Chevron working to resume full Gorgon LNG production after ‘mechanical fault’

Energy News Beat

Chevron Australia, a unit of US energy giant Chevron, is working to resume full production from its Gorgon LNG terminal in Western Australia following a “mechanical fault” which is affecting one LNG production train.

“The fault occurred about 3pm AWST on Tuesday, April 30 in a turbine,” a Chevron Australia spokesperson told LNG Prime on Friday.

The spokesperson said there were no injuries or impacts to personnel associated with the fault.

According to spokesperson, repair activities have started and are expected to “take a number of weeks”.

“Domestic gas and the remaining two LNG production trains at Gorgon are unaffected and are producing at full rates,” the spokesperson said.

“Relevant stakeholders have been notified and we will continue to keep them informed as we complete the repair work and safely resume full production,” the spokesperson added.

The Gorgon LNG plant located on Barrow Island has a production capacity of about 15.6 mtpa.

The Chevron-operated project is a joint venture of Chevron (47.3 percent), ExxonMobil (25 percent), Shell (25 percent), Osaka Gas (1.25 percent), MidOcean Energy (1 percent), and also JERA (0.417 percent).

Last year, the plant’s third train was offline during a big part of November due to an “electrical incident”.

Prior to that, Chevron and its workers at the Gorgon and Wheatstone LNG terminals agreed on new labor agreements following lengthy negotiations between Chevron and unions representing the workers.

The Wheatstone LNG plant near Onslow has a capacity of about 8.9 mtpa.

 

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Cheniere: Q1 revenue down to $4.3 billion, Corpus Christi expansion 56 percent complete

Energy News Beat

US LNG exporting giant Cheniere reported a 42 percent drop in its quarterly revenue due to lower prices, while its net profit decreased 91 percent. The company’s Corpus Christi Stage 3 project is 55.9 percent complete.

The owner of the Sabine Pass and Corpus Christi LNG export terminals said on Friday its revenue reached $4.25 billion in the first quarter.

This compares to $5.43 billion in the first quarter last year.

Net income was at $502 million and compares to $5.43 billion in the year before.

Cheniere said the the “unfavorable change was primarily due to an approximate $5 billion unfavorable change in the fair value of our derivative instruments, from a $4.7 billion gain in the prior period to a $0.3 billion loss for the three months ended March 31, 2024.”

Consolidated adjusted Ebitda decreased 51 percent to $1.77 billion “primarily due to moderating international gas prices and the higher proportion of our LNG being sold under long-term contracts, resulting in lower total margins per MMBtu of LNG delivered compared to the prior period,” the firm said.

The company confirmed full year 2024 consolidated adjusted Ebitda guidance of $5.5 billion – $6 billion and full year 2024 distributable cash flow guidance of $2.9 billion – $3.4 billion.

Cheniere exported 166 LNG cargoes during the first quarter, down by just one cargo compared to the same period last year.

Most of these volumes landed in Europe, followed by Asia.

The company’s loaded LNG volumes reached 602 trillion British thermal unit (TBtu), compared to 603 TBtu in the same period last year.

Cheniere is the largest LNG exporter in the US.

The company’s Sabine Pass facility in Louisiana currently has a capacity of about 30 mtpa following the launch of the sixth train in February 2022, while Cheniere’s three-train Corpus Christi plant in Texas can produce about 15 mtpa of LNG and is undergoing expansion to add more than 10 mtpa of capacity.

Cheniere’s unit Corpus Christi Liquefaction said in the January construction report filed with the US FERC that overall project completion for the Stage 3 project is 52.7 percent.

The company said in the results report that the project was 55.9 percent complete as of March 31, 2024.

Cheniere expects to achieve first LNG production from the first train at the end of 2024.

Substantial completion of the project is expected during 1H 2025 – 2H 2026.

Besides this expansion, Cheniere plans to build two more liquefaction trains as part of the third expansion phase at the Corpus Christi plant.

In addition, Cheniere also aims to build two new liquefaction trains as part of the Sabine Pass Stage 5 expansion project to add up to 20 mtpa of capacity to the giant facility.

In February 2024, units of Cheniere Partners submitted an application to the FERC for authorization to site, construct and operate the SPL expansion project, as well as an application to the DOE requesting authorization to export LNG to FTA and non-FTA countries, both of which applications exclude debottlenecking, it said.

