The US and Israeli decision to attack Iran has sent economic shockwaves around the world. About 20% of global oil supplies have been effectively blocked from transiting the strait of Hormuz since Iran began attacking ships, resulting in a huge jump in oil prices. Militarily, while the United States has the firepower to significantly reduce Iran’s capacity to use the strait as leverage, it is unlikely to be able to eliminate the threat entirely. Reopening the strait, therefore, is not only a question of military capabilities but of diplomacy, and…
Tag: Energy industry
If oil price shocks weren’t bad enough, Trump’s war could have other unintended consequences | Adam Hanieh
With the US-Israeli war against Iran in its second week, energy markets are in turmoil. On Thursday, the price of Brent Crude Oil topped $100, only slightly lower than the $119 peak per barrel on Monday. These swings have focused attention on key energy choke points such as the strait of Hormuz, where about one-fifth of the world’s shipped oil and liquefied natural gas (LNG) passes each day. This shutdown of the strait will be felt in people’s everyday lives for months to come, particularly in the form of spiralling…
China calls for vessels in strait of Hormuz to be protected amid soaring shipping costs
The Chinese government has called for vessels passing through the strait of Hormuz to be protected by all sides in the escalating Iran conflict, as shipping freight rates soared. Maritime traffic through the strait – a narrow channel on Iran’s southern border that connects the Persian Gulf with the Gulf of Oman – has effectively been closed since the US and Israel launched missile attacks on Iran at the weekend, prompting a retaliation from Tehran. Beijing’s foreign ministry on Tuesday urged “all parties to immediately cease military operations, avoid escalating…
Coal power generation falls in China and India for first time since 1970s
Coal power generation fell in China and India for the first time since the 1970s last year, in a “historic” moment that could bring a decline in global emissions, according to analysis. The simultaneous fall in coal-powered electricity in the world’s biggest coal-consuming countries had not happened since 1973, according to analysts at the Centre for Research on Energy and Clean Air, and was driven by a record roll-out of clean energy projects. The research, commissioned by the climate news website Carbon Brief, found that electricity generated by coal plants…
UK ‘helping Russia pay for its war on Ukraine’ via loophole on refined oil imports
The UK has been accused of “helping Russia pay for its war on Ukraine” by continuing to import record amounts of refined oil from countries processing Kremlin fossil fuels. Government data analysed by the environmental news site Desmog shows that imports of refined oil from India, China and Turkey amounted to £2.2bn in 2023, the same record value as the previous year, up from £434.2m in 2021. Russia is the largest crude oil supplier to India and China, while Turkey has become one of the biggest importers of Russian oil…
World’s largest solar manufacturer to cut one-third of workforce
The world’s largest solar manufacturer has slashed nearly a third of its workforce after a cost-cutting drive that included telling staff to only print in black and white fell short and as a chill ripples through the renewable energy sector. China’s Longi is to cut as much as 30% of its workforce, in an acceleration of cost reductions that began late last year, Bloomberg reported. It is unclear exactly how many jobs will be lost at the company, which employed 80,000 at its peak last year, as an internal function…
CATL, the little-known Chinese battery maker that has the US worried
The world’s two superpowers are so intricately linked that it’s hard to think of a pillar of the economy that hasn’t been strained by tensions between the US and China. And the next frontline in the economic conflict may be the most fundamental yet: a fight for power itself. A Chinese company that most people have never heard of is at the heart of the global race to store the clean energy needed to power the green transition in the US and the rest of the world. China’s Contemporary Amperex…
World’s renewable energy capacity grew at record pace in 2023
Global renewable energy capacity grew by the fastest pace recorded in the last 20 years in 2023, which could put the world within reach of meeting a key climate target by the end of the decade, according to the International Energy Agency (IEA). The world’s renewable energy grew by 50% last year to 510 gigawatts (GW) in 2023, the 22nd year in a row that renewable capacity additions set a new record, according to figures from the IEA. The “spectacular” growth offers a “real chance” of global governments meeting a…
‘Breakthrough battery’ from Sweden may cut dependency on China
Europe’s energy and electric vehicle industries could reduce their dependency on scarce raw materials from China after the launch of a “breakthrough” sodium-ion battery, according to its Swedish developer. Northvolt, Europe’s only large homegrown electric battery maker, has said it has made a lower cost, more sustainable battery designed to store electricity which does not use lithium, nickel, graphite and cobalt. Britain and Europe’s electric battery industry is reliant on raw materials, or completed batteries, sourced from China and other Asian nations. Northvolt said its new battery, which has an…
China’s carbon emissions set for structural decline from next year
China’s carbon emissions could peak this year before falling into a structural decline for the first time from next year after a record surge in clean energy investments, according to research. Emissions from the world’s most polluting country have rebounded this year after the Chinese government dropped its Covid restrictions in January, according to analysis undertaken for Carbon Brief. However, this rebound in fossil fuel demand emerged alongside a historic expansion of the country’s low-carbon energy sources, which was far in excess of policymakers’ targets and expectations. Beijing’s solar and…