Fwd: Daily Briefing: Iran strikes intensify | UK to ‘cut climate aid’ | ‘Rampant greed for oil’

[Loretta Lohman]

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Snapshot News • Energy facilities attacked in Iran and Qatar, sending prices soaring | New York Times • UK to cut climate aid to developing countries by 14% to £2bn a year in ‘refocus’ | Guardian • US: Trump waives US shipping law for oil and gas in bid to lower prices | Guardian • UK: Stopping gas dictating UK energy price could cut bills by £200, thinktank says | Guardian • ‘There is enough land to deliver our vision': Defra unveils new land use framework for England | BusinessGreen • Brazil: Lula's government launches plan to reduce emissions after clashes with agribusiness over deforestation | Folha de S.Paulo • China close to tapping commercial oil stockpiles, FGE says | Bloomberg Comment • We need to be honest about Iran – and how our rampant greed for oil is causing mayhem | George Monbiot, Guardian • Silver linings to the heavy cloud of higher energy prices | Chris Giles, Financial Times Research • New research on how experience of extreme weather changes perception of climate risk, soil-moisture drought and how beavers affect the carbon cycle. Other stories • Ten EU members press Brussels to keep giving industry free carbon permits | Reuters • Oil, gas majors cut green spending for first time since 2017 | Bloomberg • Google rerouted hundreds of flights to cut climate-warming contrails | New Scientist News Energy facilities attacked in Iran and Qatar, sending prices soaring Ravi Mattu and Rebecca F Elliott, The New York Times The South Pars gas field – a “giant offshore natural gas field” shared by Iran and Qatar – has been hit in an airstrike, reports the New York Times. This is “one of the most significant energy sites to be hit since the US-Israeli air war against Iran began nearly three weeks ago,” according to the newspaper. Separately, the New York Times says: “South Pars is a cornerstone of Iran’s energy supply, accounting for as much as 70% of the nation’s gas production. Initial reports indicated damage to sections of the gas field that make up nearly 12% of Iran’s total gas production, analysts said.” The Guardian says: “The strikes were the first time facilities associated with the production of fossil fuel energy had been hit in the conflict, rather than sites associated more generally with the oil and gas industry.” The New York Times notes that the airstrikes “also hit oil and petrochemical facilities in the southern city of Asaluyeh, where gas from the South Pars field is pumped for processing”. The Financial Times reports that in retaliation for the South Pars attack, Iran has “hit the site of the world’s largest liquefied natural gas facility in Qatar with a ballistic missile, inflicting ‘extensive damage’”. Bloomberg says: “Several LNG facilities at the Ras Laffan site, which typically produces about a fifth of global supply, were the subject of missile attacks, causing fires and extensive damage, QatarEnergy said in a statement on Thursday.” The New York Times reports that global oil prices have topped $112 per barrel. It adds: “Brent, the global benchmark for crude oil, settled on Wednesday at $107.38 a barrel, bringing the cost of the commodity up over 48% since the war began.” The Times reports that the attacks sent energy markets into “fresh turmoil”. Al Jazeera says: “Less than three weeks into the conflict, market watchers are seriously considering the possibility of [oil]prices surpassing $150 or even $200.” Bloomberg reports that European natural gas prices surged 35%. MORE ON OIL AND GAS Reuters reports that “Sri Lanka will introduce additional fuel-rationing measures”, while the Financial Times says “Indonesia faces fuel fears as half its population travels for Eid.” The Guardian has a story under the headline: “Fuel rations and no air con: south-east Asian nations race to conserve energy”. Agence France-Presse says the leaders of “import reliant Pacific nations” have "appealed for help”. Reuters reports that “Egypt’s energy import bill has more than doubled” since the war began. Bloomberg says Egypt “will begin curbing some electricity use, including by ordering shops and cafes to close earlier”.  Bloomberg reports that Australia has appointed a “fuel czar”. Reuters says that the prime minister Anthony Albanese has “urged Australians to avoid panic buying petrol and diesel”. The Independent reports on Indians “forced to cook using coal”, while Agence France-Presse reports on “Thai fishermen marooned by rising fuel costs”.  