Despite the recent historic agreement between OPEC, Russian, American and other global oil producers to slash supply by the 1st of May with the hopes of bolstering prices, the United States will still suffer an “unprecedented” economic blow according to the International Energy Agency. With high production costs and deeply in debt, many U.S. producers, especially those extracting from shale fields, are bleeding cash as they try desperately to cut costs. Output is expected to shrink by more than two million barrels per day. Analysts predict waves of bankruptcies, along with thousands of job losses and steep drops in tax revenues for oil-dependent states as the fallout from a monster oil bust ripples throughout America’s already staggering economy. L. Michael Buchsbaum reviews the worsening situation.
Overshadowed by the pandemic, an oil production and price war waged between the Saudi Arabian-led OPEC, Russia, the U.S. and other nations has landed a body blow upon the already weakened global economy. With billions worldwide now sheltering in place, oil usage has dropped by over 30%. But production hasn’t. The massive oversupply has crashed market prices lower than at any point in almost 20 years. To stop the bleeding, OPEC and other producers as well as the G20 have seemingly come to an historic deal that will slash global production across the boards. But the damage to the underlying fossil-fuel based economy means that Corona’s economic wreckage will ripple out just as we start to emerge into a brave new social-distance demanding world. L. Michael Buchsbaum examines the origins and implications of the Corona oil crash.
Croatia’s plan to construct a liquified natural gas (LNG) import terminal has been on its energy policy agenda for decades, but was postponed over and over again. Finally investors have decided to build the Krk LNG terminal, and argue that it will increase energy security in Central Europe and the Balkans. But its impact can range from maintaining the country’s reliance on fossil fuels to becoming an underutilised piece of infrastructure sapping away governments’ attention from their renewable energy agendas, says John Szabó.
South Africa’s electricity sector has emerged from a turbulent decade that has been tarnished by corruption and mismanagement. Vested political interests within the electricity industry here could still be locking the continent’s biggest carbon emitter on its current course as one of the dirtiest and most energy-intensive economies in the world, writes Leonie Joubert.
Why is Germany still planning on building another pipeline for Russian gas? Investing money in new gas infrastructure makes no economic sense, as falling costs for renewables could cut gas consumption in half by 2030. Paul Hockenos takes a look.
While Europe swelters through unprecedented heat, Germany has agreed to build its first terminal for liquefied natural gas. Probably because of pressure from Washington, says L. Michael Buchsbaum.
Southeast Europe is known for its gas dependency on Russia and lignite power, but its enormous potential for renewables could help Europe meet its climate targets and strengthen regional economies. Julian Popov takes a look.
The Moon Jae-in administration’s nuclear phase-out policy has begun to take shape. The Korean Energy Information Agency explains how citizen concerns are addressed.
A few months ago, South Africa looked set to shackle itself to a cripplingly expensive fleet of Russian nuclear power stations. Overblown coal development was ongoing, and attempts to get private renewable power plants feeding into the grid were stalled due to state-aligned vested interests. By February, all that has changed, writes Leonie Joubert.
Polish mining is in crisis, but its companies are acting like nothing’s wrong. They are even paying out miners their traditional Barbórka (St Barbara’s day) bonuses. Michał Olszewski finds that despite generous EU funding, Poland does not invest in the future of its energy system.