 

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Sanctions on Russia adding to Boeing’s woes – WSJ

Energy News Beat

[[{“value”:”

The US company has warned investors it will not be able to deliver the planned number of Dreamliner jets this year, according to the paper

Boeing is experiencing problems with the production of its 787 Dreamliner wide-body airliners due to the lack of a key component caused by US sanctions on Russia, the Wall Street Journal has reported.

Heat exchangers, which are used in the plane’s environmental control system and also regulate the temperature of its electronics, had been made by a joint venture between American company RTX’s Collins Aerospace and Moscow-based firm HS-Nauka, the outlet said in an article on Friday.

However, in March 2022, just weeks after the fighting between Russia and Ukraine broke out, the joint venture was shut down as part of restrictions against Moscow over the conflict, the report said.

The manufacturing of temperature-regulating parts was moved to RTX’s new factory lines in the US and UK. They were initially able to keep up with Boeing’s demands due to the company making relatively few planes at the time. But there is now a shortage of heat exchangers, as the US plane-maker is trying to increase the production of Dreamliners, according to the WSJ.

“When the invasion happened, it got moved, and the capacity of that supplier has not kept pace with us,” Boeing’s Chief Executive Dave Calhoun said in April.

Last week, Boeing told investors that due to the lack of heat exchangers and a shortage of cabin seating – which is another problem faced by the company – it will not be able to deliver as many Dreamliner jets as had been planned this year.

The company said production will slow down in the coming months, but stressed that it expects to return to making five planes per month by the end of 2024. It delivered 13 Dreamliners in the first quarter of this year, the WSJ said.

Monthly production of the Boeing 737 MAX has also fallen to single digits, as the company tries to iron out manufacturing issues after a door plug blew out mid-flight on an Alaska Airlines plane in January, Reuters reported last month.

The 737 MAX has had a history of accidents, including two crashes in 2018 and 2019 that resulted in more than 340 deaths.


READ MORE:
Boeing output plummets as safety fears linger – Reuters

Earlier this week, Joshua Dean, a former employee of one of Boeing’s suppliers, who raised the alarm over lax standards in the production of the 737 MAX jet, died following a sudden and severe illness. In March, former Boeing quality manager John Barnett was found dead with a gunshot wound days before he was due to give evidence in a whistleblower lawsuit against the aerospace giant.

“}]] 

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The Inflation Surge, Effects of this Sudden Divergence between the Fed and other Central Banks, the Corporate & Government Debt Bubbles, Housing, and the New & Used Car Markets Now

Energy News Beat

Wolf Richter on “This Week in Money,” at HoweStreet.com, recorded on March 27:

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Ban on Russian uranium helps US build nuclear fuel capacity, official says

Energy News Beat

WASHINGTON, May 3 (Reuters) – The U.S. has been preparing since 2022 for the possibility that Russian President Vladimir Putin would stop selling it nuclear power fuel, and a pending ban on Russian imports will help boost domestic capacity to process uranium fuel, the outgoing top nuclear energy official told Reuters.
The U.S. Senate passed legislation on Tuesday that bans the imports from Russia, the latest move by Washington to disrupt Putin’s ability to pay for the full-scale invasion of Ukraine that began in 2022. The ban, which is expected to be signed by President Joe Biden, starts 90 days after enactment, although it allows the Department of Energy to issue waivers in case of supply concerns.
The move has led to fears that Putin could retaliate by freezing exports to the U.S. boosting uranium prices. Russia supplied about 24% of the uranium used by reactors in the U.S. in 2022, and was its top foreign supplier.
But Kathryn Huff, the DOE’s assistant secretary for nuclear, who steps down on Friday, told Reuters the U.S. is prepared for any scenario.
“The reality is this: over the last few years there has been a very real and present possibility that Russia could stop abruptly sending enriched uranium to the United States.”
Countries including Canada, France and Japan will help the U.S. deal with an “allied alternative” to Russian uranium, Huff said.
And the imports ban would unlock $2.7 billion from previous legislation for building out the domestic uranium industry.
“A paired structure in which we invest in new conversion and enrichment capacity and then protect those investments with some import restrictions is what’s required,” to cut dependence on Russia, said Huff, who will return to university teaching and nuclear research.
Nuclear plants only refuel about every two years and contracts are worked out years in advance. Huff said the U.S. has “just about enough time” or about three or four years, to stand up new uranium conversion and enrichment capacity and replace Russian imports.
In the U.S., the Vogtle nuclear plant in the state of Georgia, opened this week after years of delay. But no new construction is on the books, leading to concern the U.S. will not be able to meet Biden’s 2050 goal of decarbonizing the economy.
Huff expects the next plant to come on line will be Palisades, in Michigan. Holtec, the owner, is trying to reopen a nuclear plant for the first time in U.S. history. Palisades shut in 2022, 10 days early due to a problem with a control rod.
Opponents of reopening Palisades, which opened in 1971, say the reactor vessel is vulnerable to cracking, a situation called embrittlement.
Holtec, which got a $1.5 billion DOE loan in March, will have to refurbish the plant to get approval from U.S. regulators, Huff said. “I fully expect it will operate better than it was operating before once they complete those refurbishments.”
Holtec spokesperson Patrick O’Brien said Palisades, which still needs reauthorization, will undergo thorough inspections before any restart.

