new economy-strengthening industry transcends party lines.

One of the reasons support for offshore wind extends so far and wide is because its not just an East Coast storyits benefits will extend nationwide. For example, offshore manufacturing and service companies in the Gulf region used their ocean infrastructure experience to help build the countrys first offshore wind project, the Block Island Wind Farm. These businesses are anxious to get back into offshore wind game as large projects are deployed in the waters off our coasts.

Further down the line, offshore wind will bring similar benefits as it grows along the West Coast and in the Great Lakes. These survey results show Americans understand the promise of offshore wind, and they want to see that promise become a reality. Its our job to get to work and deliver.

Read the rest here:

New poll: Americans across party lines support offshore wind by wide margins Into the Wind - Into the Wind - The AWEA Blog

Live weather updates on the strong winds, storms Wednesday

4:31 p.m.

The wind advisory was extended for another day, with the alert in effect for South Jersey from 7 a.m. to 7 p.m. Friday. It is in effect Thursday through 7 p.m.

Wind gusts similar to Thursday will be likely during the day Friday, with many places 45-50 mph, and a few places even higher. Continue to secure all loose objects outside. Isolated power outages and large tree branches down will be likely.

3:16 p.m.

The severe thunderstorm watch has been cancelled. However, strong winds will remain into the evening and the wind advisory will be in effect through 7 p.m.

Most of the power has been restored to Hammonton. Nearly a quarter of Atlantic City Electric customers were out of power in the 2 p.m. hour. Stafford still has a few hundred customers without power.

More wind reports have come in. Among them, a 71 mph wind gust just north of Barnegat Light, over the water. A 51 mph gust roared through Mullica Township at 2:50 p.m., with a mph 48 gust in Fortescue at 1:40 p.m.

2:47 p.m.

2:40 p.m.

The storms largely split around South Jersey. One exception, though, was Long Beach Island and southern Ocean County.

Harvey Cedars reported a 61 mph wind gusts while Beach Haven reported a 51 mph wind gusts.

The severe thunderstorm watch remains in effect for the shore counties. The watch was dropped elsewhere in the region.

Around noon, a severe thunderstorm watch was issued for all of South Jersey. South Jersey is under a level 2 of 5 risk for severe weather by the Storm Prediction Center, a government agency in Norman, Oklahoma.

A slight risk indicates a few scattered severe storms are possible. The potential for severe weather doesn't guarantee it will occur, but instead highlights the possibility to increase awareness in case storms do develop.

An explanation of the different risk categories for severe thunderstorms.

Damaging winds will be the main threat with the line of storms that comes through. Power outages and snapped tree limbs will be in the realm of possibility. Winds a few thousand feet above our heads are screaming near 60 mph and any thunderstorm can tap into that and bring it down to the surface.

To a lesser extent, hail will need to be watched for. Also, while unlikely, a weak tornado will not be ruled out.

No. Consider that the appetizer for the storms to come.

That line of rain, with embedded rumbles of thunder in Cape May County, were associated with a warm front. Rainfall totals ranged from 0.02 inches in Cape May to 0.43 in Atlantic City, according to the Office of the New Jersey State Climatologist.

Temperatures for 2 p.m. Thursday, according to various computer models. The warmer the air will be, the bettter risk for severe weather, as the sun after the morning rain provided extra juice in the atmosphere for severe weather.

The amount of sunshine, and corresponding temperatures, will be critical to the strength and severity of the storms.

The more sun there is, the more instability it will produce in the atmosphere. The vice versa will be possible as well.

Right now,ThePress forecast is for isolated areas of wind damage, with hail and tornadoes not ruled out.

For that risk to be lowered, temperatures would likely need to stay below 65 degrees with the sun only out for an hour or two.

On the other hand, for a widespread severe weather outbreak, most temperatures would likely need to near 75 degrees. That would mean the sun was out for a few hours and created lots of instability in the air.

So far, the High Resolution Rapid Refresh (HRRR) has been performing the best. The HRRR has daytime highs around 70 degrees for many before the line of storms comes in, keeping the forecast on target.

Additional downed tree limbs and power outages will be possible into Thursday evening as strong northwesterly winds blow. A wind advisory will be in effect from 1 to 9 p.m. to highlight this threat.

Take down any loose objects and garbage cans before the line of storms arrive.

