sunny.png
Friday December 2nd, 2022 9:14AM

IEA chief sees energy crunch for Europe next winter

By The Associated Press
Related Articles
  Contact Editor

BERLIN (AP) — Europe should be able to cope with the natural gas supply crunch in the coming months thanks to considerable reserves although the continent could face a bigger energy crisis next winter, the head of the International Energy Agency said Thursday.

Fatih Birol said that, barring unforeseen events, “Europe will go through this winter with some economic and social headaches, bruises here and there” as a result of efforts to wean itself off Russian gas and the wider increase in energy costs resulting from the war in Ukraine.

“Next winter will be more difficult than this winter" he said.

Birol cited the fact that Russian gas supplies to Europe may end completely next year, while China's demand for liquefied natural gas looks set to rebound as its economy recovers from the pandemic.

Meanwhile, the IEA projects new gas capacity coming online in 2023 to be the lowest in two decades, he said.

“(This) is the reason Europe needs to prepare today for next year," Birol said, adding that solidarity among European nations was key.

Speaking at an energy symposium in Berlin hosted by the German government, the IEA chief said Russia can also expect to feel some costly effects of its falling out with European energy buyers over Ukraine.

With 75% of Russia's gas exports and 55% of its oil going to Europe before the war, Moscow needs to find new markets for its output, he said.

Birol called it “completely wrong” to assume Russia will simply deliver to Asia, noting that pipelines through Siberia would take a decade to build and oil tankers need ten-times longer to reach clients in the East than in Europe.

Additionally, the departure of specialized oil and gas technology companies from Russia due to the sanctions means production at challenging extraction sites is likely to fall.

“Russia is set to lose the energy battle big time,” Birol said, adding that the IEA has calculated Moscow will lose about $1 trillion in revenue by 2030 because of its war in Ukraine.

While noting that the energy crisis also has severe impacts on developing nations, Birol said it would help speed up the transition to alternatives to fossil fuels.

“When I look at the (efforts to ensure) energy security, climate commitments and industrial policy drivers, I am optimistic that the current energy crisis will be a turning point in the history of energy policy making,” he said.

Still, this will require a five-fold increase in clean energy investments compared to today, said Birol.