Source: Reuters

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Maryland state senators urge Gov. Moore to veto wind energy bill. Here’s why.

Energy News Beat

Senators Mary Beth Carozza (R-District 38), Johnny Mautz (R-District 37), Stephen Hershey (R-District 36), and Jason Gallion (R-District 35) are calling on Gov. Wes Moore to veto House Bill 1296 – Electricity – Offshore Wind Projects – Alterations. The House bill has been cross-filed with SB1161.

According to an email from Carozza’s office, “this legislation was introduced following the Jan. 25 decision by Ørsted to withdraw from the offshore wind energy industrialization project on Maryland’s Coast and would allow the sole remaining offshore wind development applicant, US Wind, to benefit from a renegotiated financing package that harms Maryland’s ratepayers.”

Here is a synopsis of House Bill 1296, from the official General Assembly website:

“Requiring the Public Service Commission to open a revised Round 2 proceeding on June 1, 2024, to evaluate certain offshore wind projects; prohibiting the Commission from approving an application for an offshore wind project unless the application includes commitments for in-State expenditures and investments; requiring the Commission to develop a certain plan to include a schedule of offshore wind energy procurements and proposed amounts of offshore wind energy for procurement through 2031; etc.”

Why Carozza, others are urging Gov. Moore to veto wind energy bill

In their April 23 letter to the governor, the senators wrote: “H.B. 1296 provides three methods to increase the subsidies that benefit the offshore wind energy developer and harm the ratepayers and taxpayers … all three methods allow US Wind to sell more of the higher-priced electricity and less of the lower-priced electricity, further burdening the ratepayer.”

According to the senators, “offshore wind energy projects in other states have revealed that the offshore wind energy developers’ business models fall well short of projections and these developers are either halting construction or asking the government for additional subsidies. HB 1296 may be only the start of future actions to make Maryland’s offshore wind projects financially feasible, and it’s at the expense of Maryland residents, taxpayers, and energy consumers.”

More from the letter from state senators to Gov. Moore on wind energy

According to the senators, “HB 1296 provides three methods to increase the subsidies that benefit the offshore wind energy developer and harm the ratepayer and taxpayer,” including:

allowing the Offshore Renewable Energy Credit – OREC 2 pricing to be changed up or down;
allowing the OREC 2 size to be reduced and OREC 1 size to be increased;
and setting the ratepayer cap for OREC 1 at $1.50 more per month and the ratepayer cap for OREC 2 at $0.88 more per month.

The senators state US Wind’s sale price for OREC 1 credits is $131.93, per OREC, and its price for OREC 2 credits is $54.17, per OREC. Therefore, “all three methods allow US Wind to sell more of the higher-priced electricity and less of the lower-priced electricity, further burdening the ratepayer.”‘

The senators also noted the mixed success of wind energy projects in other states:

“Additionally, results from other offshore wind projects have revealed that the business model for these projects has fallen well short of projections to the degree that those wind energy developers are either halting construction or asking the government for additional subsidies to make up for projected cost increases. HB 1296 may be only the start of future actions to make Maryland’s offshore wind projects financially feasible for the offshore wind energy developers but at the expense of Maryland residents, taxpayers and energy consumers.”

