Global Climate News

Kjetil Olsen, Nordea's chief economist, discussed current economic challenges, including high inflation and the need to curb economic growth through interest rate hikes. He also highlighted three key challenges shaping the world economy: the green transition requiring massive investments in renewable energy, the decline of globalization potentially impacting product pricing, and demographic shifts leading to potential labor shortages.

The United States' eighth liquefied natural gas (LNG) export terminal, Plaquemines LNG, shipped its first cargo on December 26, 2024. This facility, developed by Venture Global LNG, uses mid-scale liquefaction technology and has a nominal capacity of 1.3 billion cubic feet per day (Bcf/d), expandable to 2.6 Bcf/d upon completion of both phases. Another facility, Corpus Christi Stage 3, also began LNG production in December 2024.

The Nordea Economic Outlook report discusses the impact of the green and digital transition on inflation, noting that it may lead to higher inflation due to new taxes and increased demand for certain minerals. The report also mentions the potential for AI to boost productivity in the long term, but highlights challenges like retraining the workforce. The report analyzes the resilience of Nordic economies to monetary tightening and the global economic downturn.

Czech Statistical Office (ČSÚ) has published data on import and export prices in November 2024, showing significant increases in electricity prices. Export prices increased by 0.9% month-on-month and 4.5% year-on-year, while import prices rose by 0.8% and 2.4%, respectively. Electricity prices significantly contributed to the overall increase, rising by 24.0% month-on-month in exports and 18.2% in imports.

The UK’s Department for Business and Trade’s (DBT) has added a new category, Low Carbon Energy, to its Made in the UK, Sold to the World Awards for SMEs. Two winners from last year’s awards, Intralink and SimVenture, reported revenue growth and market expansion.

Taiwan's Executive Yuan held its first tourism advisory meeting on January 22, 2024, focusing on strategies for tourism development, international market expansion, labor shortages, and sustainable tourism. The meeting involved 42 officials and private sector members, aiming to generate policy recommendations and development directions.

The UK and Taiwan signed the U.K.-Taiwan Enhanced Trade Partnership (ETP) Arrangement, focusing on investment, energy and net-zero emissions, and digital trade. The UK's outgoing representative highlighted this as a key achievement, noting increased bilateral trade and collaboration on net-zero emissions, with over 100 British businesses contributing to Taiwan's offshore wind development.

Taiwan's CPC Corporation has adjusted gasoline and diesel prices, raising them by NT$0.5 and NT$0.6 per liter, respectively, due to increased international oil prices and the implementation of a price stabilization mechanism. The company absorbed NT$1.6 and NT$1.7 per liter for gasoline and diesel, respectively, and a further reduction in fuel taxes also contributed to the price adjustments.

DP19835, titled "The Economics of Carbon Dioxide Removal: A Governance Perspective", focuses on carbon dioxide removal and governance. The paper was authored by Edenhofer, Franks, Gruner, Kalkuhl, and Lessmann.

Iran is planning to address its energy crisis through a 30,000 megawatt project, with 1,500 megawatts already operational. The country is also emphasizing the use of renewable energy sources and has stated that there are no bureaucratic obstacles to renewable energy production in East Azerbaijan province.

The Iranian steel industry, specifically in East Azerbaijan province, aims to invest in renewable energy to address energy imbalances. The private sector is committed to collaborating with the government to achieve this goal. East Azerbaijan produces 25-27% of Iran's steel and accounts for 30% of its steel exports.

The UK and China have agreed to further cooperation in clean energy, including strengthening the existing UK-China clean energy partnership. China announced plans to issue a sovereign green bond in London in 2025 to finance environmentally sustainable projects. Agreements are expected to deliver up to £1 billion of value to the UK economy.

The International Renewable Energy Agency (IRENA) held its Fifteenth Assembly session, focusing on accelerating the renewable energy transition. Discussions included SDG7 progress, renewable energy partnerships in Central Asia (APRECA), legislative pathways for tripling renewables and doubling energy efficiency, grid and storage solutions, clean cooking initiatives, Mediterranean energy transitions, risk mitigation instruments, a Global Coalition for Energy Planning, environmental impacts of renewables, empowering lives and livelihoods with renewables, community support for the energy transition, and a youth forum. Multiple MoUs were signed with SAARC and KAZENERGY.

The EU Agency for the Cooperation of Energy Regulators (ACER) has released a tool to simulate price correlations for electricity forward trading with potential virtual hub prices. The simulator helps inform the debate on whether regional virtual hubs are needed for forward markets, as proposed in ACER’s 2023 policy paper to further develop the EU electricity forward market. The European Commission will assess the need for these hubs and revise the Forward Capacity Allocation Regulation in 2026.

The article discusses the geopolitical implications of climate change in the Arctic region, focusing on Donald Trump's attempts to purchase Greenland. The context highlights Greenland's resource richness and strategic importance due to climate change's impact on the region. Increased investment in Arctic defense by Denmark (€1 billion) and the need for transatlantic cooperation to counter Russia and China's activities are mentioned.

The WTO circulated a panel report on January 10th in a case brought by Indonesia against the European Union concerning certain measures on palm oil and oil palm crop-based biofuels (DS593).

Global mining projects face disruptions, delays, and cost increases. Mali's new mining code caused disputes, leading Leo Lithium to sell its Goulamina lithium project stake to Ganfeng Lithium Group. Barrick faced similar issues in Mali. Syrah Resources' Balama graphite project in Mozambique was impacted by civil unrest. The International Energy Agency (IEA) reports that announced mining projects only meet a portion of future demands for key minerals, with China dominating supply chains. China's significant investment in overseas mining further complicates diversification efforts.

US business groups are attempting to weaken EU sustainability rules. The article does not provide specifics on which groups or the exact methods they are using.

India launched the 8th edition of the National Programme for Organic Production (NPOP), aiming to increase organic exports to Rs 20,000 crore in three years. The program includes simplified certification, TraceNet 2.0 for traceability, and new portals for organic promotion and Agri-exports. The initiative promotes sustainable farming to combat water scarcity and pesticide overuse.

Finland has experienced a decline in electricity prices, with the Nordic power futures indicating further decreases below 50 euros per megawatt-hour. The country is on track to become self-sufficient in electricity and achieve fossil-free power generation within the next couple of years due to new nuclear reactors and increased wind power capacity. Onshore wind power in Finland is noted as one of the cheapest methods for increasing zero-emission power in Europe, reducing reliance on Russian energy imports.