European Coal – EGS Schuetzen http://egs-schuetzen.com/ Tue, 22 Nov 2022 14:52:14 +0000 en-US hourly 1 https://wordpress.org/?v=5.9.3 https://egs-schuetzen.com/wp-content/uploads/2021/06/icon-4.png European Coal – EGS Schuetzen http://egs-schuetzen.com/ 32 32 Jindal selected to build 300 MW coal-fired power station in Botswana https://egs-schuetzen.com/jindal-selected-to-build-300-mw-coal-fired-power-station-in-botswana/ Tue, 22 Nov 2022 14:52:14 +0000 https://egs-schuetzen.com/jindal-selected-to-build-300-mw-coal-fired-power-station-in-botswana/ Botswana currently has only two coal mines in operation. Credit: Jerubal Jay/Pixabay. Indian steel company Jindal Steel & Power (JNSP) has been selected as the preferred bidder to build a 300MW coal-fired power plant in Botswana, as reported by Reuters. The facility is the only fossil fuel-based power plant that Botswana plans to acquire in […]]]>

Indian steel company Jindal Steel & Power (JNSP) has been selected as the preferred bidder to build a 300MW coal-fired power plant in Botswana, as reported by Reuters.

The facility is the only fossil fuel-based power plant that Botswana plans to acquire in the next 20 years.

Following the launch of a call for tenders, four companies were pre-selected for the coal project development contract.

One of the companies then withdrew from the tender, leaving Jindal, African Energy Resources and Minergy in the running.

It is estimated that Botswana holds over 200 billion tonnes of coal resources.

Despite opposition to coal due to its environmental impact, the country is seeking to monetize its coal resource to grow its economy.

In an official notice, the Botswana Ministry of Energy said: “The contract (is) for the design, financing, construction, ownership, operation, maintenance and decommissioning at the end of its life economic… of a 300 MW net coal-fired power plant. in Botswana as an independent power producer.

Jindal will be responsible for financing the construction of the plant and will recoup its investment by selling power to the Botswana Power Corporation (BPC) on terms agreed by the two firms.

The only active coal mines in the country are the state-owned Morupule Coal Mine and Minergy’s Masama Mine.

Due to Russia’s invasion of Ukraine, Botswana has accelerated its coal exports to European countries in recent months via Mozambique and Namibia.

In November last year, Jindal told Reuters he planned to start building a coal mine in the Mmamabula coalfields in southeast Botswana this year.

This coal mine would be intended to supply the export market and the future coal-fired power plant.

Based in New Delhi, Jindal serves companies in the steel, energy, mining and infrastructure sectors.

The company has an annual iron production capacity of 10.42 million tons.

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Climate damage is at the heart of COP27 disagreements https://egs-schuetzen.com/climate-damage-is-at-the-heart-of-cop27-disagreements/ Wed, 16 Nov 2022 17:03:45 +0000 https://egs-schuetzen.com/climate-damage-is-at-the-heart-of-cop27-disagreements/ Illustration: Axios Visuals Major fault lines remain as the COP27 negotiations in Sharm el-Sheikh, Egypt are in the middle of their second week. State of play: This is the negotiation period before the start of the evening sessions, when the draft texts circulate in the corridors and in the press, but the ministers await the […]]]>

Illustration: Axios Visuals

Major fault lines remain as the COP27 negotiations in Sharm el-Sheikh, Egypt are in the middle of their second week.

State of play: This is the negotiation period before the start of the evening sessions, when the draft texts circulate in the corridors and in the press, but the ministers await the official proposal which could become the COP27 agreement.

  • A two-page text of “possible elements” for a COP27 decision was circulated throughout the day yesterday.
  • The G20 communiqué, released this morning in Bali, Indonesia, is likely to inject much-needed momentum into the climate summit, but it is clear that some COP agenda items are mired in disagreement.

The big picture: Diplomats grapple with particularly divisive issues, foremost among them climate damage (also known as loss and damage).

  • This morning, the chairman of the Alliance of Small Island States, which are feeling the effects of rising sea levels, criticized some developed countries for “furiously trying to block progress” on financing climate damages.

What they say : “To achieve an ambitious outcome here in Sharm that builds on this G20 text, it will take a strong coalition of developed and developing countries to deliver,” Alex Scott, who leads climate diplomacy for E3G, told Axios. from Egypt. “And for that, we’ll have to see more loss and damage trade-offs.”

The plot: There is a far-reaching proposal from India that is gaining momentum that would break precedent if it were to be included in the final text. However, it was not in the G20 communiqué.

  • Instead of isolating the use of coal for a phase-down, as the Glasgow Climate Pact did, it calls for an overall phase-down of “fossil fuels”.
  • So far, the EU, a coalition of least developed countries, the UK and a few others support this language, which Saudi Arabia and potentially other oil-producing states are likely to oppose.
  • Alden Meyer, a veteran of decades-long UN climate talks who is now with E3G, said countries could pressure fossil fuel producers such as Saudi Arabia and Russia by pushing the COP President to include India’s proposal in the proposed text.
  • “They are right from a scientific point of view, we have to phase out the three [fossil fuels]“, he said at a press conference on Wednesday morning.
  • “Let’s build support for this among developed and developing countries to include oil and gas, get the [COP] president to include it in the decision and then dare the Saudis and Russia to explain why they think coal should be phased out and not oil and gas in full view of the world in the closing plenary,” Meyer said.

