Guest view: Offsets reach moment of maturity 24 Sep 2021 There’s no guarantee the world will keep global warming to 1.5 degrees Celsius. As such, emissions cuts to tackle areas that can’t or won’t decarbonise will become key. Paris Agreement overseer Christiana Figueres argues that offsets deserve a chance to overcome their flaws.
The smarter way to avoid energy crises: use less 24 Sep 2021 Soaring power prices have prompted calls to build more wind turbines, hike gas storage, or revive nuclear energy. But a big push to make buildings, industry and transport more efficient could help halve global demand by 2050. It’s something governments can act on straight away.
Capital Calls: Zoom glitches, Pret A Manger pivots 21 Sep 2021 Concise views on global finance: The video-conference company’s $13.6 bln deal with call-center software firm Five9 could slip away, and that’s no bad thing; the sandwich-to-coffee chain’s 100-million-pound post-pandemic overhaul is a punt on an untested formula.
Road to COP: Denmark’s green giant 21 Sep 2021 Orsted is one of the most highly valued players in the global energy transition. Chief Executive Mads Nipper’s main job is to ensure things stay that way as demand for its wind power intensifies. Ahead of Glasgow’s critical COP26 conference in November, he chatted to George Hay.
BP’s hard baptism goes with transition territory 20 Sep 2021 The UK oil major has sold choice assets to control debt since embarking on its green pivot a year ago, and CEO Bernard Looney just replaced the boss of his key renewables arm. If he needs a boost, Danish wind star Orsted looked equally bumpy at a similar stage of its evolution.
Spain’s utility goof is thin end of net-zero wedge 17 Sep 2021 Madrid’s $3 bln raid on the coffers of its power sector is a clear climate-change own-goal. The political sensitivity of energy prices means it won’t be Europe’s last. The bigger risk is Brussels watering down the carbon-trading scheme partly responsible for gas prices soaring.
Norway readies fresh round of green air guitar 14 Sep 2021 The Scandinavian state is on track for a left-wing coalition pledging to do more on climate change after eight years of conservative rule. But rapid cuts to national hydrocarbons output aren’t likely. Given Norway has a $1.4 trln wealth fund, it can afford to go beyond gesturing.
Road to COP: Hydrogen comes faster than you think 14 Sep 2021 At this fall’s United Nations climate summit, world leaders will seek to take concrete steps to fight global warming. Green hydrogen could help, but it’s still too expensive. Snam CEO Marco Alvera tells Lisa Jucca why the hydrogen energy revolution is likely to surprise us all.
Capital Calls: U.S. jobs, $7 bln tax settlement 3 Sep 2021 Concise views on global finance: Slow U.S. job growth signals caution for the Fed; meanwhile, a giant deal between hedge fund executives and the IRS gives legs to President Biden's tax plans.
Viewsroom: Battling the climate emergency 12 Aug 2021 A new U.N. report on global warming gives financiers fresh reasons to take bigger steps to help avert or mitigate the consequences, Breakingviews editors argue. A plan by the UK’s Prudential and the Asian Development Bank to close coal-fired power stations offers a model.
Capital Calls: UK engineer bidding war, Inflation 11 Aug 2021 Concise views on global finance: U.S. aerospace group TransDigm tries to elbow out rival Parker-Hannifin with a $9.7 bln bid for Meggitt; predicting U.S. consumer prices is proving tricky.
Cox: Saudi may have a super-green future after all 5 Aug 2021 At a recent G20 summit, the kingdom didn’t just align with U.S. and European climate crusaders. Its delegates even tried to break an impasse with India on coal. It’s a sign of how confident Saudi has become in its ability to manage, and profit from, the energy transition.
BP’s oil price boon is a mixed blessing 3 Aug 2021 Rising crude values allowed the $84 bln UK group to raise its payout and give CEO Bernard Looney more funds to pivot away from fossil fuels. But the bonanza could focus investor minds on less speedy rivals with scope to pay higher dividends, like Shell. That may hurt BP’s appeal.
Big Oil’s generosity has limited shelf life 29 Jul 2021 Royal Dutch Shell and Total will return billions of dollars to investors. High crude prices mean they can cut debt, invest in green energy and crank up payouts. Such largesse may get harder given growing pressure to cut emissions. Prudent payouts will limit future disappointment.
BHP’s oil exit would be better sooner than later 21 Jul 2021 The mega-miner is reported to be mulling a $15 bln sale of its petroleum arm. The subsidiary’s status as a profit engine amid rising energy prices makes it a tough decision. But even if done at a knock-down rate, CEO Mike Henry can burnish BHP’s allure with oil-hating investors.
Tony Hayward’s SPAC suits green fans and amnesiacs 15 Jul 2021 Ten years after floating his last shell company, the ex-BP boss has launched a new $175 mln vehicle. A solid plan to invest in the energy transition is promising. Investors who lost 90% of their capital after Hayward bought Genel Energy will hope he has learned from his mistakes.
Capital Calls: Online fashion retail 15 Jul 2021 Concise views on global finance: The return of old customer habits and muted demand as the pandemic lingers could reverse the recent stellar run of the likes of ASOS.
EU carbon border levy limbers up for a soft launch 13 Jul 2021 The European Commission will this week set out plans for making companies that export goods to the bloc incorporate the rising cost of carbon. It’s likely to pull its punches. That’s not ideal, but even a watered-down levy would still set an important precedent.
Mukesh Ambani the chameleon will easily go green 24 Jun 2021 After building the world’s second biggest mobile-data carrier and India’s top retailer, Asia’s richest man is ready to turn his $200 bln Reliance into a renewable energy major. A track record of impressive pivots gives it a decent chance of success, and merits a higher valuation.
Capital Calls: HSBC, MRNA scramble, Cable project 18 Jun 2021 Concise views on global finance: The UK bank’s France sale disappoints; Danaher snaps up Moderna supplier for $9.6 bln; geopolitics sinks internet cable.