View this email in your browser
MORNING ENERGY NEWS  |  11/17/2020
Subscribe Now

Good time to be a lawyer. 


National Journal (11/15/20) reports: "The oil-and-gas industry is laying the groundwork to fight off executive action under President-elect Biden. That looming battle is likely to be waged most prominently in the courts. And oil and gas backers are bullish that they can win against the Biden proposal that generated some of the most heated debate on the campaign trail: a ban on new leases on federal lands. 'Flat-out, the president does not have the authority to just ban leasing and development on federal lands. So if President-elect Biden goes that route, we would be in court within hours or days,' said Kathleen Sgamma, president of the Western Energy Alliance, which represents oil and gas producers. 'We would get a preliminary injunction and we would ultimately win,” she said. “It’s that clear-cut.'...Meanwhile, as the pandemic rages and the unemployment rate remains high, some oil and gas supporters are warning Biden that aggressive action on the industry could lead to more electoral losses for Democrats following a slew of Republican flips this cycle. 'There are a couple [of] moderate Democrats in Texas that are going to be concerned about super anti-energy moves by the administration. And they’re going to have to walk a little carefully unless they’re just writing off Congress,' said Kenny Stein, director of Policy and Federal Affairs for the conservative American Energy Alliance."

"The surge in U.S. oil and gas exports which gathered pace in the past decade allowed President Trump to pursue an  'energy dominance' agenda which made the U.S. less vulnerable to political and social upheavals in the Middle East."

 

– Tilak Doshi, Forbes

Renewables are cheaper, right?  So why all the whining? 


E&E News (11/17/20) reports: "France's utilities joined with investors in clean power projects in objecting to a government plan to cut as much as €4 billion ($4.7 billion) in subsidies owed to large owners of old solar farms, saying the move will create havoc in the renewable industry. The government will create an "economic disaster" by slashing support for existing projects, damaging both the industry and its lenders, according to a joint statement from dozens of utilities and investment funds including Amundi SA, Axpo Holding AG's Urbasolar, EnBW AG, Eurazeo SE and Voltalia SA. The outcry followed a decision on Friday by France's Lower House to endorse a government amendment that will trim subsidies of hundreds of contracts signed between 2006 and 2010. Ecology Minister Barbara Pompili, who is seeking to limit the cost of supporting clean energy, has called the return on these 20-year contracts 'excessive.'"

Got a license for that mileage? 


Metro (11/16/20) reports: "Motorists could be charged for every mile they drive on Britain’s roads under plans reportedly being considered by Rishi Sunak. The Chancellor is mulling over the move to fill a £40 billion tax shortfall caused by the rise in popularity of electric cars, The Times reports. Road charges are currently limited to schemes such as the London Congestion Zone, the M6 Toll in the West Midlands, the Dartford Crossing, and levies on certain tunnels and bridges. Under Tony Blair, Labour abandoned the unpopular idea of a national road pricing scheme amid fury at drivers potentially being charged up to £1.50 a mile. A petition against the plans reached 1.8 million signatures.  But Mr Sunak is reportedly ‘very interested’ in the concept of a national road pricing scheme, but it’s unclear how the charges would be calculated.  Currently motorists pay 57.95p in fuel duty for each litre of petrol and diesel they buy – a figure which has been frozen since March 2011. This brings in £28 billion a year, or 1.3% of national income, according to the Institute for Fiscal Studies, while VAT on fuel and vehicle excise duty also raises money for the Treasury. It has recently been reported a proposed ban on the sale of new petrol and diesel cars will be accelerated to 2030 as part of efforts to reach net-zero carbon emissions by 2050."

The thing about a carbon tax is... it's never enough.


Bloomberg (11/16/20) reports: "The European Union is testing the waters for a sweeping overhaul of the world’s biggest carbon market that is set to drive up prices and extend the system to cover ships. The European Commission is drafting a law to align the EU Emissions Trading System with the Green Deal’s objective of reaching climate neutrality by 2050 and opened a public consultation on the measures on Friday. The process sheds some light on the scenarios the EU regulatory arm is considering to strengthen the cap-and-trade program, where prices more than tripled over the past three years. The measures could include new financial instruments to support innovative technologies. For the existing system, policy makers are seeking feedback on a one-off reduction in the EU ETS pollution cap and increasing the pace at which emission limits shrink every year. They also are weighing cancellation of CO2 permits in a special reserve, strengthening the reserve and an early application of a tighter emissions cap, for example in 2023 rather than later. Those measures would tighten supply in the system." 

Energy Markets

 
WTI Crude Oil: ↓ $41.00
Natural Gas: ↑ $2.71
Gasoline: ~ $2.12
Diesel: ~ $2.38
Heating Oil: ↓ $122.14
Brent Crude Oil: ↓ $43.47
US Rig Count: ↓ 364

 

Friend on Facebook Friend on Facebook
Follow on Twitter Follow on Twitter
Forward to a Friend Forward to a Friend
Our mailing address is:
1155 15th Street NW
Suite 900
Washington, DC xxxxxx
Want to change how you receive these emails?
update your preferences
unsubscribe from this list