What we are looking at: If and when cover text emerges today and what it contains, and how countries are responding to it.

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No to greenwashing | Philstar.com https://egs-schuetzen.com/no-to-greenwashing-philstar-com/ Sat, 12 Nov 2022 16:00:00 +0000 https://egs-schuetzen.com/no-to-greenwashing-philstar-com/ BREAKTHROUGH – Elfren S. Cruz – The Filipina Star November 13, 2022 | 00:00 At the start of the UN-sponsored climate change summit in Sharm-el-Sheikh, Egypt, UN Secretary-General Antonio Guterres said, “We must have zero tolerance for net zero greenwashing. Today’s expert panel report is a practical guide to ensuring credible and accountable net zero […]]]>
BREAKTHROUGH – Elfren S. Cruz – The Filipina Star

November 13, 2022 | 00:00

At the start of the UN-sponsored climate change summit in Sharm-el-Sheikh, Egypt, UN Secretary-General Antonio Guterres said, “We must have zero tolerance for net zero greenwashing. Today’s expert panel report is a practical guide to ensuring credible and accountable net zero pledges. »

The term “greenwashing” refers to “the process of conveying a false impression or misleading information about how a company’s products are environmentally friendly. Greenwashing is making an unsubstantiated claim to deceive customers into believing that a company’s products are environmentally friendly or have a greater positive impact than is true.

This definition could very well refer to the obviously public relations campaign launched by certain governments and companies, in particular the producers of fossil fuels which try to appear as if they were at the forefront of the fight against global warming. climatic. There are several oil companies, for example, which have launched advertising campaigns showing their efforts to combat climate change. At the same time, reports indicate that the biggest lobbyists against laws protecting the environment and reducing emissions are those same fossil fuel producers.

Scientists and climate activists reported at the same summit that global fossil fuel emissions will reach record highs in 2022. The current trend also shows that the world will be further from the agreed goal of stopping global warming. For example, the NGO Global Carbon Project reported that the world emitted one percent more this year than the year before. In the Paris Agreement seven years ago, there was a global agreement to stop adding carbon dioxide to the atmosphere by 2050. The aim was to stabilize global temperatures and minimize risks from deadly heat waves, sea level rise and ecosystem collapse. At the current rate of emissions, experts say the 2050 deadline is impossible to meet.

Glen Peters, research director at the Norway-based International Center for Climate and Environmental Research, said: “Each year, rising emissions make it that much harder to reduce them by a certain date.” He was referring to the goal of global warming.

One of the main topics discussed was the need for rich countries to subsidize the efforts of poor countries to reduce greenhouse gas emissions. The reasoning is that the main emitters are the rich countries while the poorer countries which have very little emissions suffer from the effects of global warming like typhoons, floods, sea level rise. In fact, very few countries are responsible for the majority of global fossil fuel emissions. These countries are China, responsible for 32%; the United States, 14%; the European Union, 8% and India, 8%. In all these places, it seems that only Europe is making a serious effort to stop the use of coal-fired power plants.

China and India still use coal as their main source of energy. This is why Chinese and Indian cities are the most polluted in the world. In fact, the most polluted city in the world is New Delhi in India. In Europe, there is a sudden increase in the use of coal because countries like Germany and Austria have restarted long-inactive coal-fired power plants.

Previously, the main fuel source for European countries was Russian natural gas. Due to the war between Ukraine and Russia, Russia cut off its supply of natural gas to Europe. The end of the pandemic was also one of the reasons why there was an increase in electricity needs. The increase in consumption with the end of confinements has increased electricity needs. Thus, adding to emissions. The sudden increase in travel has also increased aviation, another source of greenhouse gas emissions.

The Middle East, led by Saudi Arabia, decided to cut crude oil production despite the need for additional crude oil. The seemingly obvious reason or motivation for this is to keep the price of oil and natural gas high.

Antonio Guterres, in his opening speech at the climate summit, called for a “historic pact between developed and emerging economies – a climate solidarity pact”. A pact in which all countries make a special effort to reduce emissions this decade in line with the 1.5 degree objective. A pact in which wealthier countries and international financial institutions provide financial and technical assistance to help emerging economies accelerate their own transition to renewable energy.

In the Philippines, we must remind our government that one of the main causes of climate change and global warming is deforestation. If we are to seriously tackle the problems caused by typhoons and floods, it is not better evacuation plans or faster warning systems that are needed. The problem of deforestation caused mainly by illegal logging, agriculture and mining must be seriously addressed.

* * *

Write Things Zoom Class: Nov. 19, 10:30 a.m. – final adult writer class of the year with host Dinah Roma on the art of poetry. Nov. 26, 2-3 p.m., Young Writers Hangout with returning host Susan Lara. Contact [email protected]. 0945.2273216

E-mail: [email protected]

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US and EU plan new commitment on oil and methane emissions https://egs-schuetzen.com/us-and-eu-plan-new-commitment-on-oil-and-methane-emissions/ Wed, 09 Nov 2022 17:43:30 +0000 https://egs-schuetzen.com/us-and-eu-plan-new-commitment-on-oil-and-methane-emissions/ The United States and the EU plan to unveil a joint agreement at the UN climate summit this week to step up efforts to reduce emissions of the powerful greenhouse gas methane from the fossil fuel sector, and hope that other nations will join. A draft of the pledge, seen by Reuters, said the US […]]]>

The United States and the EU plan to unveil a joint agreement at the UN climate summit this week to step up efforts to reduce emissions of the powerful greenhouse gas methane from the fossil fuel sector, and hope that other nations will join.