Wind gusts 40-50 mph will be likely during this time. Typically, issues due to winds occur with winds over 45 mph.

Winds at the 850 millibar level, about 5,000 feet above the surface. This provides a good indicator of what the top gusts will be, as winds can get pulled to the ground from here.

Despite the strong northwesterly winds by this point, a few places will still get into minor flood stage.

The back bays will be most likely to get into just minor flood stage. If your street typically floods, move it a block or so. No major roadway will be likely to close.

Coastal flooding has been a concern since the Wednesday morning high tide. This peaked with the Wednesday evening high tide, when up to a foot of salt water flooding occurred on roadways.

Go here to read the rest:

Wind alert extended to Friday as strong storms move offshore - Press of Atlantic City

Arup has appointed Saygin Oytan to head its offshore wind team in the U.S.

As an associate principal in theBostonoffice, Oytan will lead strategic business development initiatives aimed at expandingArups presence in the U.S. offshore wind market.

We are anticipating major growth in the offshore wind market in the US in coming years, saidBrian Swett, Leader ofArupsBostonoffice.

With Sy at the helm as our new Offshore Wind Leader in the Americas, Im confident thatArups offshore wind business will continue to grow and mature in lockstep with the market, providing more services and more value to our clients acrossNorth America.

According to Arup, Oytan brings nearly two decades of experience managing the development and construction of international offshore and onshore wind projects.

His most recent position was as the Director of Offshore Wind for the New Jersey Economic Development Authority (NJEDA).

Oytan also started up and led Nord Renewable Energy Consulting inEuropeto provide project development, owners and lenders engineering, and transaction advisory services for offshore and onshore wind projects.

Im excited to join theArupteam that has been working diligently to support our international and national clients in offshore wind energy development, Oytan said.

The total size of state commitments to offshore wind is in the range of 26,000 MW to be operational by 2035.Arups global expertise in complex and multi-disciplinary projects is needed in this nascent market.

Continue reading here:

Arup Names US Offshore Wind Head - Offshore WIND

4/8/2020

Hywind Tampen wind farm diagram

OSLO - The Ministry of Petroleum and Industry has approved the plans for development and operation of the Hywind Tampen wind farm. The Snorre and Gullfaks platforms will be the first platforms in the world to receive power from a floating offshore wind farm.

On 11 October 2019, Equinor and the Snorre and Gullfaks partners submitted two updated plans for development and operation to Norwegian authorities.

Hywind Tampen is a pioneering project and a central contribution to reducing emissions from Gullfaks and Snorre, and I am pleased that both ESA and Norwegian authorities have approved the project. We are experiencing very challenging times, and we are focusing on continuing our transition effort while attending to and developing the value on the Norwegian continental shelf and at the same time reducing the climate footprint from our operations, says Arne Sigve Nylund, Equinors executive vice president for Development & Production Norway.

By reducing the use of gas turbines on the fields, the project will help reduce CO2 emissions by more than 200,000 tons per year, corresponding to annual emissions from 100,000 private cars.

The Hywind Tampen investment will be close to NOK 5 billion. Norwegian authorities have granted funding of up to NOK 2.3 billion through Enova. The Business Sectors NOx fund has decided to support the project by up to NOK 566 million.

On behalf of the partners, Equinor has awarded contracts totaling NOK 3.4 billion, subject to final project approval by Norwegian authorities. It is a plus that the oil and gas industry is competitive in renewables projects as well, and the contracts will lead to considerable spinoff effects in Norway. As the whole industry is currently experiencing much uncertainty, it is vital that we progress projects that spur technology development in the renewables segment and create spinoff effects on the Norwegian supplier industry, says Anders Opedal, executive vice president for Technology, Projects & Drilling.

According to a study made by Multiconsult, the Hywind Tampen project will create spinoff effects during the projects life of 1 550 to 3 000 man-years for Norwegian trade and industry. Most of the spinoff effects will occur in the projects development phase.

The wind farm will consist of 11 wind turbines based on the Hywind wind farm concept developed by Equinor. The 8 MW turbines will have a total capacity of 88 MW and meet about 35 per cent of the annual power demand of the five platforms Snorre A and B and Gullfaks A, B and C. The wind farm will be located around 140 kilometers from shore, between the Snorre and Gullfaks platforms, at a water depth of 260 to 300 meters.