Senators also cite potential harm to marine life, size of turbines

The senator’s letter continued: “Since the passage of Maryland Offshore Wind Energy Act of 2013, the project plans and business model for offshore wind energy development have met with multiple challenges and questions about the detrimental impact on the local economy and tourism, the damaging effect on marine life, fishing and the military, and the high costs for ratepayers and taxpayers. The project plans have had major changes with the size of the turbines growing to four times the height of the tallest building in Ocean City to the placement of the gigantic turbines as close as 11 miles from the Shore.

Source: DelmarvaNow

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FutureCoal Calls for Balanced Approach to Energy Policy Amidst G7 Announcement on Unabated Coal

Energy News Beat

Following the Group of Seven (G7) forum’s declaration to phase out unabated coal by 2035, global coal organization FutureCoal has urged world leaders to adopt a balanced, pragmatic, and responsible approach to energy policy.

Following the G7 forum’s declaration to phase out unabated coal by 2035, global coal organization FutureCoal has urged world leaders to adopt a balanced, pragmatic, and responsible approach to energy policy. The announcement, made during a G7 Ministerial meeting on climate, energy, and environment matters, has sparked debates over the future of coal and its role in ensuring energy security and reliability.

FutureCoal’s Perspective:

Michelle Manook, CEO of FutureCoal, expressed concerns regarding the clarity and objectives outlined in the G7 statement. Manook highlighted that while several G7 countries, such as Germany and Japan, still rely on coal for baseload electricity, they have emphasized the necessity of coal in ensuring energy security. The G7 statement specifically referred to unabated coal as coal plants lacking carbon capture and storage technology.

Challenges in Germany and Japan:

In Germany, although legislation calls for a coal phase-out by 2038, uncertainties remain regarding an earlier phase-out. The country’s Finance Minister has dismissed the aim to phase out coal by 2030 if affordable energy alternatives are lacking. Additionally, Germany’s energy regulator has warned about the potential grid problems due to the lack of reliable standby capacity such as coal.

In Japan, a cautious approach to coal phase-out has been adopted, with no specific date set. Japan operates the world’s most efficient coal power fleet, which has served as a crucial component of its electricity supply, particularly following the mass nuclear shutdown in 2011.

Call for a Balanced Approach:

Manook emphasized the importance of a balanced approach to energy policy, where affordability, reliability, and security are prioritized. With coal playing a pivotal role in more than 80 countries, FutureCoal advocates for wider leadership engagement beyond the G7, particularly involving the Global South, to invest in technology solutions, including abated coal, to lower global emissions.

Sustainable Coal Stewardship Roadmap:

FutureCoal has presented a Sustainable Coal Stewardship roadmap, showcasing existing abatement and commercial opportunities that enable the coal value chain to mitigate emissions in alignment with the Paris Agreement’s goal of limiting global warming to 1.5˚C above preindustrial levels.

Technological Solutions:

Manook highlighted that known technologies could abate up to 99% of coal emissions during combustion, emphasizing the importance of genuine international cooperation in achieving global sustainability objectives.

As the debate over coal phase-out intensifies, FutureCoal’s call for a balanced, pragmatic, and responsible approach to energy policy resonates globally. With the need for reliable and affordable energy solutions paramount, the role of coal, both unabated and abated, remains a focal point in the transition towards a sustainable energy future. As stakeholders navigate these complexities, genuine international cooperation and leadership are imperative to address the challenges and opportunities presented by coal in the context of climate change mitigation.

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Tesla battery material supplier tops list of human rights abuses for second year in a row

Energy News Beat

Tesla buys battery materials from the mining giant with the most allegations of human rights abuses against it in a database of abuses tied to clean energy. Mining company Glencore has racked up at least 70 allegations since 2010, including accusations of corruption and poor working conditions, according to the nonprofit Business & Human Rights Resource Centre.

Both Tesla and Glencore say they take measures to address harms caused by mining operations. But this is the second year in a row that Glencore has topped the Resource Centre’s list. More than half of the allegations its researchers documented in 2022 are linked to just five companies, including Glencore.

The global push for more clean energy depends on materials used to make solar panels, wind turbines, electric vehicles, and batteries. And unless companies take steps to stamp out abuse, haphazardly racing to deploy more renewable energy risks repeating harms committed by other extractive industries.