A draft of the pledge, seen by Reuters, said the US and EU would agree to target the energy sector with national and international measures, such as policies to stop venting and flaring. routine natural gas supply, and would require companies to repair leaks in their infrastructure.

The US and EU, the biggest emitters of greenhouse gases behind China, have proposed regulations to limit methane leaks from oil and gas companies domestically, but they have yet to be implemented. implemented.

The declaration would build on an agreement led by the United States and the EU last year to cut methane emissions by 30% by 2030 from 2020 levels.

This “Global Methane Commitment” has since been signed by 119 countries, including 13 of the world’s top 20 methane emitters, including Brazil, Indonesia, Mexico and Nigeria.

A US official said the US and EU had lined up support from a few “major players” for the new declaration, without elaborating further.

The draft says signatories could also strengthen monitoring and reporting of methane emissions, forcing companies to come to grips with the scale of their problem.

International standards

A senior EU official said the declaration aimed to advance international standards for such monitoring and reporting. “Methane reduction work suffers from the lack of international standards,” they said.

“We are committed to working towards the creation of an international fossil energy market that minimizes flaring, methane and CO2 emissions throughout the value chain to the greatest extent possible, as we are also working to gradually reduce the consumption of fossil fuels,” the project says.

Methane has more than 80 times the global warming potential of CO2 in its first 20 years, but breaks down faster in the atmosphere, making it a valuable target in near-term efforts to slow down climate change.

The EU, made up of 27 countries, is the world’s largest buyer of gas, while the United States is the world’s largest producer of oil and gas.

Agriculture is the biggest source of methane emissions globally, but experts say the energy sector can reduce emissions faster – and often at low cost.

Methane is the main component of natural gas and seeps into the atmosphere from leaky oil wells and gas pipelines.

If captured, it can be sold as fuel. Despite this incentive to capture emissions, atmospheric concentrations of methane rose last year by the greatest amount since records began in the 1980s.

Deliveries of liquefied natural gas from the United States to the EU have surged this year as Russian gas supplies to Europe plummeted after its invasion of Ukraine.

Forty countries are due to release plans at the COP27 summit detailing how they will meet the Global Commitment on Methane – which is voluntary, but aims to trigger more binding policies.

So far, the Global Methane Pledge does not include China, the world’s largest emitter of methane. It also doesn’t include Russia, which was Europe’s biggest gas supplier before invading Ukraine in February.

India needs coal until 2040

Coal will play an important role in India until at least 2040, the country’s coal minister said on Wednesday, even as calls for countries to switch to cleaner forms of fuel intensified at the summit.

However, the UN has called for urgent action to reduce emissions, including phasing out coal by 2040 globally.

Keeping global temperature rise below 1.5 degrees Celsius is still possible, but will require private sector funding, said US climate diplomat John Kerry.

Addressing an event on the sidelines of COP27, Kerry said achieving the target would require a global effort and that this, along with reducing methane emissions, were key areas of cooperation with China.

But he said the climate relationship with China was not working yet.

Meanwhile, EU auditors said in a report on Wednesday that billions of euros in aid to coal regions across the European Union have nearly failed to drive an effective climate transition.

Also on Wednesday, the U.S. midterm elections made waves at the summit, with activists urging President Joe Biden to take bolder action on global warming regardless of the election outcome.

Activists were confident that Republicans would not be able to overturn Biden’s $370 billion green energy legislation, even if they took one or both houses of Congress.

Biden joins the conference on Friday.

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Company Highlights: Twitter Layoffs, Interest Rate Hikes https://egs-schuetzen.com/company-highlights-twitter-layoffs-interest-rate-hikes/ Fri, 04 Nov 2022 22:51:14 +0000 https://egs-schuetzen.com/company-highlights-twitter-layoffs-interest-rate-hikes/ Comment this story Comment US employers are hiring fast even in the face of rate hikes WASHINGTON — U.S. employers continued to hire vigorously in October, adding 261,000 jobs, a sign that as Election Day approaches, the economy remains a picture of solid job growth and painful inflation. Hiring was brisk across all industries, although […]]]>

Comment

US employers are hiring fast even in the face of rate hikes

WASHINGTON — U.S. employers continued to hire vigorously in October, adding 261,000 jobs, a sign that as Election Day approaches, the economy remains a picture of solid job growth and painful inflation. Hiring was brisk across all industries, although the overall gain was down from 315,000 in September. The unemployment rate fell from a five-decade low of 3.5% to a still healthy rate of 3.7%. The government also said average hourly earnings rose an average of 4.7% from a year ago, a smaller year-on-year gain than in September. A strong labor market is compounding the challenges the Federal Reserve faces as it raises interest rates at the fastest rate since the 1980s in an attempt to bring inflation down from a nearly 40-year high .

