Energy

The US is back in charge of the oil industry

The United States is getting sucked into a conflict in the Middle East, central banks are desperately trying to keep inflation under control and the world is facing an energy shock that may cripple the global economy. There are lots of ways the world looks very similar to the early 1970s. And yet, it is now clear that there is also one significant difference between now and then. Whereas half a century ago, the oil cartel OPEC was rising in power, with Tuesday’s shock decision by the United Arab Emirates to quit the group, it is clear that it is falling apart. In reality, the US is taking back control of the fossil fuel industry – and that is of huge geopolitical significance.

oil

We’re stuck at the worst possible oil price

A ceasefire has been agreed with Iran. The Straits of Hormuz will reopen. And the oil market will get back to normal very quickly. By Wednesday morning, it looked as if the energy crisis was over. Finance ministers will be breathing a sigh of relief as the crisis abates. But hold on. In reality, the truce is fragile, and huge amounts of supply have been taken out of the market. So long as that remains true, the price of oil, and with it the global economy, will remain stuck. The average price of $90 to $100 a barrel is not what anyone really thinks a barrel of oil is worth The price of oil has been on a wild ride ever since the United States and Israel started the attack on Iran a month ago.

oil

Britain’s Miliband supremacy

Labour MPs who want Wes Streeting to be their leader have, apparently, one great fear. If their man triggers a contest, they are terrified it will lead to Ed Miliband entering the race to stop the Health Secretary – and coming out on top. A Miliband premiership would, they worry, be the death of Labour. I’ve got news for them: we are already governed by Ed Miliband. This is now his administration. And they, and the rest of us, had better get used to it. Keir Starmer is no longer really in charge of this government – if he ever really was. He is Prime Minister in name only. His foreign policy, at this time of war, is Ed Miliband’s. His economic policy, Ed Miliband’s. His Chancellor, his political positioning, his very quest for meaning. All. Ed. Miliband.

miliband

The Iran war has exposed the world’s maritime chokepoint

The war with Iran is exposing a vulnerability at the heart of the global gas market: the extraordinary concentration of liquefied natural gas supply in the Persian Gulf. Qatar alone accounts for roughly a fifth of global LNG exports, almost all of it passing through the narrow Strait of Hormuz. The conflict has illustrated how easily a single maritime chokepoint could interrupt a significant share of the world’s gas trade. Even if the war ends soon, the vulnerability it has exposed will not disappear President Donald Trump has suggested the conflict may soon end, describing the campaign as largely achieved and possibly over "very soon." The Gulf monarchies also appear eager for a quick resolution, even as they continue to face missile and drone attacks.

The Iran war has exacerbated the failure of European energy policies

The history of the global trading system is a story of narrow and vulnerable waterways: the Suez and Panama Canals, the St. Lawrence Seaway, the Straits of Dover and the Skagerrak, which defends the entrance to the Baltic. But none has the power to seize up the global economy as much as the Strait of Hormuz. Barely 30 miles wide at the narrowest point and bounded on one side by the state of Iran, this passage is used for a quarter of the world’s oil supplies and a fifth of its liquified natural gas (LNG).

energy

Inside the Democrats’ AI skepticism

Bernie Sanders has been rolling out political hot takes for more than half a century, and in recent years his familiar socialist prescriptions have found a new focus: artificial intelligence. In 2023 he argued that workers who use it should be entitled to a four-day week. In October of last year he called on corporations who employ AI to be hit with a “robot tax”. And, just last month, he made his punchiest proposal yet: a complete moratorium on all AI data centers. In a characteristically plaintive video address, the Vermont Senator argued that halting data center construction would "give democracy a chance to catch up," preventing the benefits of AI from being monopolized by "the wealthiest people on Earth.