“We expect large companies like Tesla to use their leverage”

“We see the risk of abuses increasing as pressure to mine for new minerals is also intensifying,” says Caroline Avan, the Centre’s natural resources researcher. “Obviously, we expect large companies like Tesla to use their leverage to influence the sector as a whole and not only ask but require that their suppliers are not committing human rights abuses.”

There are more than 500 allegations of abuse dating back to 2010 in the Resource Centre’s “transition minerals tracker.” They cover a broad range of potential harms, from mistreating workers to polluting the environment, stoking conflict, or paying off government officials.

But all of the allegations stem from the mining of six key minerals used in renewable energy, electric vehicles, and batteries: cobalt, copper, lithium, manganese, nickel, and zinc. The Resource Centre just published its annual report on the data last week. That analysis found 65 new allegations in 2022 — of which five were made against Glencore as a company and another four implicate joint ventures in which Glencore is involved.

Corruption was a growing problem for Glencore and the rest of the industry last year, according to the report. There were four times as many corruption allegations against mining companies in 2022 compared to the year before. In one case, Glencore pleaded guilty to foreign bribery and market manipulation charges and agreed to pay $1.1 billion in fines. Glencore and its subsidiaries “bribed corrupt intermediaries and foreign officials in seven countries for over a decade” and “undermined public confidence by creating the false appearance of supply and demand to manipulate oil prices,” according to the US Department of Justice. In Zambia, Glencore faces another investigation by the country’s Anti-Corruption Commission into alleged payments the company made to a political party.

Two more allegations against Glencore involve workers’ rights at mines in the Democratic Republic of CongoPeru, and Columbia. In 2022, The Verge reported on the precarious working conditions at a cobalt mine Glencore operates in the Democratic Republic of Congo. Workers there reported having little water or food while working long hours in sweltering heat. At the time, a Glencore spokesperson told The Verge that workers had access to “as much water as they need” from water stations in communal areas and emphasized the company’s commitment to worker health and safety.

Tesla made a deal to purchase a quarter of the cobalt the mine produced, Reuters reported in 2020. The company has also purchased nickel from a Glencore mine in Australia, according to Tesla’s 2021 and 2022 impact reports. Tesla didn’t respond to a request for comment from The Verge.

The following example of other mines in the Democratic Republic of Congo –

The automaker’s 2022 impact report says that the company visited cobalt mine sites in the Democratic Republic of Congo last November and “reviewed grievances from NGOs and academic studies related to working conditions.” The company also says it removed 12 cobalt suppliers and 29 nickel suppliers “due to supply chain due diligence concerns after attempted risk mitigation,” but Glencore doesn’t appear to be one of them.

“Our assets are located in diverse contexts, some in highly developed countries with strong legal and political frameworks, and others in more challenging socio-political circumstances with a history of conflict, limited basic services, and weak rule of law,” Glencore spokesperson Charles Watenphul said in an email to The Verge. He added that the company is committed to upholding international agreements on labor and human rights.

Cobalt has become notorious as “the blood diamond of batteries.” But it’s important to recognize that the problems don’t stop there, Avan says. Her research shows that around the world, supply chains for clean energy are riddled with accusations of wrongdoing. That makes it even more important to cut down on how many raw minerals these technologies need. That can happen by designing devices that are easier to recycle or repair and building out better public transportation options rather than simply switching from gas-guzzlers to electric vehicles.

Of course, for any new materials that have to be mined, accountability matters. “Mining companies need to have due diligence and respect for human rights in place in their operations. And what we see at the moment is that this is clearly not the case,” she says.

Source: The Verge

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Net Zero’s days are numbered? Why Europeans are souring on the climate agenda

Energy News Beat

Dr. Benny Peiser recently spoke about how the E.U. and various European nations have started a ‘rollback’ of their climate agendas due to ‘increasing costs and increasing hostility from the public.’

A recent presentation given in Canada brings welcome news to the reality-based community: Net Zero’s days are numbered. The costs of the “utopian” green agenda have been realized, and the public are not buying it any more.

This is the message of Dr. Benny Peiser of the Global Warming Policy Foundation, who was in Calgary on April 9 to speak about “Europe’s Net Zero rebellion and the implications for Canada.”