Widespread layoffs on Twitter begin a week after Musk takeover

Twitter began widespread layoffs on Friday as new owner Elon Musk overhauls the social platform. The company had told employees by email that they would know by 9 a.m. PDT (noon EDT) if they had been laid off, but did not specify how many would lose their jobs. Musk neither confirmed nor corrected investor Ron Baron at a conference in New York on Friday when he asked Musk how much money the billionaire Tesla CEO would save after he ‘fired half of Twitter’ earlier during the day. Twitter’s roughly 7,500 employees have been expecting layoffs since Musk took over as CEO. Already, Musk has fired top executives, including CEO Parag Agrawal.

Fed’s Kashkari: Jobs report shows why more rate hikes are needed

WASHINGTON — The strong U.S. jobs report for October underscores why the Federal Reserve needs to raise interest rates higher than previously expected to control inflation. That’s according to Neel Kashkari, president of the Federal Reserve Bank of Minneapolis. In an interview with The Associated Press, Kashkari said that at the Fed’s next meeting in December, he plans to release a higher forecast for the central bank’s benchmark rate next year than he did. did in September. He says jobs data shows hiring is healthy despite some slowdown in recent months.

Europe approves first single-dose drug to protect babies against RSV

LONDON – The European Commission has authorized the world’s first single-dose medicine for a respiratory virus that sickens millions of babies and children around the world every year. In a statement on Friday, drugmakers Sanofi and AstraZeneca said the European Commission had given the green light to nirsevimab, an antibody developed in the laboratory to protect infants during their first exposure to RSV, or respiratory syncytial virus, an infection very contagious common disease that infects almost all babies before the age of 2 years. The European Medicines Agency previously recommended that nirsevimab, sold as Beyfortus, be licensed based on research that showed the drug reduced the chances of babies with RSV needing medical attention and appeared safe .

Judge says West Virginia governor’s coal company owes $1.5 million

CHARLESTON, W.Va. — A federal judge has ruled that one of West Virginia Gov. Jim Justice’s businesses owes a Swiss company more than $1.5 million for undelivered coal. The Charleston Gazette-Mail reports that the judge on Tuesday granted a request by VISA Commodities to enforce an April order from a London-based arbitrator. He concluded that Bluestone Coal Sales Corp. was liable for $1.5 million plus arbitration fees and interest. This arbitration came after Bluestone failed to honor an April 2021 settlement in which it agreed to pay the $1.5 million by July 30, 2021.

Hungarians demand an end to pro-government bias in public media

BUDAPEST, Hungary — About 1,500 demonstrators gathered at the headquarters of Hungary’s state-run media company have protested what they say is biased media coverage and state-sponsored propaganda that favors the country’s populist government. The demonstrators called for the replacement of the director of the public media company, MTVA. They also demanded adequate coverage of a recent wave of major protests and strikes by Hungarian teachers and students for better wages and working conditions for educators. Hungarian state media ignored most of these actions despite some demonstrations attracting tens of thousands of people. Under Nationalist Prime Minister Viktor Orban, the Hungarian government has been accused of eroding press freedom and rolling back democratic checks and balances.

The S&P 500 rose 50.66 points, or 1.4%, to 3,770.55. The Dow Jones Industrial Average rose 401.97 points, or 1.3%, to 32,403.22. The Nasdaq gained 132.31 points, or 1.3%, to 10,475.25. The Russell 2000 Small Business Index rose 20.14 points, or 1.1%, to 1,799.87.

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Gas crisis forces rethinking energy sources for district heating – EURACTIV.com https://egs-schuetzen.com/gas-crisis-forces-rethinking-energy-sources-for-district-heating-euractiv-com/ Wed, 02 Nov 2022 10:44:54 +0000 https://egs-schuetzen.com/gas-crisis-forces-rethinking-energy-sources-for-district-heating-euractiv-com/ In recent years, energy companies operating large combined heat and power plants have been looking to switch from coal to gas as a stepping stone to decarbonization. Today, soaring gas prices have called into question how to reduce emissions from these power and heat generation facilities. Across Europe, about 10% of heat is supplied by […]]]>

In recent years, energy companies operating large combined heat and power plants have been looking to switch from coal to gas as a stepping stone to decarbonization. Today, soaring gas prices have called into question how to reduce emissions from these power and heat generation facilities.

Across Europe, about 10% of heat is supplied by district heating systems, which pump heat through underground water pipes into neighborhoods or cities.

The heat has generally been generated as a by-product of electricity generation and is generally considered more climate-friendly than the individual gas boilers in each home.

But the extent to which this is true greatly depends on the fuel used in power generation.

Many of Europe’s large legacy district heating systems have historically been supplied by combined heat and power (CHP) plants, particularly in Eastern Europe where extensive pipe networks have been built by communist governments decades ago. Today, 26% of European district heating is still powered by coal-fired power plants.

Prior to Russia’s invasion of Ukraine, some Eastern EU countries planned to switch their district heating systems to fossil gas. This was seen as a cost-effective way to meet EU emissions reduction targets for 2030 since the gas produces around half the amount of carbon emissions when burned.

But with the sharp increase in gas prices caused by the war in Ukraine, these plans are being reassessed.

A recent study carried out for the European Commission identified a number of ways in which these systems could achieve intensive decarbonisation by integrating renewable and carbon-neutral energy sources and technologies, and by participating in the integration of the system. energy.

Legacy coal-fired systems

The problem is that the large systems inherited from Europe are difficult beasts to change.

“We have a challenge with the decarbonization of large systems, which were historically based on fossil fuels – it requires a major effort to phase them out,” said Stefan Moser, who leads the buildings and products unit at the Department of Energy. of the European Commission.

