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Daily Briefing |

TODAY'S CLIMATE AND ENERGY HEADLINES

Briefing date 22.03.2024
US: Sixteen states sue Biden administration over gas permit pause

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Climate and energy news.

US: Sixteen states sue Biden administration over gas permit pause
The New York Times Read Article

Texas, Louisiana, Florida and 13 other Republican-led US states have sued the Biden administration over its decision to temporarily pause approvals of new permits for facilities that export liquefied natural gas (LNG), the New York Times reports. Their lawsuit argues that the federal government does not have the authority to deny those permits – a decision that was made in order to assess how gas exports affect climate change, the economy and national security, the newspaper explains. Instead, the states say the decision should have gone through a regulatory process in which states, industry and others could have had an opportunity to shape a decision, it continues. The article adds that the US is the world’s largest exporter of gas and that, even with the pause, the nation is “still on track to nearly double its export capacity by 2027 because of projects already permitted and under construction”. According to the Guardian, the pause could “imperil the future of more than a dozen gas export terminals that have been planned for the Gulf of Mexico coast”. The newspaper says the lawsuit claims that the federal pause will harm the US economy and undermine efforts to supply Europe with LNG as the region weans itself off Russian gas. The lawsuit also accuses the Biden administration of “political motivations” ahead of this year’s presidential election, arguing that the move was taken to please environmental activists, according to the Hill. [For more on the pause, see Carbon Brief’s recent explainer.]

Elsewhere, Axios reports on a letter by senior Republicans on the US Senate and House of Representatives energy committees to the International Energy Agency (IEA). In the letter, the lawmakers argue that the body – which has increasingly focused on meeting climate goals in recent years – has been “undermining energy security by discouraging sufficient investment in energy supplies”, the outlet reports. The article notes that this “closely echoes” concerns among some oil industry experts about the IEA. It adds that the Republicans have asked for information about the agency’s decision making, and pointed out that the US Energy Department has “cited IEA’s fossil demand projection when defending the recent decision to pause new LNG export approvals”.

Meanwhile, a Reuters article considers the Biden administration’s recent decisions to row back on some key climate policies – specifically, by easing vehicle emissions standards and removing gas-fired power plants from emissions curbs. It says that while the government says a large expansion of renewables will make up for these rollbacks, they remain a sign that “Biden’s administration is under industry pressure over the plans ahead of the November election”. The New York Times has a piece titled, “Inside the Republican attacks on electric vehicles”, which explores how Biden’s new rule for emissions from vehicle tailpipes has “deepened a partisan battle over automotive technology”. Politico also has an article about how the debate around electric cars has become one of the “fiercest political fights” between Biden and his Republican presidential challenger Donald Trump.

Security and climate change drive a return to nuclear energy as over 30 nations sign summit pledge
Associated Press Read Article

At a one-day international nuclear power summit in Brussels, Belgium, 34 nations – including the US, China, France, the UK and Saudi Arabia – have  backed a declaration in support of nuclear power, the Associated Press reports. The countries call on regulators to “fully unlock” the potential of nuclear power, in a declaration that was largely aimed at attracting support from development banks to finance its deployment and maintenance, the piece says. It explains that “the tide has turned” in favour of nuclear power in recent years, as a “warming planet has made it necessary to phase out fossil fuels, while the war in Ukraine has laid bare Europe’s dependence on Russian energy”. EU leaders from 11 member states backed the declaration, including Italy, Poland and Sweden, Euronews reports. As well as committing to new nuclear plant construction in general, Reuters notes that the statement also argues for the early deployment of advanced reactors, including small modular reactors, worldwide. However, it adds that within Europe there remain some nations, such as Germany and Austria, that are opposed to nuclear and want to see low-carbon energy investment focus on renewables. Another Reuters article quotes Fatih Birol, executive director of the International Energy Agency (IEA), who told journalists ahead of the event that “without the support of nuclear power, we have no chance to reach our climate targets on time”. Yet another Reuters article quotes Belgian prime minister Alexander De Croo, who said at the conference that he thinks the European Investment Bank should be involved in the financing of new nuclear power projects. He said that while there is plenty of private finance available, what is missing is public finance provided through multilateral development banks to “get private financing going”. EurActiv reports that Greenpeace activists disrupted the event, with one suspended over the press area carrying a placard saying “nuclear, fairytale”.

Meanwhile, the Daily Mail reports that TerraPower, a company founded by Bill Gates, has announced that it plans to begin building a “next-generation” nuclear reactor in Kemmerer, Wyoming at the start of June. It is being supported with $2bn from the US government and has raised £1bn in private investment. Kathryn Huff, assistant secretary on nuclear at the US Department of Energy, tells Reuters that countries that use nuclear power need to shift their supply chains so they are no longer reliant on uranium and other materials from Russia.