Politico says “anxiety is growing over Europe's unusually low gas storage levels”. Reuters adds that EU leaders “will attempt to find quick fixes to curb the ​jump in energy prices triggered by the Iran war when they meet for a summit on Thursday”. UK to cut climate aid to developing countries by 14% to £2bn a year in ‘refocus’ Fiona Harvey and Jessica Elgot, The Guardian The UK will cut its climate aid to developing countries by about 14%, to roughly £2bn per year, says the Guardian. The newspaper adds that, overall, the UK’s aid budget was cut to 0.35 of gross national income, following “bitter rows with the Treasury, which wanted deeper cuts owing to pressure on spending resulting from the war in Iran”. It continues: “Climate spending will be ‘around’ £6bn over three years, the government said before the announcement on Thursday. But experts told the Guardian this was likely to mean less than £6bn, rather than more. Under the previous five-year arrangement, the UK provided £11.6bn over five years, or about £2.3bn a year. The previous earmark of £3bn in funding for nature and forest projects has also been scrapped. The climate funding pledge abandons the previous practice of setting five-year budgets, to allow for longer-term projects of the kind that experts said were more efficient.” [See Carbon Brief’s analysis of the UK’s climate finance, including its accounting rule change.] US: Trump waives US shipping law for oil and gas in bid to lower prices Lauren Aratani, The Guardian US president Donald Trump has issued a 60-day waiver of a US shipping law in an attempt to lower oil and gas prices, reports the Guardian. Bloomberg says: “The Jones Act mandates that cargo carried between US ports must be transported on US-flagged, -built and -owned ships. The waiver exempts those requirements for some cargoes, allowing foreign vessels to temporarily ship several products. That includes coal, crude oil, refined petroleum products, natural gas, natural gas liquids, fertiliser, anything using refined petroleum products as a primary feedstock and other energy derivatives.” According to the New York Times, “analysts and some shipping executives expect the move to have only a marginal impact on gasoline prices”. Politico, Axios, the Wall Street Journal, Al Jazeera and the Daily Mail also cover the story. Separately, Bloomberg reports that US vice president JD Vance and other “key Trump administration officials” will meet with oil executives today at the American Petroleum Institute. According to the outlet, the group will look for “ways to tame surging fuel prices after the US attack on Iran”. Politico and Reuters also cover the meeting. Bloomberg reports that “the price of US propane is climbing at almost twice the pace of the natural gas it’s made from”. Reuters reports that the Trump administration “is expected to announce soon that it will temporarily ​lift federal smog-cutting restrictions on summer-blend gasoline to curb rising energy ‌prices”. Meanwhile, the Associated Press says that “US companies will be allowed to do business with Venezuela’s state-owned oil and gas company after the Treasury Department eased sanctions”. Bloomberg says: “US fuel makers are boosting purchases of crude from Venezuela to the highest in more than a year.” Reuters reports on a US plan to help control global oil prices “with a swap of millions of barrels of oil from the Strategic Petroleum Reserve”. The Wall Street Journal reports that US crude oil inventories have increased, according to data released yesterday by the Energy Information Administration. MORE ON US The Associated Press: “A tiny desert community in Southern California reached 108 degrees on Wednesday, tying the highest March temperature ever recorded in the US.” The New York Times: “The Federal Emergency Management Agency said Wednesday it would relaunch a canceled grant program that had helped states invest billions of dollars in projects that made local communities more resilient to floods, fires and other disasters.” Inside Climate News reports that “US House Democrats proposed legislation on Wednesday to restore clean energy tax credits revoked by Republicans last year through the One Big Beautiful Bill Act”.  Reuters says: “The US government on Wednesday held its ​most successful sale ever of oil and gas drilling rights in Alaska's National Petroleum Reserve, attracting $163m in ‌winning bids.” Bloomberg reports that home insurance costs are rising faster than inflation in the US. The Los Angeles Times says: “Even low-risk homes are caught up in California’s climate-driven insurance crisis.” UK: Stopping gas dictating UK energy price could cut bills by £200, thinktank says Matthew Taylor, The Guardian The Guardian covers a report from the Common Wealth thinktank, which finds that household energy bills in the UK could be reduced by up to £203 per year “by stopping expensive fossil gas setting the price of energy in the UK”. [See Carbon Brief’s new Q&A on why gas currently sets the price of electricity.] The newspaper says: “Under the existing system, gas – the most expensive form of electricity production in the UK system – set the price of energy 85% of the time in 2024 in the UK, even though it generates only about a quarter of Britain’s electricity. This means that, as the cost of gas rises further amid the US and Israeli war on Iran, consumers may face huge increases on their household bills