Speaking at a recent EURACTIV event, Moser noted that several pieces of EU legislation, such as the Energy Performance of Buildings Directive, the Renewable Energy Directive and the Energy Efficiency Directive, attempt to “promote neighborhood solutions” for heating and to “ensure that we have a more systemic approach”.

Decarbonising heating is a major challenge for Europe: heating buildings is responsible for 40% of EU emissions and 36% of final energy consumption, according to EU statistics.

And it is also a challenge for district heating, according to the Czech Republic, which currently holds the rotating Council Presidency for six months.

Tomáš Smejkal, from the Energy Strategy Unit of the Czech Ministry of Industry, said there was an overhaul of the organization of district heating systems that could be more comprehensive than just the switch from coal to gas being considered. previously.

“Some district heating cogeneration plants were oversized; they were built to provide more heat than is usually needed. So some sort of downsizing is good,” he told the EURACTIV event. “We are motivating cogeneration to switch to other fuels thanks to the EU modernization fund and the distribution of the recovery and resilience fund.”

“The larger CHP units are decentralizing,” he said, noting that large systems with a main central unit “are now moving to smaller units.” These smaller units can more easily run on heat pumps or geothermal rather than fossil fuels.

To sum up this new approach, Smejkal came up with a formula: “Change the source, reduce the size and change the fuel”.

Massive investments needed in renewable energies

The need to diversify energy sources for district heating was amplified by Uta Weiß, Program Manager for Buildings and District Heating with German think tank Agora Energiewende.

With the cost of renewable electricity and heat pumps falling, it now becomes more attractive to skip the planned intermediate step of switching from coal-fired CHP plants to gas and go straight to a renewables retrofit, she explained.

And there are a wide variety of renewable energy options available to power these systems, she said at the event.

“It’s really a technology that will help us tap into renewables like geothermal, environmental heat like sewage plants, rivers, solar. All those forms of renewable food that you can’t really tap into individually, so it really is the solution to developing carbon-neutral heating,” she said.

What is missing from the debate, Weiß added, is that there are massive investments needed for this to happen.

“In our view, district heating is extremely important for achieving climate neutrality,” she stressed. “In Germany today we have around 11% of residential heat coming from district heating and according to our scenarios we should reach a quarter of all residential heat in Germany in 2045 if we plan to have climate neutrality.”

However, this does not mean that gas decarbonisation will not happen at all, as some still see gas as the fastest and most cost-effective way to achieve EU decarbonisation targets.

In Poland, for example, plans to switch from coal to gas for district heating are still underway, despite soaring gas prices.

“Renewable energy in district heating systems cannot provide the heat supply for the largest cities based on a heating system with a capacity of hundreds of megawatts,” said Wanda Buk, vice president of regulatory affairs. at PGE, Poland’s largest electricity company.

“That’s why the biggest investment in Poland is planned for the replacement of our production with high-efficiency electricity-gas cogeneration,” she told the EURACTIV event.

PGE plans to reduce CO2 emissions from its district heating systems by 50% by 2030 and will achieve this by installing 1.9 GWt in new heating capacity and completing the phase-out of coal by 2030.

Much of that reduction will be achieved by switching from coal to natural gas, Buk said, adding that new gas infrastructure will be “100% hydrogen ready” when cleaner gases become available.

But all of this requires significant investment, explained Pauline Lucas of Euroheat and Power, an industry association representing the district heating sector.

According to Lucas, the EU legislative frameworks currently in place can encourage this investment, but more is needed.

“In the Renewable Energy Directive and the Energy Efficiency Directive, we have seen a push for heating and cooling planning at municipal and national level, which is very positive. For district heating, we see revised targets and a phased approach to decarbonising the sector. »

> Watch the full EURACTIV event below on YouTube:

[Edited by Frédéric Simon/Zoran Radosavljevic]

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Rampant food and fuel inflation is a disaster for emerging economies https://egs-schuetzen.com/rampant-food-and-fuel-inflation-is-a-disaster-for-emerging-economies/ Sun, 30 Oct 2022 23:00:00 +0000 https://egs-schuetzen.com/rampant-food-and-fuel-inflation-is-a-disaster-for-emerging-economies/ The United States is currently struggling with high commodity prices, including high fuel and food prices. Although gasoline prices have fallen significantly from their highs of $5+, they are still 10.6% higher than a year ago; diesel is 46.5% higher while food costs have increased by 11.4% over the past year, the largest annual increase […]]]>

The United States is currently struggling with high commodity prices, including high fuel and food prices. Although gasoline prices have fallen significantly from their highs of $5+, they are still 10.6% higher than a year ago; diesel is 46.5% higher while food costs have increased by 11.4% over the past year, the largest annual increase in 23 years. Experts say inflation in the United States may have peaked this summer and fuel prices will fall another 11% in 2023, but they will continue take years for prices to fall heights they have reached this year. Although this does not sound very encouraging, the problem is much worse in developing economies. According to the latest World Bank report Commodity Markets Outlook Reportthe fall in the value of currencies in most developing countries is driving up food and fuel prices in ways that are likely to continue to aggravate the crises many of them are already facing.

According to the World Bank, almost 60% of emerging and developing oil-importing countries have seen an increase in oil prices in national currency since Russia invaded Ukraine, thanks to currency depreciations.