AI

Donald Trump’s end-of-year victory lap

As a mighty US armada bobs in the Caribbean off the shores of Venezuela, President Trump just addressed the nation from the Diplomatic Reception Room at the White House. With characteristic delicacy and understatement, he outlined the accomplishments of the first 11 months of his second term in office, lightly criticized his predecessor and cautiously opined about what the future held in store for the United States of America in the coming semiquincentennial year.  Well, some viewers may wish to dispute my emphases and assessments of tone. But let’s just say that the President’s short speech was vintage Trump. It was hyperbolic, yes, over the top, indubitably, but in essence 100 percent true.

trump 2025 achievements

How damaging could the Ukraine corruption scandal be for Zelensky?

Andriy Yermak, the cryptic aide who shadowed Volodymyr Zelensky through every phase of the war, resigned Friday after anti-corruption investigators searched his office and house. Yermak was the center of Zelensky’s wartime team – and the consequences of his resignation could be far reaching.  In an evening address, Zelensky thanked Yermak for representing Ukraine’s negotiating position in recent tense talks with the United States, “as it should be” and stressed that it had “always been patriotic,” while urging Ukrainians to ignore rumors around the resignation. He said he would begin consultations on a new chief of staff immediately. With more talks looming, he underlined that, in wartime, every institution must stay focused on defending the state.

yermak corruption

The battle for Ukraine’s electric grid

On Sunday, Ukrainian drones attacked the Shatura Power Station located about 75 miles east of Moscow. The 1,500-megawatt gas-fired facility provides heat and power to the residents of Shatura, a town of about 33,000. The drone attack caused three transformers at the plant to catch fire, and a local official said, “All efforts are being taken to promptly restore heat supply,” to the town. According to Reuters, the drone strike was “one of Kyiv’s biggest attacks to date on a power station deep inside Russia.” Sunday’s attack on the power plant in Shatura came two weeks after Ukrainian drones and missiles hit power infrastructure in the Russian cities of Belgorod, Voronezh and Taganrog.

electric

America needs an ‘all-of-the-above’ approach to energy

While the House of Representatives has understandably been quiet during the government shutdown, not everyone has been idle. While most members of Congress were home in their districts, Representative Troy Balderson, an Ohio Republican, quietly introduced a short, potentially consequential piece of energy legislation called “The Affordable, Reliable, Clean Energy Security Act.” “We the People” will celebrate our nation’s 250th birthday next Independence Day. And truth be told, we are crossing this milestone birthday showing our age. We are politically bipolar. We are in debt. Our infrastructure is crumbling and our schools are a mess. We are in need of several new leases on life.

energy

Trump, Putin, and the hidden power of the Bering Strait

Ahead of the Trump-Putin summit in Alaska to discuss Ukraine, President Trump said there would be “some land swapping.” He waxed lyrical about “prime real estate.” The summit’s location is a good example of land swaps and prime real estate and is in a region of growing geopolitical importance.   In 1867 Russia "swapped" Alaska for $7.2 million in a deal mocked as Seward’s Folly after Secretary of State William H. Seward who negotiated the exchange. It turned out to be a snip. Commercially viable oil was discovered three decades later and has brought in more than $180 billion in revenue since Alaska became a state in 1959.

Trump Putin Alaska Bering Strait

VP Vance touts border security, energy and humor at CPAC

Vice President J.D. Vance took to the Conservative Political Action Committee stage moments ago for a sit-down interview with Mercedes Schlapp.   In his signature earnest-yet-easy style, Vance reiterated his boss’s main, shared goals one month into the new administration: secure the southern border and grow the economy by unleashing American energy. While casting plenty of blame on the Biden administration throughout his talk, Vance touted the Trump administration’s early accomplishments; border crossings are already down 90 percent, he said, and “we’re just getting started.” In response to a question about fixing the economy, Vance said the key is, “Drill, baby, drill.

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Big Wind is in big trouble

Barack Obama famously said, “Elections have consequences.” For proof of that, look no further than the carnage hitting Big Wind. A few days ago, Jason Grumet, the head of the American Clean Power Association (annual revenue: $62.3 million), told Heatmap News that “probably more than half” of all new wind projects under development in the US could be killed due to President Trump’s executive order requiring a “comprehensive assessment” of federal permitting. Heatmap explained that Trump’s policies pose “a potential existential threat to the industry’s future. Just don’t expect everyone to say it out loud.