this year. However, the [new report] sets out how the government can cut the link between gas prices and electricity bills, saving consumers hundreds of pounds a year and stopping renewable energy companies, which are being paid the price of expensive gas, from reaping unearned windfalls.” MORE ON UK ENERGY Green Party leader Zack Polanski has called on Keir Starmer to extend the energy price cap beyond June, reports BusinessGreen. The Financial Times adds that Polanski has promised to “put aside £8.4bn” to stop energy bills rising, if he wins the next general election. The Press Association reports that Ed Miliband has warned energy firms “not to rip off businesses”. He says pricing needs to be “fair, transparent and fully justifiable”, according to the newswire.  Bloomberg reports that Offshore Energies UK has said “faster reform of the UK’s North Sea windfall tax could significantly cut reliance on LNG imports”. The Daily Telegraph reports that the owner of the Rosebank oil field has said it “could be producing millions of barrels a day by the autumn, if Ed Miliband approves the North Sea project”. The Daily Express says: “Labour MPs voted down calls to scrap an increase in petrol duty, despite warnings that the Iran war is already pushing up fuel prices.” Separately, the newspaper claims that petrol and diesel could be “rationed” across the UK. ‘There is enough land to deliver our vision': Defra unveils new land use framework for England Michael Holder, BusinessGreen The UK government has published its land use framework, the “first ever formal policy framework for better managing how land is used across England”, reports BusinessGreen. The outlet adds: “The government said the new framework would help enable its targets to build a clean power system by 2030, build 1.5m new homes and protect 30% of land and sea for nature by 2030, all while increasing food production and enhancing climate resilience.” The Guardian reports that, under the framework, around 7% of England’s land would be “given over to nature, forests and renewable energy, to meet the UK’s environmental targets”. It adds: “Only about 1% of England’s land is likely to be needed for solar and windfarms and other renewable energy, according to the report, but this estimate may already be in need of an update, as the Department for Environment, Food and Rural Affairs has admitted that it did not include any increased needs for water and energy from the building of new AI datacentres.” MORE ON UK Reuters reports that the government is “seeking to change planning rules to allow business and public ​sector organisations like schools in England ‌to install small wind turbines without needing planning permission”. BusinessGreen says that, under the plans, “businesses and public sector organisations” would be allowed to “install one turbine up to 30 metres tall without submitting planning proposals”.  BBC News reports that the renewable energy industry and the Welsh government have struck a deal to speed up delivery of windfarms, solar parks and tidal power schemes. The Daily Telegraph: “Electric vehicle drivers should be allowed to use bus lanes and given free parking, according to Shell.” The Financial Times says: “The UK is to throw a tariff cordon around its steel industry in a bid to protect British steelmakers from a glut of Chinese steel.” BBC News adds: “Imported steel quotas will be lowered and anything brought in above that level will be subject to a new 50% tariff, the business department said.” The climate-sceptic Daily Mail says “the government last night signalled the end of virgin steel making in Britain to meet net-zero commitments”. Brazil: Lula's government launches plan to reduce emissions after clashes with agribusiness over deforestation João Gabriel, Folha de S.Paulo There is continuing coverage in Brazil’s media about the nation’s new climate plan, announced on Monday. Brazil’s Folha de S.Paulo reports that Lula’s government has “launched a plan to reduce Brazil’s emissions by between 49% and 58% by 2035, compared to 2022 levels”. The outlet adds the move follows “months of disagreements with the agriculture ministry that nearly derailed the program”. It continues: “The ministry, which took part in drafting it, later criticised the plan, tried to reduce its responsibilities and blocked its launch during COP30, held in November in Belém…To address agribusiness demands, the government divided responsibilities into sectoral plans. The most demanding targets were assigned to public areas (a reduction of 155% to 156%) and private rural areas (109% to 110%). The agriculture plan, related to productive activity, received a milder target: between a 7% reduction and a 2% increase. Industry and energy may increase emissions by up to 34% and 44%, respectively.” MORE ON LATIN AMERICA In an “environmental blow”, BioBioChile reports that Chile’s new right-wing government has revoked “43 decrees from the [previous government] which had created national parks and