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DAILY ENERGY NEWS | 12/30/2021
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Real Clear Energy ([link removed]) (12/28/21) op-ed: "As Democrats regroup and forge ahead with plans to implement components of the Build Back Better legislation killed by Senator Joe Manchin, calls for the U.S. Postal Service (USPS) to be given billions to electrify its vehicle fleet are likely to soon reach a fever pitch. USPS is a high-profile, well-regarded institution through which progressives want to unveil new programs. Progressives pulled out all the stops to provide USPS with electric vehicle funding in 2021 and will likely double down in 2022. Republicans and fiscal conservatives in Washington, D.C. should push back hard. Electric vehicle subsidies for USPS epitomize what is wrong in Washington, D.C. and how proven, time-tested financial restraint and related guard rails are being eviscerated. USPS needs a new delivery vehicle fleet, and it has been on the path to
purchasing the vehicles long before Build Back Better was ever conceived. After years of study, USPS announced on February 23 that it was purchasing 50,000 to 165,000 next generation delivery vehicles over the next 10 years...At a time when mail delivery is slower than it was in the 1970s, and USPS has major financial challenges, electric vehicle subsidies and corresponding Congressional interference will only make these matters worse, while doing little to curb greenhouse gas emissions. "
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** "Historically, winters have been big killers. But centuries of innovation made us more resilient to the cold as we fully utilized the naturally available fossil fuels to generate heat and electricity. However, today these modern advantages are being sacrificed at the altar of climate change in exchange for the purported magic of wind, solar and batteries."
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– Vijay Jayaraj, CO2 Coalition ([link removed])
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Who needs aluminum?
** Bloomberg ([link removed])
(12/29/21) reports: "Alcoa Corp. is set to halt primary aluminum production at its plant in Spain for two years, the latest casualty of soaring energy prices in Europe. The curbs at Europe’s second-largest aluminum plant come after energy costs spiked to fresh records last week, putting heavy industries under increasing financial strain. Aluminium Dunkerque Industries France, the region’s top smelter of the metal, trimmed output earlier this month. While aluminum prices have rallied more than 40% this year, profitability is being eroded by the far greater surge in power prices. 'What’s come to pass here is no surprise given where power prices in Europe are trading,' said Duncan Hobbs, a London-based metals analyst at Concord Resources. 'It’s pretty clear that it’s not profitable to be making metal today at today’s spot power prices.' Smelters usually secure the majority of their energy needs on a long-term basis, but spot prices can influence negotiations for electricity supply and prove
expensive if smelters have short-term exposure."
Energy Markets
WTI Crude Oil: ↓ $76.99
Natural Gas: ↓ $3.72
Gasoline: ~ $3.28
Diesel: ↓ $3.57
Heating Oil: ↓ $239.42
Brent Crude Oil: ↑↓ $55.60
** US Rig Count ([link removed])
: ↓ 665
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