“The game is over for anyone who is willing to commit industrial suicide through the implementation of Net Zero policies,” he says, going on to cite public opinion and political decisions which are driving the political agenda of the future.

 

 

Peiser shows how the European Union and the nations of Sweden, France, Germany, Britain, and Italy have started this “rollback” – due to “increasing costs and increasing hostility from the public.”

Saying that Canada, where he spoke, is “maybe five years” behind the Net Zero rollback in Europe, he said the agenda was in retreat there as its “astronomical” costs have now been grasped by the public.

“This is direct,” he says.

We have been telling [the public] for 15 years this will be very expensive … and your energy bills are going up because of the renewables.

This is all far too abstract for people. They don’t get that.

Citing reports which show that Net Zero will cost over a trillion euros a year, every year, he says:

This they get directly – the car they can’t drive, the way they heat their homes. What they’re allowed to do.

That has caused huge opposition and a lot of headache for governments.

Peiser says political parties across Europe have realized that they face being swept from power in the forthcoming elections in June.

Politics pivots back to reality

The headaches Peiser cites include the near collapse of the German government late last year over a policy to make heat pumps compulsory. A week after Peiser’s talk, news came that the Scottish coalition government has collapsed, with the Greens withdrawing support from the ruling SNP after the abandonment of climate change targets.

Politicians are faced with a choice between electoral oblivion and public opinion, and Peiser says this has led to structural change in European policy.

Peiser believes that the enormous public support behind the farmer protests, coupled with green policies creating crisis in the German government, has made the E.U. think again.

“As a result of these protests governments and the European Commission itself have begun to cave in,” Peiser said. “They are not just losing farmers but a large chunk of the public at the same time.”

Peiser is aware that election cycles see politicians shelve unpopular policies – only to resume them after the votes have been counted. Yet he notes a structural change in priorities.

“The E.U. in its draft agenda for the next five years has decided to relegate climate and shift to defense,” he continued, saying that the European Union is shifting from the green agenda to the “real agenda.”

This pivot to reality is one that is long overdue. As Peiser points out, the case for Net Zero is one that is made out of words, not of facts. To take one example, that of electric vehicles, he says “the biggest fear in Europe is not climate change. The biggest fear is cheap electric vehicles from China.”

The E.U.’s recent Net Zero Industry Act (NZIA) has been shaded by economic and industrial concerns, as well as fear from the climate lobby that it too is a rollback of Net Zero commitments.

Passed on April 25, its name alone would suggest business as usual for the climate agenda.

However, in a press conference introducing the Act last November, German “conservative” MEP Christian Ehler was keen to anticipate criticism from the Green lobby, saying “this is not an attempt to scrap social achievements or environmental law.”

Ehler stressed the need to keep industry “on our side” and that the past practices of regulation threatens the economic future of European industry,

It’s simply reflecting the very fact that our industry is burdened by regulation in a way that we can’t expect them to succeed – if we really want to have them on our side – and if we really have to have an economic future for the European industry.

READ: New documentary exposes climate agenda as ‘scam’ to increase globalist power and profit

An act in name only

This may explain why, according to two experts, the Act is in fact just words. Yet it is not only the threat of Green-inspired regulation which faces European industry.

Chinese dominance of the market has rendered E.U. Net Zero measures to create a “sustainable” industry producing “green technology” such as solar panels mere “paper tigers,” according to one analyst.

Simone Tagliapietra, a senior fellow at think-tank Bruegel said this in response to the E.U.’s new Act.

His comments, reported by Euractiv on April 26, included an explanation why the legislation “doesn’t change anything.”

A second analyst, Nils Redeker of the Berlin-based Jacques Delors Centre, agreed according to Euractiv that the new measures “could, in practice, and will most likely, be ignored.”

The green lights are going out all over Europe, most obviously in what was once its industrial and economic powerhouse.

Germany in crisis

Following a budget crisis which also threatened the survival of the German government’s “Red/Green/Yellow” or “traffic light” coalition last November, the former E.U. paymaster of Germany was said to be “likely in recession.”

The February 19 report by the Daily Telegraph noted the resulting “uncertainty” over Net Zero implementation. This is another sign of the impact of reality on the deeply unpopular policies of what Peiser called the “utopia” imagined by the Green lobby.