Operated from Equinors offices in Bergen, Hywind Tampen is scheduled for start-up at the end of 2022.

Read the original post:

Norway greenlights new wind farm to power offshore production platforms - WorldOil

Tax revenue keeps civilization afloat. But not all taxpayers play by the same set of rules.

With the help of lawyers, accountants, white-shoe professionals and complicit Western governments, the wealthy and well-connected have avoided paying trillions of dollars in taxes. The rest of us cover the difference or, more commonly, cant, leaving treasuries bereft of monies needed to build roads, schools and tackle existential threats like climate change and global pandemics.

Tax havens make it all possible.

By some estimates, about 10 percent of the total output of all the economies in the world is parked in offshore financial centers, held by shell companies that exist only on paper. The cost to governments, in lost revenue, is estimated to exceed $800 billion a year.

The wealthy keep the money to build intergenerational fortunes, creating a new global aristocratic class and exacerbating the divide between the global haves and have-nots.

Multinational companies use the extra cash to reward shareholders and edge out smaller competitors.

Countries that need tax revenue the most lose more tax money, as a percentage of GDP, than wealthy countries. As with other inequities, the poor get it the worst.

Years after Panama Papers, the International Consortium of Investigative Journalists remains committed to exposing those who exploit tax havens a long list that also includes corrupt politicians, mobsters, drug traffickers and other criminals who launder cash and assets through offshore companies to throw law enforcement off the scent. The easy movement of illicit money destabilizes governments and helps despots stay in power.

Here is a guide weve assembled to help explain how offshore finance works, and why it matters. If you have questions we havent answered, email us here.

There is no universal definition, but tax havens, or offshore financial centers, are generally countries or places with low or no corporate taxes that allow outsiders to easily set up businesses there. Tax havens also typically limit public disclosure about companies and their owners. Because information can be hard to extract, tax havens are sometimes also called secrecy jurisdictions. Tax havens nearly always deny being tax havens.

All over the world. Some are independent countries, like Panama, the Netherlands and Malta. Others are within countries, like the U.S. state of Delaware, or are territories, like the Cayman Islands.

ICIJ investigations have focused on different tax havens, often depending on the origin and content of documents. Panama Papers, for example, exposed how Mossack Fonseca, one of the biggest offshore law firms in the world, sold thousands of shell companies in the British Virgin Islands to clients around the globe. Mauritius Leaks examined how companies used Mauritius to avoid taxes, while Paradise Papers revealed the secrets of Bermuda, the island where the law firm Appleby was founded.

Some tax havens, like Niue and Vanuatu, have cleaned up their act under international pressure while others, like Dubai, are emerging as new hotspots of illicit wealth.

Mauritius, which was central to Mauritius Leaks, is one example of a tax haven that attracts companies from thousands of miles away.

Money. Tax havens make significant income from fees paid by people and companies who create and use shell companies. Tax havens also create work for lawyers, accountants and secretaries. Mauritius, for example, has said 5,000 people would lose jobs if the country stopped being a tax haven.

A shell company is a legal entity created in a tax haven. Shell companies typically exist only on paper, with no full-time employees, and no office. A single office building in the Cayman Islands, for example, is home to 19,000 shell companies. Rules differ, but the actual owners of many shells are not disclosed in incorporation documents. Some use the term shell company and offshore company interchangeably.

Shell companies only exist, legally, on paper.

Because, like an empty shell, there is nothing inside. A shell company exists, legally, only on paper.

Legal and illegal purposes. Shell companies can hold money, luxury homes, intellectual property, businesses and other assets. They also play a vital role in facilitating the flow of illicit money around the globe.

Rich but otherwise average folk, including dentists and at least one Alabama greengrocer, use shell companies for reasons that may include making it harder for potential creditors including former spouses, displeased business partners or tax inspectors to identify and recoup monies allegedly owed.

Investments made through tax shelters can be especially lucrative, owing to the significant tax savings offshore companies may enjoy.

Bob Geldof, Madonna and U.S. Commerce Secretary Wilbur Ross are among the bold-faced names that ICIJ has linked to shell companies. Some, like Queen Elizabeth II, say they dont even know they have invested offshore.

Politicians, like Icelands former prime minister, Sigmundur David Gunnlaugsson, and Nigerias former senate president, Bukola Saraki, have concealed investments or luxury homes with the help of shell companies. So have their children. Notables include the son and daughter of former Pakistan prime minister, Nawaz Sharif, and Isabel dos Santos, the billionaire daughter of former Angolan strongman president, Jose Eduardo dos Santos.