  • Associated Categories: Associated Press (AP), AP World News, AP Business, AP Business - Economy, AP Business - Industries, AP Business - Utilities
© Copyright 2022 AccessWDUN.com
All rights reserved. This material may not be published, broadcast, rewritten, or redistributed without permission.
Bombed, not beaten: Ukraine's capital flips to survival mode
Residents of Ukraine’s bombed but undaunted capital clutched empty bottles in search of water and crowded into cafés for power and warmth after the latest onslaught of Russian missile strikes
12:18PM ( 3 minutes ago )
IEA chief sees energy crunch for Europe next winter
The head of the International Energy Agency says Europe should be able to cope with the natural gas supply crunch in the coming months thanks to considerable reserves but warned that the continent could face a bigger energy crisis next winter
12:15PM ( 6 minutes ago )
Central European PMs stress shared ties amid friction on war
The leaders of four Central European countries have emphasized issues that tie them together and downplayed those that have caused divisions during a summit in Slovakia
12:09PM ( 12 minutes ago )
Associated Press (AP)
New Malaysian PM Anwar vows to heal divided nation, economy
Long-time reformist leader Anwar Ibrahim has been sworn in as Malaysia’s prime minister
10:15AM ( 2 hours ago )
Bombed not beaten: Ukraine's capital flips to survival mode
Residents of Ukraine’s bombed but undaunted capital clutched empty bottles in search of water and crowded into cafés for power and warmth after the latest onslaught of Russian missile strikes
9:08AM ( 3 hours ago )
Indonesian rescuers focus on landslide as quake toll rises
On the fourth day of an increasingly urgent search, Indonesian rescuers are narrowing their focus to a landslide where dozens are believed trapped after an earthquake killed at least 272 people
7:42AM ( 4 hours ago )
AP World News
Foxconn apologizes for pay dispute at China factory
The company that assembles Apple Inc.’s iPhones has apologized for a pay dispute that set off employee protests at a factory where anti-virus controls have slowed production
10:38AM ( 1 hour ago )
Walmart shooting raises need for violence prevention at work
The mass shooting Wednesday at a Walmart in Virginia is only the latest example of a workplace shooting perpetrated by an employee
10:33AM ( 1 hour ago )
Ford recalls over 634K SUVs due to fuel leaks and fire risk
Ford is recalling over 634,000 SUVs worldwide because a cracked fuel injector can spill fuel or leak vapors onto a hot engine and cause fires
10:18AM ( 2 hours ago )
AP Business
Global shares rise on Fed rate hopes despite China worries
Global shares are mostly higher, although optimism about the Federal Reserve holding back on aggressive interest rate hikes was countered by uncertainty over coronavirus restrictions in China
4:47AM ( 7 hours ago )
Asian shares rise on Fed rate hopes despite China worries
Asian shares are higher, although optimism about the Federal Reserve holding back on aggressive interest rate hikes was countered by some uncertainty about coronavirus restrictions in China
11:39PM ( 12 hours ago )
Protesting workers beaten at Chinese iPhone factory
Police beat workers protesting over a pay dispute at the biggest factory for Apple’s iPhone, whose new model is delayed by controls imposed as China tries to contain a surge in COVID-19 cases
9:36PM ( 14 hours ago )
AP Business - Economy
Most Ukrainians left without power after new Russian strikes
A punishing new barrage of Russian strikes on Ukrainian infrastructure has caused power outages across large parts of the country as well as neighboring Moldova, piling more damage onto Ukraine’s already battered power network and adding to the misery for civilians as winter begins
6:28PM ( 17 hours ago )
State: New York's first pot crop jeopardized by court fight
New York officials are warning a judge that a court fight over licensing rules for marijuana dispensaries could wind up hurting small farms that just harvested their first cannabis crop
6:07PM ( 18 hours ago )
Most Ukrainians left without power after Russian strikes
Russia has targeted Ukraine’s battered power infrastructure with another barrage of strikes, forcing the country’s last three fully functioning nuclear power plants to disconnect from the grid, the Energy Ministry said, and leaving “the vast majority of electricity consumers” without power
10:55AM ( 1 day ago )
AP Business - Industries
'Stock up on blankets': Ukrainians brace for horrific winter
Officials say Ukraine could face rolling blackouts through March because Russian airstrikes have caused what they call “colossal” damage to the power grid
5:25PM ( 1 day ago )
US stocks rise, strong earnings send retailers higher
Stocks rose on Wall Street and solid earnings helped jolt a mix of retailers higher ahead of the Thanksgiving holiday in the U.S. The S&P 500 rose 1.4% Tuesday
5:24PM ( 1 day ago )
OECD forecast: High rates, inflation to slow world growth
Hobbled by high interest rates, punishing inflation and Russia’s war against Ukraine, the world economy is expected to eke out only modest growth this year and to expand even more tepidly in 2023
5:18PM ( 1 day ago )
AP Business - Utilities
Bombed, not beaten: Ukraine's capital flips to survival mode
Residents of Ukraine’s bombed but undaunted capital clutched empty bottles in search of water and crowded into cafés for power and warmth after the latest onslaught of Russian missile strikes
12:18PM ( 3 minutes ago )
Central European PMs stress shared ties amid friction on war
The leaders of four Central European countries have emphasized issues that tie them together and downplayed those that have caused divisions during a summit in Slovakia
12:09PM ( 13 minutes ago )
Twitter, others slip on removing hate speech, EU review says
European Union data shows that Twitter took longer to review hateful content and removed less of it in 2022 compared with the previous year
12:01PM ( 20 minutes ago )
Iran arrests outspoken player amid World Cup scrutiny
Iran has arrested a prominent former member of its national soccer team over his criticism of the government
11:56AM ( 26 minutes ago )
Walmart manager kills 6 in Virginia in another mass slaying
Police and witnesses say a manager at a Virginia Walmart pulled out a handgun before a routine employee meeting and began firing wildly in the break room, killing six co-workers and wounding at least six others
11:44AM ( 37 minutes ago )