The Permanent Court of Arbitration in The Hague ruled in July that the Russian government deliberately destroyed oil company Yukos and has ordered Moscow to pay over $50 billion in damages. The importance of this decision can hardly be overstated, writes Anders Aslund, senior fellow of the Peterson Institute, who is also a former advisor to the Russian and Ukrainian governments and author of many books on Russia. According to Aslund, the economic … [Read more...]
US energy independence: fact or fiction?
What do you get when you speak with four American investment analysts about the prospects of US gas and oil production, the sustainability of fracking, the risks of the crises in Ukraine and the Middle East, and the potential of nuclear energy and renewables? You get four different, but outspoken opinions, from people with different  perspectives on the world than what you usually find in Europe. A four-way interview by J.T. Long for The Energy … [Read more...]
EU Court upholds national renewable subsidy schemes in surprise decision
In a rare event, the EU Court of Justice has overturned the opinion of its own Advocate-General to rule that member states are not obliged to open up their national renewable subsidy schemes to producers in other countries. The decision was welcomed by renewables producers and member states such as Germany, which have generous subsidies in place. But it was lambasted by others, such as RECS International, an organisation of market players, … [Read more...]
Corruption serious barrier to sustainable energy system in southeast Europe
High-level corruption in the energy sector is seriously affecting countries in seven countries in South Eastern Europe, according to the study Winners and Losers: Who Benefits from High Level Corruption in the South East Europe Energy Sector?. NGOs who authored the report, Â launched 24 June in Brussels during a High Level Policy Conference, call upon EU institutions to treat the reform of the energy sector in South East Europe as an urgent … [Read more...]
Oil and gas producers: we subsidise government, not vice versa
Oil and gas contribute hundreds of billions of euros to European government revenues every year, a new study shows, highlighting how the industry â far from being subsidised â crucially boosts public finances in the European Union and Norway. Energy taxation and subsidies in Europe, a study commissioned by the International Association of Oil & Gas Producers (OGP) and carried out by independent consultant NERA Economic Consulting, sheds … [Read more...]
The Trillion-Dollar Question: Is Big Oil over-investing in high-cost projects?
Mark Fulton and Reid Capalino of the Carbon Tracker Initiative â the NGO that originated the concept of âstranded assetsâand âthe carbon bubbleâ â explain the risks oil companies are taking by investing in oil and gas projects in an increasingly carbon-constrained world. … [Read more...]
“World needs $48 trillion in investment to meet its energy needs to 2035”
Meeting the world's growing need for energy will require more than $48 trillion in investment over the period to 2035, according to a special report on investment released today by the International Energy Agency (IEA) as part of the World Energy Outlook series. Today's annual investment in energy supply of $1.6 trillion needs to rise steadily over the coming decades towards $2 trillion. Annual spending on energy efficiency, measured against a … [Read more...]
Letâs glocalize! Global meets local in municipal green bonds
Local authorities are taking an increasingly active role in bringing about a clean energy future. Their biggest worry: how to finance their efforts. One way is outsourcing to energy service companies, another is crowdfunding. But perhaps the most effective method to raise substantial money is by giving out municipal bonds. Clare Taylor takes a look at the blossoming municipal bond market for sustainable energy projects in Europe and the US and … [Read more...]
How to design a successful auction for renewable energy projects
In its new State Aid guidelines, the European Commission presents auctioning as the standard procedure for allocating support for renewable energy. Member States may deviate from this rule, but only for very good reasons. Although auctioning can in theory be a useful instrument, experience all over the world shows mixed results. It is crucial that auctions are adapted to the specific market context. If not, they will deliver sub-optimal results … [Read more...]
South Stream âLiteâ shows it’s business as usual between EU and Russia
The agreement last week between Gazprom and OMV of Austria on South Stream shows that the EU and Russia will continue their long-standing energy partnership regardless of the crisis around Ukraine, writes Friedbert PflĂźger, Director of the European Centre for Energy and Resource Security (EUCERS) at Kingâs College London. According to PflĂźger, the mutual energy dependence between the EU and Russia should be regarded as a largely positive … [Read more...]
Experts warn: the “Great European Energy Transition” can still go wrong
The EUâs great power transition â the liberalisation and integration of its energy markets and the expansion of renewables â has reached a crucial stage. According to three seasoned energy experts, the EU's energy project - one of the greatest missions ever to be undertaken by the European Union - has delivered some positive results, but it is also faced with mounting challenges - political uncertainty being the most prominent one. The … [Read more...]
Carbon Delirium: the hazardous impact of fossil-fuel addiction on American foreign policy
The elites in the U.S. and other âpetro-statesâ have become so addicted to the power and riches brought by fossil fuels, they are blind to their ill effects, argues Michael Klare. As an example he notes the âdelusionalâ idea that increased gas and oil production in North America could somehow influence Vladimir Putinâs behavior towards Ukraine. This addiction, says Klare, must be cured, as it poses a âdirect danger to humanityâ. … [Read more...]
Clean energy investment picks up in first quarter after stagnation last year
Clean Energy Pipeline,  âthe online financial news and data service dedicated to the clean energy sectorâ, reports that ânew investment in the global clean energy sector totalled $61.0 billion in 1Q14, representing a 14% increase on the $53.4 billion invested in the corresponding period in 2013." âNew clean energy investment was encouraging in 1Q14, marking a welcome change from recent press releases where we have been reporting year-on-year … [Read more...]
Who is winning the clean energy race? (Itâs not Europe)
For the past five years, Pew Charitable Trusts has tracked investment and finance trends in the worldâs leading economies. Over that period, the clean energy industry has been buffeted by a global recession, broad changes in energy markets, and uncertainty surrounding international policies on clean energy and climate change. Despite these challenges, the clean energy sector is now an annual $250 billion component of the world economy. In a … [Read more...]
ExxonMobil releases report on stranded carbon asset risks
Climate activists are increasingly putting pressure on investors to withdraw investments from major fossil fuel companies, on the grounds that these companies' "carbon assets" are likely to be "stranded" in the future as the effects of climate change become too far-reaching for policymakers to ignore. In that event, the activists argue, the oil and other fossil fuel companies will not be allowed anymore to exploit their assets, which would leave … [Read more...]