reserves, plus the creation of a new National Council for Sustainability and Climate Change”. Paraguay’s government has announced cuts to environmental, climate and pesticide control policies, according to Consenso. Infobae covers how El Salvador plans a new “first-of-its-kind climate insurance scheme” to protect its east coast “against climate extreme events and safeguard the local economy”. The Financial Times says: “Two vessels heading for energy-starved Cuba carrying Russian oil and fuel are due to arrive as early as next week in defiance of US President Donald Trump’s energy embargo.” Bloomberg reports that “Colombian presidential candidate Paloma Valencia said that investments in oil, natural gas and mining can lift its people out of poverty.” Reuters says: “Brazil secured the capacity for up to 19 gigawatts of electricity ​from thermal and hydro power stations over the coming decade or more on Wednesday, representing ‌the biggest ever power deal of its kind in the South American nation.” China close to tapping commercial oil stockpiles, FGE says Bloomberg China is “close to tapping its vast commercial oil reserves” with refiners starting to take around 1m barrels a day “over the next four to six weeks” amid the war in the Middle East, reports Bloomberg, citing industry consultant FGE NexantECA. State-run newspaper China Daily says that the country’s oil sector has maintained a steady supply to power the country, adding that the “resilience” is anchored by “strategic crude oil reserve and an extensive network of overland pipelines”. The resilience also stems from a “diversified energy supply system”, reporter Liu Xuandi writes in the state-supporting newspaper Global Times. An editorial by the 21st Century Business Herald says that energy price “volatility” may prompt more countries to increase investment in “green energy”, bringing “benefits” to China. China would save more than $28bn a year in “reduced oil imports” through its “giant fleet” of electric vehicles (EVs), reports Bloomberg, citing thinktank Ember. MORE ON CHINA An article by Study Times says that “zero-carbon factories” represent the “frontier stage” of low-carbon development in manufacturing. 21st Century Business Herald says China has 8,336 “green factories”, whose output accounts for 22% of the manufacturing sector, citing the MIIT. The Washington Post reports that China is stepping in with solar energy to help Cuba amid the US’s oil supply blockade. Oil used for chemicals will become a “core pillar” supporting crude oil demand during the 15th “five-year plan”, reports Beijing News. Science and Technology Daily reports that China’s installed geothermal power capacity will reach 500 megawatts by 2035. China’s first “asset-backed security backed by household distributed solar power systems” has begun trading, reports Yicai. Lu Jiajun of Zhejiang University writes in China Daily that China strengthened “urban resilience” through local action and financial resource mobilisation. Comment We need to be honest about Iran – and how our rampant greed for oil is causing mayhem George Monbiot, The Guardian Guardian columnist George Monbiot argues that “oil has empowered capitalism”. He says that “the world’s military power exists in large part to deliver the profit from resources – especially oil – to banks and shareholders, commodity traders and asset managers, hedge funds and private equity companies”. He continues: “As the hydrocarbon industries and their financial backers find themselves threatened by green technologies, their grip on governments and the media has tightened…Politics has become harsher, less open and less tolerant.” He says that by reducing our dependency on oil, we can “defuel the greatest violence human beings have ever waged against each other: the degradation of all our lives through climate breakdown”. He concludes: “Concentrated fossil power leads to concentrated political power…Overthrow our demand for them, and we overthrow much of the current tyranny. Greener, cleaner, cheaper, kinder, fairer: what a beautiful world we could have.” MORE ENERGY COMMENT David Rundell, former chief of mission at the US embassy in Saudi Arabia, writes in the Daily Telegraph that “Tehran’s ability to strike desalination plants, vital to water supply in the region, poses an existential threat to six Arab states”. Greg Jericho, Guardian columnist and chief economist at the Australia Institute, writes that the Australian government “must seize the moment and start taxing gas companies”.  Ilan Kapoor, a professor at the faculty of environmental and urban change at York University, writes in Al Jazeera that the “deeper objective” of the US and Israel escalating their attacks on Iran is “safeguarding the mobility of oil – the lifeblood of the global capitalist economy”.  Steffan Hertog, a professor of government at the London School of Economics, writes in the Financial Times that  “the highly globalised UAE has felt the impact of conflict more than insular Saudi Arabia”.  