The Daily Telegraph also reported that the German central bank had warned of “no end in sight” for the “ongoing weakness” of Europe’s largest economy.

The Bundesbank added that “uncertainty regarding climate and transformation policy remains elevated.”

In his analysis of the electoral cost of Net Zero, Peiser seems to have read the room very well. The political climate has changed. 

As the British government is faced with power cuts over soaring demand for electricity, its refusal to build more gas-fired power stations may see the actual lights go out as well as the figurative beacon of an agenda the Conservative Party have greenlit for years.

U.K. climate chief quits

The outgoing head of the U.K.’s climate change committee has conceded that Net Zero is a toxic brand:

Net Zero has definitely become a slogan that I feel occasionally is now unhelpful, because it’s so associated with the campaigns against it.

Chris Stark, who looks exactly as you would imagine he would, blamed a minority faction of imaginary “culture warriors” whilst saying on April 22 in The Guardian that the cost of living was effectively irrelevant.

“It’s the culture warriors who have really taken against it,” said Stark. “A small group of politicians or political voices has moved in to say that net zero is something that you can’t afford, net zero is something that you should be afraid of … But we’ve still got to reduce emissions. In the end, that’s all that matters.”

Stark’s missionary zeal is untouched by a Europe-wide survey cited by in Peiser’s presentation. According to the survey, conducted in January by the European Council on Foreign Relations (ECFR), it is the climate zealots themselves who are the minority. 

With a sample from 12 European nations, it shows a clear majority in 10 countries for “reducing energy bills” over “reducing carbon emissions.” In Germany, support for lower energy costs is more than twice that for the higher ones promised by “reducing emissions.”

Peiser explained, “What [the survey] tells you is that a clear minority of Europeans are prioritizing the climate issue over their energy cost issue.”

READ: Climate expert warns against extreme ‘weather porn’ from alarmists pushing ‘draconian’ policies

Describing the clear majority of European citizens against the cost of Net Zero, he says “that is the most dramatic change I’ve seen in the last 20 years.” 

This “realization of cost moment” is one which Peiser shows had been predicted in the 1970s by Anthony Downs, whose “issue attention cycle” predicted public understanding of the true cost as the point beyond which climate policies will no longer enjoy public support.

The graph roughly charts the interest and support of the public, which moves from ignorance of the “problem” to generate public support through a sense of alarm. This enthusiasm steeply fades as the public realizes the price of the product they have been sold. 

Yet this process is based on the common sense to the common man. The U.K.’s former climate change chief Christopher Stark is immune to this determining factor. 

He displays the alarming detachment from reality which typifies the Net Zero zealot, and which Peiser warns is proving electorally – and industrially – suicidal.  

Speaking of the implementation of Net Zero, Stark claimed, against rapid deindustrialization, soaring energy prices, and former measures to restrict cars and home heating to costly and inferior alternatives, that “the lifestyle change that goes with this is not enormous at all.” 

This also ignores the likely “power cuts” that Britain will face, given a massive upsurge in Net Zero-driven electricity demand.

The Daily Telegraphreporting accusations from the Green lobby that Rishi Sunak was “abandoning” Net Zero, said on March 17 that without more gas fired power generation, support for Net Zero “would collapse.”

The report continued that “the U.K. would almost certainly endure power cuts, causing civic and commercial havoc, without more gas-fired baseload in place.” 

The piece concludes with a verdict which is now becoming a theme: “And then the case for tackling climate change, already increasingly questioned, would become politically toxic.”

The rule of law – or the rule of lawyers

As Peiser notes, this toxification has weakened the power of politics itself, with the rule of law being replaced by the rule of lawyers. He notes a recent ruling by the European Court of Human Rights, which condemned the Swiss government for “violations of the Convention [on Human Rights] for failing to implement sufficient measures to combat climate change.” 

Peiser said the ruling showed that democratic majorities do not have the legal power to refuse an agenda enforced by activist judges. He went on:

The judges in their in their ruling said it’s kind of naive to think that democracy would work just with majorities in Parliament and that only judges can rule or decide what makes legal sense – that’s why it’s so important for judges to tell parliaments what they should do. 

That’s essentially what they were saying today.

Peiser was speaking on the same day the ruling was announced, which according to a Swiss report will “have a direct impact on the Council of Europe’s 46 member states” and that “its ramifications will extend to the whole world.” 