In addition, almost 90% of these economies saw a larger increase in wheat prices in local currency compared to the increase in US dollars.

On a regional basis, food price inflation in South Asia averaged over 20% in the first three quarters of 2022. Other regions, including Latin America and the Caribbean, the Middle East and North Africa, Sub-Saharan Africa and Eastern Europe and In Central Asia, food price inflation averaged between 12% and 15%. East Asia and the Pacific is doing better than most developing countries, thanks in part to generally stable prices for rice, the region’s staple food.

Related: IEA expects demand for all fossil fuels to peak in next decade

“The combination of high commodity prices and persistent currency depreciations is translating into higher inflation in many countries,” the World Bank notes, warning that policymakers in emerging markets and developing economies “have room to maneuver limited to manage the steepest global inflation cycle in decades”.

It’s about to get worse. These emerging economies should “prepare for a period of even higher volatility in global capital and commodity markets,” writes Ayhan Kose, director of the World Bank’s Prospects Group and chief economist at EFI.

Lower fuel prices

In the United States, the World Bank has predicted that energy prices will drop 11% in 2023 after jumping 60% in the current year following Russia’s invasion of Ukraine. The World Bank has forecast Brent crude to average $92 a barrel in 2023 before declining to $80 in 2024, still well above the five-year average of $60.

According to the bank, natural gas and coal prices will decline in 2023 from record highs in 2022, but US natural gas and Australian coal prices are expected to further double their five-year average by 2024. Gasoline prices could be almost four times higher.

The World Bank has further predicted that Russia’s oil exports could drop by up to 2 million barrels a day due to EU sanctions on Russian petroleum products, coupled with restrictions on insurance and transportation. maritime, which are due to come into force on 5 December.

These projections appear to be consistent with a recent Moody’s Research Report.

According to the report, profits for the sector will broadly stabilize in 2023, but will remain below the levels reached by recent peaks. Analysts note that commodity prices have fallen from very high levels at the start of 2022, but predicted that prices are likely to remain cyclically high through 2023. This, combined with modest volume growth, will support a strong cash flow generation for oil and gas producers. .

Moody’s estimates that U.S. energy sector EBITDA for 2022 will reach $623 billion but fall to $585 billion in 2023. Analysts say weak capital spending, growing uncertainty over expansion however, future supplies and the high geopolitical risk premium will continue to support cyclically high oil prices. Meanwhile, strong US LNG export demand will continue to support high natural gas prices.

A particular element of this report is how bullish analysts are about the Oil Field Services (OFS) sector.

Growing demand for oilfield services (OFS) amid growing drilling and completions activity will continue to drive pricing power and support significant earnings growth for OFS companies,” the analysts wrote.

By Alex Kimani for Oilprice.com

More reading on Oilprice.com:

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The G7 offered Vietnam and Indonesia $15 billion to phase out coal. They said “maybe” – POLITICO https://egs-schuetzen.com/the-g7-offered-vietnam-and-indonesia-15-billion-to-phase-out-coal-they-said-maybe-politico/ Thu, 27 Oct 2022 10:26:04 +0000 https://egs-schuetzen.com/the-g7-offered-vietnam-and-indonesia-15-billion-to-phase-out-coal-they-said-maybe-politico/ The G7 and its partners have made multi-billion dollar deals to wean Vietnam, Indonesia and India off coal – but it has yet to convince emerging economies to ditch the dirtiest fossil fuel. The three deals have been under negotiation for much of 2022 and are modeled on an earlier $8.5 billion deal to shut […]]]>

The G7 and its partners have made multi-billion dollar deals to wean Vietnam, Indonesia and India off coal – but it has yet to convince emerging economies to ditch the dirtiest fossil fuel.

The three deals have been under negotiation for much of 2022 and are modeled on an earlier $8.5 billion deal to shut down South Africa’s coal industry, dubbed a Just Energy Transition Partnership (JETP). ).

It is hoped that at least two new partnerships can be unveiled during the UN COP27 climate talks, which begin on November 6 in Egypt. Talks with Vietnam and Indonesia have advanced to the point where initial cash offers of around $5 billion and $10 billion, respectively, have been made, according to reports from the EU’s diplomatic service for the Council of the EU, dated October 24 and viewed by POLITICO. . A person familiar with the matter said that the figures attributed by the EU to the agreements may have changed.

Talks with India, on the other hand, have not progressed that far, with the Delhi government more eager to talk about supporting renewables than phasing out its coal industry. “It may take longer to conclude a JETP, with progress more likely under India’s G20 Presidency,” according to a report.

The donor group for the agreements with Vietnam and Indonesia is the G7, Norway and Denmark. New Zealand is also considering joining the deal with Indonesia.

Cash offers are combinations of public and private financing as well as technical assistance. But raising public funds for climate efforts abroad has become increasingly difficult, even for the world’s wealthiest countries, as inflation, rising energy costs and the war in Ukraine add pressure on cash.

The European External Action Service (EEAS) has reported that the deal brokered with Indonesia by the United States and Japan is threatened by a coal-fired power project in North Kalimantan province. The Indonesian government has approved the 5 gigawatt ‘captive coal plant’ despite the donor group’s ‘consistent position’ that if this project were to go ahead, JETP would no longer be on the table, EEAS says .