Silver linings to the heavy cloud of higher energy prices Chris Giles, Financial Times Financial Times economics commentator Chris Giles focuses on the “silver linings” of the current high energy prices. He says there is "nothing good about the energy price shock”, adding that “the longer the war lasts, the more the economic outlook for Europe and the UK will deteriorate”. However, he notes that “natural gas consumption has fallen and resilience has improved across Europe and in the UK”. For example, he says that “Europe’s natural gas consumption has fallen as GDP expanded, given a contraction in the output of energy-intensive industries”. He adds that “low marginal cost renewables are pushing the most expensive gas generators out of the market more often, gradually delinking power prices from those of fossil fuels.” Finally, he says that in the UK, energy windfall taxes are “still in place”.  MORE UK COMMENT The Lex column in the Financial Times says that “Spain is a role model in weathering Iranian oil shocks”, adding that “the country’s speedy rollout of renewables has put a lid on electricity bills”.  The Independent’s chief business commentator, James Moore, writes that he can see “fuel rationing [in the UK] coming down the road – fast”. Climate-sceptic Times columnist, Juliet Samuel, claims that “the UK is prioritising atomic power, but to succeed it must display the vigour that made South Korea an industry pioneer”. In the Daily Telegraph, world economy editor Ambrose Evans-Pritchard argues that “Britain should max out on both renewables and North Sea oil and gas”, while climate-sceptic columnist William Sitwell claims the “National Trust has fallen victim to net-zero zealots”. The climate-sceptic Daily Mail has published an editorial claiming that Labour’s new steel strategy is “all about flaunting the party’s green credentials and rushing headlong towards net-zero”, without considering “national security”. Research Land-use and land-cover change intensified soil-moisture drought in half the world over 1901-2014, according to models | Environmental Research Letters Beavers can convert stream corridors to “persistent” carbon sinks | Communications Earth & Environment Experience of extreme weather raises public perception of climate risk and weakens the role of ideology in Australia, the UK and US, especially among right-leaning individuals | Weather, Climate and Society Other stories Ten EU members press Brussels to keep giving industry free carbon permits ​Alan Charlish, Karol Badohal, Philip Blenkinsopp and Kate Abnett, Reuters Oil, gas majors cut green spending for first time since 2017 Emma Sanchez, Bloomberg Google rerouted hundreds of flights to cut climate-warming contrails Alex Wilkins, New Scientist How the energy shock could derail the AI boom Jon Sindreu, Reuters Rolls-Royce scraps goal to go all-electric by 2030 Lauren Almeida, The Guardian Google ties data center to 20-year power deal, solar investment Josh Saul and Julia Love, Bloomberg Carney climate plan at risk as Canadian oil companies stress need to boost production Amanda Stephenson, Reuters Belgian court postpones ruling in TotalEnergies climate case Charlotte Van Campenhout and Inti Landauro, Reuters The fight over New Jersey's tough environmental justice law is now in the courts Emilie Lounsberry, Inside Climate News Fossil fuels? No thanks. Why Trump's Iran war is pushing EU towards renewables Zia Weise, Politico Court upholds EU Commission green finance label for bioenergy Gianluca Lo Nostro ​and Kate Abnett, Reuters 'They called me a water terrorist': exiled Iranian scientist wins global prize Rachel Salvidge, The Guardian Why tech giants are ditching the power grid Rebecca F Elliott and Harry Stevens, The New York Times Clean fuel producers reject airline concerns over SAF mandates Euractiv European consumers seek out solar, EVs as energy prices surge Jessica Shankleman and Eva Brendel, Bloomberg Meeting surging demand for AI memory chips has a climate cost Aaron Clark, Bloomberg A robust future? Why Brazil’s ‘bitter’ coffee is thriving as the climate crisis hits global crops Paula Moura, The Guardian What is solar panel battery storage and how does it work? Howard Mustoe, The Independent What a 5-minute-charge Chinese EV means for the European market Laurence Sleator, Times Landmark deal to share Chile's lithium windfall fractures Indigenous communities Chloé Farand, Climate Home News Comment: Can we afford more global warming? Richard Richels, Henry Jacoby, Gary Yohe, Kristie Ebi and Bud Ward, Climate Cafe Comment: Trump's energy emergency is self-fulfilling Liam Denning, Bloomberg This edition of the Daily Briefing was written by Ayesha Tandon, with contributions from Anika Patel, Henry Zhang and Yanine Quiroz. It was edited by Leo Hickman. Forwarded this email? Subscribe for free. Carbon Brief Runway East, 18 Crucifix Lane, London, SE1 3JW, UK You are receiving this email because you subscribed to Carbon Brief's email marketing. Unsubscribe me