This element of legal insurrection is one direct example of how the sovereignty of democracy is being undermined. In this case, a group of elderly female climate campaigners received a sympathetic hearing from the ECHR’s presiding judge, Siofra O’Leary. Her judgment overruled the Swiss courts’ dismissal of the case. It read:

The Court found that the national courts had not provided convincing reasons as to why they had considered it unnecessary to examine the merits of the complaints. They had failed to take into consideration the compelling scientific evidence concerning climate change and had not taken the association’s complaints seriously.

As Peiser warns, we are ruled by Science Followers, whose emotional enthusiasm for the climate panic talks past the costs of the sale of this agenda. It is a product which most people now recognize promises the permanent collapse of living standards in the West, and is taking democracy down with cries for climate “justice.”

Suicidal policy vs. ‘populism’

Peiser says Net Zero is already “suicidal” – and not in name only. Changing the branding will not wash with voters, Peiser says, as the impact of cost and on freedom is “direct.” 

This, he says, is what is driving the beginning of the end of Net Zero. 

“Europeans have been told that this Net Zero issue and renewables and so on will make life easier for people.” Instead, he says, “the opposite has happened.”

They’ve been told that energy costs would go down. They’ve gone up.

He observes a factor which could apply to practically any of the policies he also claims are driving “populism.” 

So people are beginning to realize that what they’ve been told hasn’t actually materialized. 

The opposite has materialized.

Peiser himself notes that this “opposite effect” is driving the rise of “populist parties … skeptical of mass immigration, of Net Zero and of other mainstream policies.” 

He says, “I don’t know exactly why they’re called populist but something makes them popular.”

Yet his own presentation shows a simple explanation. What is called “populism” is simply a reaction to the insanity of the policies of national suicide presented as wisdom. The emergence of these parties is the opposite reaction to a political system whose every argument is a contradiction of reality. 

Peiser says that this political correction is coming, and soon.

The mainstream parties are concerned that they will hemorrhaging voters. 

That’s what the prospects are for the elections in June.

His assessment is shared by the European Council on Foreign Relations, which predicted a “sharp right turn” in the forthcoming E.U. Parliament elections. 

He says that for Europe “there might be – for the first time – a center right populist majority in Parliament. If that were to happen of course all bets are off.” 

What is more, Peiser concludes that political climate change is coming home – to yours:

That’s the situation in Europe which sooner or later will come to a theater close to you.

Source: Todayville:

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Gazprom Group Reports First Net Loss in 24 Years

Energy News Beat

Russia’s state-controlled gas giant reported its first annual net loss since 1999 on falling shipments to Europe and lower prices for the fuel.

Gazprom Group, which also includes oil and power businesses, posted a 629 billion-ruble ($6.84 billion) loss last year compared with net income of 1.23 trillion rubles in 2022, according to an earnings report published Thursday.

The energy company’s shares fell as much as 4.4%, the steepest decline in more than a year, amid market concerns over its dividend prospects. Gazprom’s biggest shareholder is the Russian government, whose budget is under pressure amid rising military spending and Western sanctions.

The net loss follows restricted gas flows to Europe — historically Gazprom’s biggest market — amid the Kremlin’s retaliation for Western support of Ukraine after Russia’s invasion in 2022. Meanwhile, plunging gas prices amid mild weather, sluggish demand and brimming inventories contributed to Gazprom’s loss.

Revenue from gas fell by 40% to 4.88 trillion rubles, according to the report. While Gazprom continues to ship pipeline gas to several European countries, last year its flows to Europe fell to the lowest since the early 1970s, according to International Energy Agency estimates.

This year Russia expects its gas shipments via pipelines to foreign markets will increase 18% this year to 108 billion cubic meters compared with 2023, as the Power of Siberia link to China gradually reaches its nameplate capacity. But even as more supplies head to China, it can’t offset the loss of the European market.

Revenue from the group’s oil business rose by 6.7% to 3.88 trillion rubles last year, while sales at its power utilities business increased by 8.8% to 617 billion rubles.

Gazprom Group’s investments are planned at 2.57 trillion rubles this year, according to the report. That’s down by almost 16% from its plans for 2023.

Source: Rigzone:

 

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