Posted on 08/26/2022 9:14:50 AM PDT by SpeedyInTexas
Economic war with Russia is likely to keep prices high and send growth into reverse but specter of rationing is fading.
There is no end in sight for Europe’s surge in energy prices. That could be just what the continent needs to avoid the devastating effects of having to ration natural gas this winter.
This is because prices are so high—many times their level from last year—that they are forcing Europeans to save fuel and secure alternative supplies. That has resulted in rising gas reserves and a higher likelihood that the economy will shrink but not crash outright in the next six months.
(Excerpt) Read more at wsj.com ...
Archived version: https://archive.ph/EZFeS
You have an interesting way of looking at the world.
Future rioters in the streets complaining over high energy prices may have another point of view.
;-)
Point!
Yes, but the shift in future supply will not mitigate the shock wave spreading across Europe this winter and energy prices are unlikely to decrease as long as they allow Greta to run their energy policy.
Inflation in the UK and in other major European economies is shocking and as we are going to find out here in the US, it impacts every facet of an economy from top to bottom. I would argue that energy prices are the single biggest factor in the inflationary spiral we now see throughout the world.
There is no end in sight for Europe’s surge in energy prices. That could be just what the continent needs to avoid the devastating effects of having to ration natural gas this winter.
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High priced energy is just what you need. File this under “slavery is freedom”.
When electrical prices rise more than five fold thus far in 2022, yes there will be plenty of electricity for those who have the money to turn on the lights.
For those people on limited incomes—they better have some rich friends this winter.
French Electricity Price Exceeds 1,000 Euros for First Time
https://finance.yahoo.com/news/french-electricity-price-exceeds-1-115417253.html
I actually agree with all your comments.
“Yes, but the shift in future supply will not mitigate the shock wave spreading across Europe this winter”
Very true. But each year gets easier/better. Important thing is to have supply, even if expensive supply.
“I would argue that energy prices are the single biggest factor in the inflationary spiral we now see throughout the world.”
Very true. On the positive side, the US uses much less energy per dollar of GDP than years and decades ago. Interesting chart here: https://www.statista.com/statistics/189759/us-energy-consumption-per-real-dollar-of-gdp-since-1975/
I doubt if there is rioting in Europe this winter over energy costs. But people are definitely going take shorter showers and wear a sweater in the winter to save on costs.
In the rest of the world which is poorer, riots over energy and food costs are very possible. It is what it is.
The reason energy prices have spiked so much is not Russia, but Joe Biden and his handlers.
Trump got the USA’s production numbers skyrocketing with strong support of advanced technologies and fracking and Drill, Baby, Drill.
Imagine if Biden didn’t close Keystone, deny oil leases, set up the government to go after (Lawfare) energy companies, denigrating and accusing them of evil BS about Gaia and climate change, pushing EVs and “green” energy for his donors $ benefit...
It’s a wonder we still HAVE an energy sector.
Well, it’s all on the democrats. Personally, I think Russia was/is wrong to invade the Ukraine—it is a direct violation of the UN charter, but then so was Iraq. Attacking Afghanistan was correct after 9/11 but not the 20 years of nation building. In any case, if Trump was still president, we’d probably not had the Russians invading...
But the vilification and opposition of the American energy sector under Biden has really hurt Europe, as they could have easily weathered the energy storm with Trump’s robust and positive energy policies.
Let me also add that at least the Bush admin went to the UN repeatedly to get approval.
Even if so much was based on false premises, we still tried to act within global law.
Putin had no time for that. The difference between a lawful and lawless nation...
The reason energy prices have spiked so much is not Russia, but Joe Biden and his handlers.
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Well, this is how it is. The price for postponing the total collapse of the US by perhaps a few years is the cannibalization of Europe.
And we cannot blame the Usurper for doing this.
Now, what is there for the idiot Europeans ?
Not saying it will happen, right, but kicking the woke to the curb!
They need a Trump--or a MEGA--as much as we do.
No Climate lies, Muslim/African love, go back to believing in God, and having more babies.
But defying and demonizing all their Western Cultural legacies is what makes them idiots to begin with.
A lot of this is due to Soviet propaganda and infiltration of their media and academia by the KGB for 70+ years, the discontentedness of the unnecessary deaths after WWI, and an equal amount of the shock of the horrors of the Nazi's that pushed the good nationalists and conservatives right of the political discourse of European nations.
“French Electricity Price Exceeds 1,000 Euros for First Time”
Specifically, the French price is now $1130 per megawatt-hour, or $1.13 per kilowatt-hour. The US average price is 0.11 per kilowatt-hour, so the French price is 10 TIMES HIGHER than the US (or, for you Globalists, the US price is 10 times lower than the French price).
A typical average residential house electric bill (over all 12 months of the year), in Texas, is about $150 per month. Use the same energy in France, and the bill will be $1500 per month, or about $16,000 more, post tax, than Texas.
So, for the French that have $16,000 laying around, they’ll be fine. Others, good luck!
To translate that into terms
“Availability at EDF’s (France) reactors is as low as 42% as of Friday, according to data from grid operator RTE.”
Note that France WAS producing 70% of its power from nuclear. However, Greta has ordered them to be phased out, so the operators are now minimizing preventive maintenance, thus the incredibly low availability now.
In other words, the 75% storage target is 20% of the gas actually used, or 15% of the gas needed. That leaves an 85% shortfall relative to requirements, which can only be satisfied from continued supplies from Russia.
Whistling past Joe's basement in Europe.
OK ZZpeedy. The Eurotrash are having to side between eating and heating their homes and they will revolt if it gets any worse or just continues.
Now high prices are a good thing to Bidenistas.
Oh , I thought they would Politicians for heat
“European Energy Rationing This Winter Is Looking Less Likely”
Rationing by price will certainly work, if governments have the stomach to carry it through. But it also means that usage of the product will go way down, due to the super-high price. And energy-intensive industries will shut down and people will live in war-time conditions.
...but yes, they will not run out of gas and power will stay on, if they let the market (that they hosed up) do its magic.
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