Tag Archives: European energy crisis

Things Go Awry, by Israel Shamir

It’s going to be a long time before the world or any appreciable part of it is going to make the green energy transition. Right now Europe is demonstrating the difficulty of doing so. From Israel Shamir at unz.com:

An interesting coincidence: the beginning of October ushered in a double crisis: the first collapse of the Internet and the final failure of the Green Economy. Facebook employees used saws and axes to get into their working places, for the smart doors stubbornly refused to yield the way and their badges had lost their magic touch. It seems the Internet trouble had been initiated by some unknown forces outside of Facebook. These forces have access to the inner working of the Internet. Perhaps it was military; or some obscure technicians guarding Internet secrets. They proved their power: even Facebook’s domain was placed up for sale. Mark Zuckerberg could not do it, I was told. Was it a blackmailer’s threat to global finance? Or an attempt to deflect Congressional hearings? Perhaps it was a simple demonstration of naked power.

At the same time, the first blow of winter revealed the inability of green energy to heat our homes and energise industry. Nature proved its abilities: all of a sudden, Europe’s winds refused to move the turbines. An unusual calm settled in the North, as if the winds were confined by Aeolus in his bag. Energy prices skyrocketed. The excellent future planned for mankind, all digital, internet-based and free of fossil remains, failed to materialise. Instead of continuing our march towards the dreadful New Normal, we shifted back to our troublesome but familiar normality when things went awry. The cowboy hat of Big Tech was too large for its head. Mercifully, this misfortune occurred well before the whole of mankind had been railroaded into smart dwellings heated by the mischievous wind. Otherwise, last weekend could have been the end of Homo Sapiens: we would have frozen outside, unable even to pass through the smart doors.

An energy crisis combined with an Internet failure is very dangerous. Why don’t we encounter extra-terrestrials? Here’s a possible answer: every sapient civilisation destroys itself before it achieves the capability to venture to the stars. Intelligent creatures tend to overestimate their thinking abilities; instead of sticking to known technologies and implementing small improvements, they want to make a giant leap forward. The results are gloomy, as we learn now.

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European Energy Crisis — And is That Gas You Think You’re Burning? by Tom Luongo

Like virtually all emergency shortages, the current European Energy Crisis has been created by European elites per some sort of arcane political calculations. From Tom Luongo at tomluongo.me:

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Europe’s Energy Crisis Presents A Real Danger, by Daniel Lacalle

Europe’s governments have created an energy crisis for Europe. A severe winter could be disastrous. From Daniel Lacalle at app.hedgeye.com:

Europe’s Energy Crisis Presents A Real Danger - AdobeStock 9699481

This week the wholesale price of electricity has exceeded the psychological barrier of 200 euros per megawatt hour in most countries of the European Union.

Although the daily price currently only affects 15% of the energy sold, since the rest is locked for almost twelve months since last winter at much lower prices, it is a sign of future risk. Thousands of contracts are going to have to be revised with huge price increases in the next three months when the locked contracts expire.

The price of liquefied natural gas (LNG) has soared to $34/mmbtu delivered in December and January. In comparable energy terms it would be about $197 per barrel of oil equivalent, according to Morgan Stanley. Meanwhile, the price of natural gas (NBP) has risen more than 200% in 2021.

The price of CO2 emission rights has increased more than 1,000% since 2017, and more than 200% in 2021. This concept, which is a hidden tax for which the governments of the European Union are going to collect more than 21 billion euros in 2021, adds to the inflationary spike.

These extraordinary tax revenues should be used to mitigate the price increases in consumer bills and avoid an energy crisis in Europe that will sink the recovery.

Two key factors explain the rise in energy prices and in both there is a responsibility of governments: The forced closure of the economy is a key factor to understand the damage generated in the supply chains, and the prohibition of investment in gas resources and abandoning nuclear in Germany has led to a more volatile and expensive energy mix in peak demand periods.

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