In “robust” talks led by US Treasury Secretary Janet Yellen and climate envoy John Kerry, donors are now exploring how solar and battery storage could replace coal-fired power plants.

A meeting in Washington on October 14 “confirmed the commitment of both parties to a successful launch of JETP, however some major differences remain”, the EEAS report said. Media quoting Indonesian think tanks said the Jakarta government planned to announce the deal at the G20 leaders’ summit in Bali, to be held in the second week of COP27.

Donors have told Indonesia they should aim for power sector emissions to peak in 2030 before dropping to zero by 2050-2055.

But Indonesia objected to a proposed timeline for rolling out renewables and cutting coal subsidies, the EEAS said. Jakarta has also demanded more money to speed up the withdrawal of its coal-fired power plants.

Donors have also called for reforms that eradicate protectionist policies, coal subsidies and regulatory uncertainty. But the EEAS report indicates that the talks have actually worsened on these aspects: “Indonesia is starting [to] deviate from the previous constructive position on the necessary political reforms.

In Vietnam, a major stumbling block is money. Hanoi expects something in line with South African and Indonesian agreements, says the EEAS report, rather than the $5 billion on the table. The EU and UK are leading the talks and have suggested more money will come later.

They told Vietnam they want the deal to aim for a peak in electricity emissions in 2030 and for coal to peak at 25 GW in 2025. It should also include a reduction in Vietnam’s pipeline of new energy projects coal, currently the third in the world, and a target of at least 60 GW for renewable energy by 2030.

“Right now, we’re working very hard with Vietnam to get Vietnam to do what makes sense on the energy transition,” Kerry told reporters in a call Wednesday. “Unfortunately, in Vietnam, some forces are fighting to keep coal, and coal is causing most of the damage we have in the world today in terms of the climate crisis.”

The European Commission declined to comment on the leaked documents, and the US State Department did not respond before publication. The governments of Indonesia, the UK and Vietnam have been contacted for comment.

Kerry said countries that had failed to switch to renewables now risk being economically damaged: “This is the trend. It’s the future. And we need more countries to embrace that future and make that transition happen.

Zack Colman contributed reporting.

This story has been updated with additional information.

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Indonesian exports could reach $300 billion by 2024, boosted by ‘downstream’ resources https://egs-schuetzen.com/indonesian-exports-could-reach-300-billion-by-2024-boosted-by-downstream-resources/ Mon, 24 Oct 2022 06:56:00 +0000 https://egs-schuetzen.com/indonesian-exports-could-reach-300-billion-by-2024-boosted-by-downstream-resources/ Exponential growth likely if downstreaming succeeds Luhut: Coal and palm oil prices expected to remain high in 2023 Indonesia’s GDP could hit $3.5 trillion by 2030 – minister says nickel metal exports will reach $30 billion in 2022 JAKARTA, Oct 24 (Reuters) – Indonesia’s exports could hit a record $280 billion this year as shipments […]]]>
  • Exponential growth likely if downstreaming succeeds
  • Luhut: Coal and palm oil prices expected to remain high in 2023
  • Indonesia’s GDP could hit $3.5 trillion by 2030 – minister
  • says nickel metal exports will reach $30 billion in 2022

JAKARTA, Oct 24 (Reuters) – Indonesia’s exports could hit a record $280 billion this year as shipments of nickel-based steel surge after the country banned nickel ore exports, while shipments of other commodities were boosted by high prices, a senior minister said. said Monday.

Exports could rise further to $300 billion by 2024 as the government prepares to regulate exports of other commodities, such as copper, bauxite and tin, to encourage investment in local downstream industries, said Luhut Pandjaitan, Coordinating Minister for Maritime Affairs and Investment. a meeting.

Southeast Asia’s largest economy has been experiencing an export boom for more than a year due to rising commodity prices, which have been exacerbated by the war in Ukraine.

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Indonesia is the world’s largest exporter of thermal coal, palm oil, refined tin and a major seller of nickel-based steel, copper, rubber and other resources.

The government banned nickel ore exports in 2020 in a move that has attracted investment in processing facilities – a strategy officials call “resource downstream”.

Luhut said the government was working on a downstream plan to develop an industry that would process bauxite, copper, tin and later palm oil into higher value commodities, replicating the success of the nickel export ban.

“Our exports last year were $232 billion. This year maybe $280 billion. Maybe by 2024, I think we can reach $300 billion or more,” he said. Luhut to Reuters.

“If this (downstream) works, by 2024 our economic growth will be exponential,” he said, adding that Indonesia’s gross domestic product could reach $3.5 trillion by 2030. , almost triple the current $1.19 trillion in 2021.

Nickel metal shipments will reach nearly $30 billion this year, up from $21 billion in 2021 and about $1.4 billion in 2015, he said.

Its optimistic outlook took into account global uncertainties, including the potential decline in some commodity prices next year, Luhut said, although he added that coal and palm oil prices should continue in 2023.

He also expects Indonesia to be able to produce electric vehicle batteries by 2024.

However, Luhut declined to detail Indonesia’s potential policy to regulate further commodity shipments, saying authorities were still considering using an outright ban or fiscal instruments to deter exports.

President Joko Widodo said last week that the government was still calculating on a possible tin export ban and that the authorities were committed to steering the mining industry towards more domestic processing.

The European Union has complained to the World Trade Organization about Indonesia’s nickel ore export ban and a panel is due to announce a report this quarter. Last month, the president said Indonesia would likely lose in the dispute.

