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Wednesday, July 6, 2022

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Norwegian Energy Workers Strike for More Pay, Deepening Europe’s Energy Crisis

CNN: Europe’s energy woes escalated Tuesday as Norwegian oil and gas workers went on strike, shutting three fields in the North Sea and causing a spike in natural gas prices. Norway’s state-owned energy company Equinor said it had shut the fields after some of its employees went on strike over a pay dispute. The three fields produce the equivalent of about 89,000 barrels of oil a day, more than 30% of which is natural gas, Equinor said in a statement. Norway was the second largest source of natural gas to Europe last year, after only Russia, according to Eurostat data. The disruption comes at a critical moment for the region… On Wednesday, Norwegian workers are due to strike again, which will result in the shutdown of three additional fields, Equinor said. Those fields produce the equivalent of about 330,000 barrels of oil a day, of which almost 80% is natural gas (CNN). Morning Star: Norway’s labour ministry said it was watching the process “closely,” warning that it will intervene to stop the strike in exceptional circumstances. Inflation is running rampant across Europe with a number of countries recording the highest levels for decades, blaming a sharp rise in energy prices (Morning Star).

Germany Works to Bail Out Energy Companies Before Winter

Wall Street Journal: Germany paved the way Tuesday for injecting billions of taxpayer money into embattled energy suppliers, as the country braces for a stop to Russian natural-gas imports—a scenario many economists think would trigger a severe recession. Berlin said it was rewriting legislation going back to the 1970s oil shock, enabling the government to inject capital into energy companies that are struggling with rocketing gas prices and dwindling Russian supplies to ensure they keep delivering power and heat to companies and households. The move is the latest in a battery of emergency measures to help manage an energy crisis in Europe’s largest economy this winter as the economic war unleashed by Moscow’s invasion of Ukraine accelerates (Wall Street Journal). Bloomberg: Uniper SE, whose business depends on cheap Russian gas, is set to be the first to receive government support. Officials said on Monday the company needed as much as 9 billion euros ($9.3 billion) — about twice its market value. “We will do everything to keep up the basic supply in the coming winter and to keep the energy markets running as long as possible, despite rising prices and increasing risks,” Economy Minister Robert Habeck said. The government is acting to “sharpen our tools” (Bloomberg).

Euro Falls to 20-Year Low Against USD

CNBC: The euro fell to its lowest level in two decades on Tuesday as fears of a recession in the euro zone ramped up, with gas prices soaring and the Ukraine war showing no signs of abating. The euro shed around 1.3% for the session to hit $1.029 by mid-afternoon in Europe, having earlier been as low as $1.028. Euro zone inflation hit a record 8.6% in June, prompting the European Central Bank to give markets advance notice of its intention to hike interest rates for the first time in 11 years at its July meeting (CNBC). New York Times: As the eurozone’s economic outlook darkens, investors are concerned that the E.C.B. has moved too late, and may not have time to raise rates for very long before a weaker economy forces it to change course. There are growing predictions that the eurozone economy could slip into recession, especially if energy supplies continue to be disrupted. The Federal Reserve is expected to remain more aggressive in raising rates, which would make holding assets denominated in dollars more attractive than ones in euros, on top of the worries about the prospects for the eurozone economy (New York Times).

President Biden Makes Leasing Permits More Difficult to Obtain, Yet Urges Gas Companies to Cut Prices

Fox Business: The Department of the Interior (DOI) published a proposed five-year offshore leasing program Friday that opened the door to a complete ban on offshore leasing through 2028. The plan — which would allow a maximum of 11 total offshore lease sales in that time span — also laid waste to a Trump-era version of the same program that proposed 47 lease sales over five years. “Since day one, this administration has put climate activism over energy independence and energy security,” Bernhardt, who was the DOI’s deputy secretary between 2017-2018 and led the agency between 2019-2021 during the Trump administration (Fox Business). Daily Wire: The national average price of gas in the United States is currently $4.80 per gallon, according to AAA, with the national average temporarily surpassing $5.00 per gallon last month. Fuel costs have risen since the Russian invasion of Ukraine — yet the Biden administration has pursued policies such as nixing expansions to the Keystone XL Pipeline last year and delaying new drilling permits. Meanwhile, Biden has repeatedly exhorted oil companies to cut into their own prices and increase production. “My message to the companies running gas stations and setting prices at the pump is simple: this is a time of war and global peril,” Biden repeated via Twitter on Saturday. “Bring down the price you are charging at the pump to reflect the cost you’re paying for the product. And do it now” (Daily Wire). US Oil & Gas Association: Working on it Mr. President. In the meantime – have a Happy 4th and please make sure the WH intern who posted this tweet registers for Econ 101 for the fall semester (Twitter).

Globally, 70 Percent of 10-Year-Olds Struggle With Literacy

World Bank: As a result of the worst shock to education and learning in recorded history, learning poverty has increased by a third in low- and middle-income countries, with an estimated 70% of 10-year-olds unable to understand a simple written text. This rate was 57% before the pandemic, but now the learning crisis has deepened. This generation of students now risks losing $21 trillion in potential lifetime earnings in present value, or the equivalent of 17% of today’s global GDP, up from the $17 trillion estimated in 2021 (World Bank). Daily Wire: In the United States, research likewise confirms that illiteracy rates are rising due to COVID lockdowns. Children between kindergarten and second-grade scoring “below benchmark” for literacy surged from 21% in 2019 to nearly 35% in 2021, according to a University of Virginia study. Meanwhile, American public schools most reliant upon virtual instruction and mask-wearing experienced the most severe declines in enrollment over the past two years, while “districts that returned to in-person more quickly” are the same districts seeing an enrollment recovery (Daily Wire).