COP Presidencies' Troika urges governments to deliver 'high ambition' national climate plans in 2025
BusinessGreen Read Article

UN climate summit host the United Arab Emirates (UAE) and upcoming hosts Azerbaijan and Brazil have jointly committed to submitting more ambitious national climate plans by early 2025, BusinessGreen reports. The so-called COP Presidencies’ Troika made the pledge in a letter submitted to all Paris Agreement nations ahead of an important UN climate ministerial meeting in Copenhagen, the article explains. It adds that this marks the “first major intervention” from the troika, which was agreed at COP28 in Dubai last year. It explains that “countries are required to submit updated national climate plans next year in support of the Paris Agreement’s goals”. 

According to Arab News, COP28 president Sultan Al Jaber said the new climate plans – known as nationally determined contributions (NDC) – should cover emissions from the entire economy and all greenhouse gases, including methane. He also called on countries to implement policies that deliver emission cuts of 60% compared to 2019 levels before 2035. The Hindustan Times says “how parties from the global south respond to this call depends on the outcome of finance talks at COP29 in Baku, Azerbaijan”. The provision of climate finance by developed countries to help developing countries deal with climate change is set to be the key agenda item at the summit, the article explains.

Speaking at the Copenhagen meeting, executive secretary of the UN Framework Convention on Climate Change (UNFCCC) Simon Stiell said the body was facing “severe financial challenges”, with its budget less than half-funded, the Financial Times reports. Stiell called for national governments to provide €74m over 2024 and 2025 for the UNFCCC’s core budget.

China EV exports, slammed by west’s trade barriers, find greener pastures with free-trade partners
South China Morning Post Read Article

China is turning to its Asian neighbours to offset a decrease in its market share of new energy vehicles (NEVs) and lithium batteries in Europe and the US amid ongoing investigations and trade barriers from the west, the Hong Kong-based South China Morning Post reports. In January and February this year, China’s NEV export volumes to the EU and US fell by around 20% and 42%, respectively, while its NEV exports to  members of the Regional Comprehensive Economic Partnership (RCEP) trading block increased by 36% year-on-year, the outlet says. State-run newspaper China Daily quotes Shi Jiayan, an energy storage analyst at BloombergNEF, saying that “China’s battery sector remains attractive…[due to] rapid expansion of the EV market and…government incentives, environmental regulations and growing consumer preferences for cleaner transportation”. The Communist party-backed China Economic Network publishes an article collating comments from industry experts on the new energy vehicles (NEVs) industry, with one saying automakers should become “more determined to embrace change”. State-owned enterprises in China are accelerating “deployment” in the NEV sector in response to comments by the State-owned Assets Supervision and Administration Commission (SASAC) that China is determined to intensify efforts to develop the NEVs industry, energy news outlet IN-EN.com reports. 

Meanwhile, state news agency Xinhua reports that President Xi Jinping called for coordinated ecological environment protection, “green and low-carbon development” and accelerating the building of a “beautiful” central China region. China Daily shares comments from academics on the importance of China’s recent policy on creating region-specific environmental management zones, with one saying it “signifies a shift from pilot programmes to nationwide implementation and…establishment of a comprehensive institutional framework”. Communist party-backed newspaper People’s Daily also covers the guidelines, saying that strengthening ecological environmental zoning management and control will enable the concept of a “Beautiful China” characterised by “sub-regional differentiation and precise control”. Beijing News quotes Li Xiaomin, senior engineer at the Chinese Research Academy of Environmental Sciences, saying establishing a zoning system is a “hard-won achievement” and that focusing on “implementation and application” is particularly important.

 Finally, IN-EN.com reports that the first Chinese institution for shipping carbon emissions management has been established to promote the “green and low-carbon” transformation of the shipping industry. And Science and Technology Daily publishes an article on the importance of establishing a carbon footprint management system in China, including carbon footprint calculation, evaluation and certification.

Women and girls suffer first when droughts hit poor and rural areas, says UN
The Guardian Read Article

Women and girls are the “first to suffer” when drought affects poor and rural areas, according to the latest UN world water development report, the Guardian reports. This fact should be reflected in water strategies around the world, as water supplies are put under mounting stress by climate change, as well as by overuse and pollution, the newspaper explains. To mark World Water Day, journalists for the Associated Press journalists around the world interview people struggling to get fresh water, from Peru to Indonesia. “As the world warms from human-caused climate change, fresh water for drinking, cooking and cleaning is becoming harder to get for many people,” the article states.

The Financial Times has a whole series titled “the future of water”, including one piece on the “new climate reality” as many regions struggle with water scarcity due to climate change. “It is now a problem being experienced around the world: officials having to cope with water scarcity – and drought – as global temperatures rise,” it notes. Other articles in the series focus on the potential for climate investors to explore water technology, how the US housing market is “waking up to flood risk” and how climate change is placing Kenya’s water supply under pressure.