Drug lords and ladies, bank robbers and arms traffickers, mafia kingpins and queens and bribe takers and makers also use shell companies to obscure their identities and conceal money, assets and illicit activities.

The short answer is no. The longer answer is that it depends on how it is used and where the shell company is created or incorporated. Hiding stolen assets abroad is clearly illegal, but buying a luxury yacht with a shell company may not be. (Hello Microsofts Paul Allen and Saudi prince Mohammed bin Salman Al Saud!). Lawyers and accountants are very good at proposing technically legal ways to spend or stash cash offshore.

Businesses, especially those that transact across borders, can enjoy massive tax savings by routing payments, profits or investments through subsidiaries in offshore financial centers.

A big pharmaceutical company, for example, might set up a new entity in Bermuda or the Netherlands, and sell that entity a patent for a profitable drug. The parent company might then pay a big licensing fee to the offshore company, which in turn would allow it to record lower profits at home and pay a lower tax bill. Drug companies have avoided billions of dollars in taxes this way, according to Oxfam.

Each year, companies avoid paying more than $500 billion in taxes using methods like these. Some pay little or no taxes at all in their home countries.

Notable corporate tax avoiders include Apple, Johnson and Johnson and Skype.

Companies often say shell companies encourage foreign investment and get deals done that wouldnt otherwise. They also incorporate offshore, many say, to avoid paying taxes twice on the same pot of money. Experts say that such defenses are either overblown or mythical.

Want to know more? Watch our reporter Simon Bowers give a TED Talk about uncovering the tax secrets of Nike and Apple in the Paradise Papers.

Experts refer to this as the tax mantra. It allows corporations to appear to be good corporate citizens but does not contradict the fact that many of these companies use loopholes (some of which are subsequently found to be illegal) to avoid paying taxes.

In most cases, it is as simple as an email or phone call. You dont even have to leave your house. In most cases seen by ICIJ, individuals pay someone else to do it for them. Theres a cottage industry of offshore specialists including Mossack Fonseca (now defunct), Appleby and Asiaciti, as weve reported previously eager to make that phone call or write that email on your behalf (for a fee) to set up a shell company.

Rules differ by jurisdiction, but you will usually have to provide a form of identification and answer questions about how you made your money, and the purpose of the new business. Offshore specialists regularly fail to ask these questions.

In the aftermath of the Panama Papers investigation, for example, lawyers around the globe scrambled to try to figure out the identity of their own clients.

Some reporters have gone so far as to set up a shell company for themselves. Listen to NPRs Planet Money do that here. ICIJ partners at Univisions Fusion opened a Delaware shell company for a cat.

Companies like Deloitte, KPMG, Mossack Fonseca, EY, Appleby and Conyers all service (or did serve) the offshore industry.

Consultants, wealth managers and tax lawyers, who advise on how best to avoid taxes and hide money from authorities. Accountants, who sign off on shell company audits.

Costs depend on where you create your shell company and who helps you do it. Some lawyers, including Mossack Fonseca from the Panama Papers, charged $350 to incorporate a company. Other law firms, including Appleby from the Paradise Papers, charged a flat fee of almost $2,000 in one popular tax haven, the Isle of Man, and $2,700 in Bermuda.

Shell companies, corporations or entities come in different forms. While companies and corporations are the most common offshore tool (in Delaware, the British Virgin Islands, Bahamas and Niue), other offshore entities include trusts (Jersey) and foundations (Panama). Each has a different rule, according to a tax havens domestic laws. Trusts are particularly open to abuse because they use ancient legal principles to avoid declaring or defining an owner. Trusts split possible ownership into three: the legal owner of the assets, the person who controls the assets and the person who can enjoy or use the asset.

Confused yet? Thats the point. Complex structures confound tax officials, law enforcement and investigative journalists. Here is one example of a complex structure set up for Abbott labs from our Lux Leaks investigation.

A nominee director can be a person or a company paid to appear on official documents. Shell companies can use nominees, also known as dummies, instead of the companys true owner (or owners) as directors to avoid public disclosure. Nominees perform administrative tasks, including signing minutes of company meetings, but have no real or legal power or control over the shell company. One recent example of a dummy nominee company was the use of Regula by Deutsche Bank.