NATO Signs Accession Protocols for Sweden and Finland

CBS: NATO’s 30 ambassadors on Tuesday signed accession protocols for Sweden and Finland to join the transatlantic military alliance. It was the next step in the process of NATO’s most significant expansion since the mid-1990s, and a direct response by the alliance to Russia’s war on Ukraine. The protocols still must be ratified by the legislatures of each allied government before the two Nordic countries become official members, but the group’s Secretary General Jens Stoltenberg called it “truly an historic moment for Finland, for Sweden and for NATO” (CBS) Reuters: After Turkey lifted its veto on Finland and Sweden at a NATO summit in Madrid, 30 NATO allies signed an accession protocol for the Nordic countries to join the nuclear-armed alliance once parliaments ratify the decision (Twitter). James Carafano: Finland and Sweden sign NATO accession protocol. Protocol allows for Finland and Sweden to join NATO meetings, which expand their access to intelligence, but does not include a mutual defence clause, that kicks in after member states ratify membership (Twitter).

Washington State School Board Director to Teach Children as Young as 9 About Sex at Her “WinkWink” Sex Shop

Fox News: A Washington state school board director who owns a sex shop is making headlines after announcing she will teach sex education classes for children as young as 9 on topics such as “sexual anatomy for pleasure” and “safer sex practices for all kinds of sexual activities.” “The class for 9- to 12-year-olds is an introduction to topics related to relationships, puberty, bodies, and sexuality. We focus on what makes healthy vs. unhealthy friendships and romantic relationships, the science of how puberty works, consent and personal boundaries, defining ‘sex’, and discussing why people may or may not choose to engage in sexual activities,” Jenn Mason, owner of sex shop WinkWink in Bellingham and school board director for the Bellingham School District, told KTTH radio host Jason Rantz. Mason announced there will be four, three-hour sex education classes held at WinkWink next month as part of an event billed the “Uncringe Academy” (Fox News). Western Journal: In March, Mason’s shop offered “Queer Youth Open Mic Night” for children between the ages 0 and 18, calling it a “stage for young queer voices in our community” (Western Journal).

Biden Ships 5 Million Barrels of Oil From Strategic Petroleum Reserve Overseas as Gas Prices Spike

US News: More than 5 million barrels of oil that were part of a historic U.S. emergency oil reserves release aimed at lowering domestic fuel prices were exported to Europe and Asia last month, according to data and sources, even as U.S. gasoline and diesel prices touched record highs… About 1 million barrels per day is being released from the Strategic Petroleum Reserve (SPR) through October. The flow is draining the SPR, which last month fell to the lowest since 1986. U.S. crude futures are above $105 per barrel and gasoline and diesel prices above $5 a gallon in one-fifth of the nation. U.S. officials have said oil prices could be higher if the SPR had not been tapped (US News). Katie Pavlich: While Biden has been selling off America’s reserve oil, he’s been publicly berating oil companies and private gas station owners. The White House has also classified oil producers as unpatriotic (Townhall).

Biden Administration Sues Arizona for Requiring Proof of Citizenship to Vote in Federal Elections

Wall Street Journal: The Biden administration on Tuesday sued Arizona, saying the state violates federal law by requiring proof of citizenship to vote for president. In its latest challenge to Republican-backed changes to state voting procedures, the Justice Department said Arizona’s newly enacted requirement that residents provide documentary proof of citizenship would keep eligible voters from participating in certain federal elections. The state law set to take effect in January, “turns the clock back by imposing unlawful and unnecessary requirements that would block eligible voters from the registration rolls,” said Kristen Clarke, head of the Justice Department’s civil rights division. She called Arizona’s House Bill 2492, which also requires proof-of-citizenship to vote by mail in any federal election, a “textbook violation” of the 1993 National Voter Registration Act. A provision requiring election officials to reject registration forms based on mistakes that aren’t relevant to a voter’s eligibility also violates the 1964 Civil Rights Act, the Justice Department said. Arizona Republicans passed the bill in a party-line vote, and Gov. Doug Ducey signed it on March 30, calling it “a balanced approach that honors Arizona’s history of making voting accessible without sacrificing security in our elections” (Wall Street Journal). ABC: Arizona requires voters to prove they are a U.S. citizen when they register to vote — the only state to do so — by providing a government-issued identification, like a driver’s license, tribal ID or passport. The 2013 Supreme Court ruling allowed the requirement for state elections, but Arizona cannot require proof of citizenship for federal elections, like president (ABC).

10.

Snapchat “Snap Map” Update Reveals Users’ Exact Location, Including Street Address

Fox Business: A new Snapchat update allows users to access someone’s precise location with the platform’s “Snap Map” feature if location sharing is enabled, even providing a person with a street and house number. The “Snap Map” feature not only gives away a user’s physical address, but it also allows people to view how long of a drive they are from someone else’s location. For parents and others who may be concerned about accidentally granting strangers access to their location, Snapchat allows users to disable one’s whereabouts by selecting “Ghost Mode” in the app. Individuals can also turn off the “precise location” option in their phone’s settings. “Snap Maps” gives users the ability to share their live location with their friends. The feature also shows images and videos posted by people from around the world, which anyone can view by clicking on the map (Fox Business). New York Post: The “Snap Map” update can be disabled by selecting “Ghost Mode” in the application settings. Earlier this week, Snapchat launched “Snapchat+” – a subscription service which will allow subscribers to view other users’ locations and to rewatch videos for up to 24 hours after they’ve been posted (New York Post).

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