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Reporting by Fransiska Nangoy and Gayatri Suroyo; Editing by Martin Petty

Our standards: The Thomson Reuters Trust Principles.

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Bulgarian political whirlwind offset by energy gains – EURACTIV.com https://egs-schuetzen.com/bulgarian-political-whirlwind-offset-by-energy-gains-euractiv-com/ Fri, 21 Oct 2022 05:14:28 +0000 https://egs-schuetzen.com/bulgarian-political-whirlwind-offset-by-energy-gains-euractiv-com/ As protracted political instability continues to rage in Sofia and the fifth general election in two years looks increasingly likely, the Balkan country has recorded significant economic gains since Russia invaded Ukraine. . Bulgaria exported 6.6 TWh net of electricity to other countries, most often neighboring Romania, Greece, Turkey, North Macedonia and Serbia, according to […]]]>

As protracted political instability continues to rage in Sofia and the fifth general election in two years looks increasingly likely, the Balkan country has recorded significant economic gains since Russia invaded Ukraine. .

Bulgaria exported 6.6 TWh net of electricity to other countries, most often neighboring Romania, Greece, Turkey, North Macedonia and Serbia, according to data from the group of reflection on Enappsys energy, catapulting it to third place in Europe in terms of net electricity exports in the first half of 2022.

High prices also mean big profits.

The sale of electricity in the Balkans brought nearly 1.5 billion euros to the Bulgarian state company Energy Holding (BEH), which before the war faced a difficult situation due to carbon quotas costly and the central heating plant in Sofia, which is prone to bankruptcy.

With the profits, the state has managed to compensate companies for the high prices on the stock exchange, and the price of electricity for households remains stable despite increases across Europe.

Meanwhile, the data shows no increase in business bankruptcies or new business start-ups in the first six months of the year, with levels remaining stable over the past two years.

Meanwhile, the European economic forecast is not too gloomy, with the summer 2022 edition promising GDP growth of 2.8%, 0.1% above the EU average.

High inflation (18.7% in September) worries both the economy and households but remains lower than regional players such as Hungary, which reached 20.1% last month.

Coal to the “rescue”

Global energy turbulence has also increased the Balkan region’s dependence on Bulgarian coal.

Serbia requested and signed an unprecedented contract for the import of large quantities of Bulgarian lignite coal to compensate for the uncertainty in the gas and oil market.

In 2022, for the first time in history, the state-owned coal mines “Maritsa Iztok” signed a contract to export 1.75 million tons of coal to the country.

North Macedonia has also entered into a contract to import Bulgarian electricity, which will be in effect during the winter.

Bulgaria to supply North Macedonia with electricity for winter

Bulgaria has promised to provide North Macedonia with additional amounts of electricity for the winter, as announced after Bulgarian Prime Minister Galab Donev met with his Macedonian counterpart Dimitar Kovachevski in Sofia on Monday.

Bulgaria can export about 200 megawatts…

Bulgaria generates nearly half of its electricity from its coal deposits, with coal-fired electricity accounting for the largest share of electricity exports. Another 25% of production comes from the Kozloduy nuclear power plant.

Currently, Bulgaria does not even use one of the reactors of the Kozloduy nuclear power plant, as it is undergoing scheduled maintenance.

“Bulgarian electricity exports play an important role in stabilizing the energy network in the Balkans. The importance of Bulgarian coal-fired power plants for the region is enormous. The export capacity is loaded to the max,” Energy Management Institute chief economist Kaloyan Staykov told EURACTIV Bulgaria.

“Bulgaria’s role is very important because South East Europe has traditionally experienced a shortage of electricity, which can be traced over the years. Bulgaria is an exporter, but in the last two years its role has grown even stronger as this regional deficit has increased due to the whole EU energy deficit,” he added.

Bulgaria’s coal-fired power plant woes threaten regional energy supply

If Bulgaria allows two more breaches of air pollution standards this year, the country may have to shut down its coal-fired power plants, Energy Minister Rosen Hristov warned on Tuesday.

This is a considerable risk for the whole region because Bulgaria…

Faced with environmental concerns related to the combustion of coal, regional players are pointing the finger at the largest emitters in the West.

Asked about the political and economic link between the return of coal and the Green Deal, Staykov recalled that Bulgaria’s carbon footprint is negligible compared to all other Eastern European countries.

Bulgaria contributes 1.5% to the total energy footprint of the entire EU, according to 2021 data from the Institute for Energy Management. Germany’s carbon footprint is 28%, Poland’s 15%, Italy’s 14%, the Netherlands 7%, Spain 7% and the Czech Republic and France by 5%.

Rethinking the Green Deal

The energy gains also reinforce voices calling for reconsidering the EU’s climate ambitions.

According to Staykov, the bloc’s Green Deal and the global Paris climate accord should be reconsidered because they were agreed with no war on the cards. Without calling for a complete overhaul, he thinks the steps to get there should be rethought.

“It’s not a general question of whether we should go in this direction, but how to move forward in the most sustainable way so as not to find ourselves in situations like last year. The answer is simple: coal-fired power plants have been Obviously, this policy that we have been carrying out for 10-20 years for the energy transition is not giving the expected results, and we are going back to it, ”he said.

[Edited by Vlad Makszimov, Alice Taylor]

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