Germany: The questionable promises behind the new nuclear power
Der Spiegel Read Article

A 650-page study commissioned by the German Federal Office for the Safety of Nuclear Waste Management (BASE) has examined various types of nuclear reactors under development in the world, analysing their economics, safety and potential radioactive waste, reports Der Spiegel. The study comes to “a clear” conclusion: “the well-known problems with nuclear technology are unlikely to be solved by the new reactor types”, notes the newspaper. However, it continues, politicians from the parties Christian Democratic Union of Germany (CDU) and Free Democratic Party (FDP) have recently proposed ​​restarting nuclear power. For instance, the draft of the CDU’s basic programme states that in the future, alongside fuel cells, gas and hydrogen power plants, “fourth and fifth-generation nuclear power plants” should also be considered for electricity supply, adds the outlet. 

Meanwhile, Handelsblatt reports that German economy and climate action minister Robert Habeck plans to stabilise electricity prices with a new instrument “to protect private households and businesses from a significant increase in grid fees”. The outlet says the increase could happen due to the required expansion of the electricity grids estimated at around €500bn. Reuters adds that ​​the German economy ministry is considering introducing a “so-called amortisation account to cover the expansion costs over a long period to avoid passing the full amount to current consumers”.

Finally, Table.Media reports that the German Green party, led by Habeck, has experienced a significant decline in reputation and support, as indicated by recent studies. The article notes that the rejection of the party’s work has more than doubled since taking office, while public dissatisfaction with the traffic light coalition in general, in which they play a prominent role, is at an all-time high. Despite maintaining a consistent 14% support in polls, this figure underscores the Greens’ challenges, the article says.

Climate and energy comment.

It’s the Amazon’s turn to lead on global climate action
Gustavo Petro, Euronews Read Article

Colombian president Gustavo Petro has penned an article for Euronews, in which he calls for an urgent phase-out of fossil fuels and support to help countries make this transition. “The G20 and the upcoming international climate negotiations are the ideal stages to establish frameworks for phase-out while enabling the continued sustainable development of the global south,” he writes. Petro also notes that, as Colombia prepares to host the UN biodiversity summit COP16 and Brazil takes the lead of the G20 and prepares to host the climate summit COP30 in 2025, “we Amazon countries find ourselves in a unique position to lead global action for people and the planet”. He also ties in environmental issues with the failure of the global “war on drugs”, noting that the illegal drug trade has “distorted agriculture across Amazonia, increased logging, strengthened illegal mining, accelerated environmental destruction and spread violence throughout the region”. As a result, he argues that ending prohibition and regulating drug markets would have far-reaching benefits, including climate benefits. Petro concludes: “Together we can overcome the constraints of fossil fuel dependence and the war on drugs by embracing sustainable, inclusive and smart development…The world is watching and the decisions we make today will define our legacy for future generations.”

Here’s why there is no nuclear option for Australia to reach net-zero
Dr Alan Finkel, The Guardian Read Article

Dr Alan Finkel, chair of the ARC Centre of Excellence for Quantum Biotechnology at the University of Queensland and previously Australia’s chief scientist, explains that despite recent political posturing in Australia, the nation is not about to see a dramatic increase in nuclear power. “While nuclear power might experience a resurgence globally and eventually have a role in Australia, right now, no matter how much intent there might be to activate a nuclear power industry, it is difficult to envision before 2040,” he says. Finkel puts this down to high costs and lengthy timescales, pointing out that Australia is the only nation in the G20 to have a legislated ban on nuclear power, and this would need to be lifted before any reactors could be built. The nation would also be starting from scratch, and it is “unlikely that Australia would switch from being a laggard to a leader”, he points out. Ultimately, Finkel says wind and solar power should be the priority in Australia and “any call to go directly from coal to nuclear is effectively a call to delay decarbonisation of our electricity system by 20 years”.

Separately, Daily Telegraph world economy editor Ambrose Evans-Pritchard writes that the UK government is likely “spreading itself too thin” by focusing on building both old-style large nuclear reactors, alongside small modular reactors (SMRs) and pushing for breakthroughs in nuclear fusion. “Given that the Treasury plans to cut public investment to the bone by the late 2020s…the strategy is not credible. Labour has been so coy about its plans that we are left no wiser about what it would do,” he says. Evans-Pritchard argues that the government should take a more focused approach in its nuclear planning. He concludes: “There is a real chance that advanced SMRs and nuclear fusion will radically change the global energy equation in the 2030s. Britain is a cutting-edge global player in both fields. That is where the British state should concentrate the full force of its nuclear effort.”

New climate research.

Global warming and heat extremes to enhance inflationary pressures
Communications Earth & Environment Read Article

A new study finds that food inflation could increase by 0.92 to 3.23 percentage points per year by 2035 under low and very-high emissions scenarios, respectively. Researchers use more than 27,000 data points of consumer price indices around the world to “quantify the impacts of climate conditions on inflation”. They find that warmer temperatures “persistently” increase inflation in both high- and low-income countries, with countries in the tropics feeling higher inflationary pressures. They also find that the extreme heat that gripped Europe in 2022 increased food inflation on the continent by as much as 0.93 percentage points.

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