Tax avoidance versus tax evasion.

According to the traditional definitions, tax evasion is illegal (a crime) but tax avoidance uses legal loopholes to reduce or avoid paying taxes. Increasingly, experts argue that the distinction is blurry; a lot (but not all) of what gets called tax avoidance could be criminalized or overturned if there were a court challenge but much of it remains secret. This grey area has led to the term tax avoision.

The person or company who ultimately owns the shell company, no matter how many nominee directors or subsidiary companies are placed in between him or her and the shell company.

It depends where you live. As a general rule, keeping offshore secrets is no longer as easy as it once was. Many governments, including the United States, can receive information automatically from tax havens and other countries about foreign bank accounts of their own citizens. Other countries, especially developing countries, must make individual requests to tax havens for information. Many jurisdictions, , including the U.S. state of Delaware, refuse to make public registers that would show the beneficial owners of shell companies.

A bearer share allows whoever holds the physical document (the share) to be its legal owner, which can make someone the owner of a shell company. The bearer share is not registered under the name of any person, which means ownership is never recorded. Bearer shares have been banned in many countries because criminals have used the lack of ownership registration to hide crimes and assets.

Transfer pricing occurs when two companies from the same group transact with each other. This happens, for example, when Facebook Ireland sells a service or an asset to Facebook USA. Transfer mispricing is when companies (allegedly including Facebook) avoid or evade taxes by artificially inflating or deflating the value of internally sold services or assets.

Its impossible to know for sure (thats part of the point: its secret.) French economist Gabriel Zucman estimates hat the equivalent 10% of global GDP is held offshore about $5.6 trillion. U.S. economist James Henry estimates as much as $32 trillion.

Panama Papers, first published in 2016, is probably the best known ICIJ investigation into tax havens. It was the biggest journalism collaboration in history, at the time, and led to the resignation of world leaders, criminal convictions and more than $1 billion in recouped money. It built on the work of our previous investigations, Offshore Leaks, Swiss Leaks and Lux Leaks. We returned with Paradise Papers, West Africa Leaks, Mauritius Leaks, and in 2020, with Luanda Leaks.

One reason: some of the most powerful countries in the world are major players. Offshore money flows through overseas territories of the United Kingdom; the U.S. states of Delaware, Wyoming, Nevada and South Dakota; and through Switzerland and the Netherlands.

However, since the Panama Papers was first published, there has been a push in the U.S. to eliminate corporate secrecy. Some experts are optimistic about reform; last year, the U.S. House of Representatives passed the Corporate Transparency Act.

Well, yeah.

The Laundromat directed by Steven Soderbergh and written by Scott Z. Burns

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What is a tax haven? Offshore finance, explained - ICIJ.org

The UK Government timetable for its offshore wind power auction will not be delayed by the coronavirus pandemic.

The Department for Business, Energy and Industrial Strategy (BEIS) announced that the consultation deadline for its Contracts for Difference (CfD) auction will not be affected beyond its current deadline.

The consultation period, which is scheduled to run for twelve weeks, is due to close on May 22.

The delivery of the fourth round is still expected to take place in 2021.

A UK trade body said it provided certainty for the UK renewable energy sector.

The CfD process traditionally grants licences for big offshore wind projects this year the process is likely to include onshore and floating wind as well as solar power.

A number of large offshore wind developers are expected to be part of the bidding process, alongside a group for new entrants from the UK oil and gas sector.

The previous round saw SSE Renewables win consent for its giant Seagreen Offshore Wind Farm off the coast of Montrose in Scotland.

But, developer EDP Renewables missed out on its 90-turbine Moray West Offshore Wind Farm.

Red Rock Powers Inch Cape Wind Farm off the Angus Coast was also unsuccessful, alongside Shetlands Viking Wind Farm.

RenewableUKs head of policy and regulation, Rebecca Williams, said: Were pleased to see the current timetable for the governments clean power auctions remains on track.

This provides certainty for the industry and investors so we can plan ahead. Holding the next round of CfD auctions in 2021 is vital to secure the much-needed new renewable energy capacity we need to meet net zero.

This will enable consumers to benefit from new cheap power as fast as possible.

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No Covid-19 delay to offshore wind power auction delivery, UK Gov says - News for the Oil and Gas Sector - Energy Voice