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What Trump’s executive orders will do

The newly sworn-in President Trump had a busy inaugural day. Between swearing into office and waving a saber around while dancing to “YMCA” at an inaugural ball, he also signed several executive orders and proclamations. After signing his cabinet and other nominations, President Trump’s first order of business was to proclaim that all flags should be flown at full staff for this and all future inauguration days. Following the inaugural parade, President Trump signed a bevy of additional executive documents as thousands of his supporters cheered.

Trump and Vance tour swing states to dim DNC limelight

While the DNC is in full swing in Chicago, Donald Trump and J.D. Vance are spending the week traveling to battleground states as part of their campaign’s way of counterprogramming. Trump’s schedule is packed this week, with more events than he’s done in several weeks. Today, Trump made an appearance in Howell, Michigan, to “deliver a strong message on law and order, making it clear that crime, violence and hate of any form will have zero place in our country when he is back in the White House,” according to Trump campaign spokesperson Karoline Leavitt. Trump came under fire from Democrats for choosing Howell, part of Livingston County, which was rocked by white supremacist demonstrations last month with some chanting “Heil Hitler” and has links with the KKK.

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Is the West ready to face the challenges of advancing technology?

The theme of this month’s edition is technology. The advancement of space exploration, defense technologies, artificial intelligence and the like should excite us. Yet the geopolitical issues they present are great and Western governments seem ill-prepared to grapple with them. Watch any congressional hearing where a crusty congressman tries to keep pace with Silicon Valley’s top autists if you need further evidence — and read Spencer A. Klavan’s analysis of the high-skill but low-status rejects uniting into a formidable social class on p.12. The Silent Generation and boomers simply cannot keep up. The Space Race is back on, as tycoons seek to cash in on the final frontier.

space technology

How actually to compete with China

Fifteen years ago, the federal government poured $535 million into a California-based solar module innovator, Solyndra. That’s a lot of money. In today’s money, it would be enough to cover the payrolls of the Red Sox and Dodgers combined. In 2009? It was enough for Solyndra to go bust in fewer than two years — making the company one of America’s biggest public funding debacles. Solyndra’s failure remains both a political talking point and area of introspection — especially as the US increasingly wakes up to the stakes of today’s industrial competition with China.

solyndra

The stupidity of Biden’s liquefied natural gas export pause

Last week's White House announcement that it was pausing new permits for exports of liquefied natural gas, or LNG, is a desperate move by a desperate president. Its principal beneficiaries are likely to be Vladimir Putin and Hamas-harboring Qatar, rather than Joe Biden’s faltering re-election campaign. The president’s political calculation is overt. “We will heed the calls of young people and frontline communities who are using who are using their voices to demand action,” Biden says. “The pause on new LNG approvals sees the climate crisis for what it is: the existential threat of our time.”  From a national security perspective, the pause is extraordinarily damaging.

liquefied natural gas

Meet Meredith Angwin, the grandmother changing the energy industry

Along a twist in the Connecticut River within an old-style colonial Vermont home lives Meredith Angwin, the Jewish grandmother who saw what almost no one else did: the coming downfall of the American electrical system. Three years ago, Angwin self-published Shorting the Grid: The Hidden Fragility of Our Electric Grid, the first-ever explanation for laymen of America’s labyrinthine, abstruse power markets. Her diagnosis was simple and troubling: when America moved away from the monopoly utility system in the Nineties toward restructured electricity markets, all players were divested from the responsibility of keeping the lights on.

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coal

Why ‘dirty’ coal is vital to a ‘clean’ green future

The Central and Western regions of Pennsylvania are known for their majestic, untamed landscapes. Seen from on high, you’d think the forested wilderness here was yet untouched. Though that’s far from the truth, the area has, for the past few decades, for better and worse, been largely forgotten — except by the people who live, work and play among the lands and waters scarred and poisoned by abandoned deep-coal mines and unreclaimed strip mines. The Allegheny section of the Appalachian Mountain range resembles an accordion poised in compact, scrunched-up, ready-to-perform mode.