Latest news with #FlorenceSchmit
Wall Street Journal
3 days ago
- Business
- Wall Street Journal
European Gas Price Rises After Israeli Strikes Alarm Markets
0752 GMT – European natural-gas prices rose above 37 euros a megawatt hour in early trade after Israel's strikes against Iran raised fears of a wider regional conflict that could disrupt global flows. 'So far TTF prices are still contained, but there is a higher risk premium now back in the market,' says Florence Schmit, energy strategist at Rabobank. Traders are concerned about potential disruptions in the Strait of Hormuz, where roughly a fifth of global LNG passes through. 'Qatar, Oman and the UAE operate roughly 18% of the world's LNG supply, so any disruptions to flows from especially Qatar could easily see TTF prices back in the EUR100/MWh,' Schmit says. The benchmark Dutch TTF contract currently trades 2.9% higher at 37.24 euros a megawatt hour. (
Yahoo
24-05-2025
- Business
- Yahoo
EU to sanction Nord Stream 2 pipeline as Russia rejects Ukraine ceasefire, Bloomberg reports
The EU is close to restricting the Nord Stream 2 pipeline in a new round of sanctions as Russia refuses a ceasefire in its war against Ukraine, Bloomberg reported on May 23. "It is a political move, aimed at cementing the EU's plan to phase out Russian gas imports by 2027," Florence Schmit, an energy strategist in London, told Bloomberg. The decision to sanction the non-operational Nord Stream 2 gas pipeline will take into account progress in peace talks between Russia and Ukraine, Bloomberg reported, citing unnamed sources familiar with the matter. Russia has refused a ceasefire with Ukraine, and peace talks between the two nations in Istanbul on May 16 were largely inconclusive. Moscow has repeatedly signalled their unwillingness to move forward in peace negotiations. Germany supports the newly proposed EU sanctions, which would target the Nord Stream pipelines, spokesperson Stefan Cornelius said on May 19. "Political clarity should also start to quell some volatility in gas markets that was related to the on-and-off discussions about Russian gas supplies," Schmit told Bloomberg. The European Commission will begin discussions with member states as early as May 23, unnamed sources familiar with the matter said. German "Chancellor (Friedrich) Merz is working with U.S. and European partners on new sanctions against Russia... the intention of these sanctions is to achieve agreement from Russia to an unconditional truce," Cornelius told German outlet, Tagesshau. Russian Foreign Minister Sergey Lavrov claimed on March 26 that talks were ongoing between the U.S. and the EU to resume flows of gas in the Nord Stream pipelines. Lavrov on May 21 confirmed that Moscow has no interest in negotiations and agreeing to a ceasefire in Ukraine, saying, "We don't want this anymore." At the Istanbul peace talks, Moscow reiterated maximalist demands, including that Ukraine accept the loss of Crimea and four eastern regions. Russian President Vladimir Putin did not attend the peace talks in Turkey, despite an invitation from President Volodymyr Zelensky to meet him face-to-face. Read also: Ukraine must look beyond the EU for its agricultural future We've been working hard to bring you independent, locally-sourced news from Ukraine. Consider supporting the Kyiv Independent.
Yahoo
29-03-2025
- Business
- Yahoo
Germany's Power Market Bailed Out by Gas Plants as Wind Plunges
(Bloomberg) -- Germany added more onshore wind turbines in the past decade than any other European country, but a severe slump in output this month shows how the nation's energy system is still at the mercy of the weather and its old fossil-fuel plants. Gold-Rush Fever Returns to Historic New Zealand Mining Town Why Did the Government Declare War on My Adorable Tiny Truck? How SUVs Are Making Traffic Worse Trump Slashed International Aid. Geneva Is Feeling the Impact. These US Bridges Face High Risk of Catastrophic Ship Strikes Wind speeds slumped about 12% in March from a year earlier, because of a North Atlantic ocean pattern that put Germany in an unusually long-lasting high-pressure bullseye. That sent average daily power generation from the nation's thousands of turbines to its lowest level since 2016 and kept power prices elevated. The slump highlights how once again Europe's biggest power market has to be bailed out by its legacy coal and gas plants and how difficult it will be for Germany to substantially reduce emissions from its power sector. Not only are those stations more expensive to operate, they lead to more pollution. 'Low wind levels, despite higher installed capacity, means fossil-fuels have remained a leading component of the generation mix,' said Florence Schmit, an energy strategist at Rabobank. 'German and by default neighboring European power markets are struggling' to see substantial declines, she said. As a result, average day-ahead prices are 48% higher this month than a year ago, and almost at the same levels as the tail end of Europe's energy crisis in 2023. The low wind speeds have been driven by the path of air pressure linked to the North Atlantic Oscillation, a see-saw pattern located over the ocean between the Azores and Iceland, according to data from Atmospheric G2. That path split in March, sending one low-pressure track south into Spain and another across Scandinavia, said Matt Dobson, a meteorologist with MetDesk. The split created a persistent area of high pressure over the UK and Germany, which smothered wind speeds. But it did create unseasonably warm, sunny conditions that led solar power output to surge in the region. 'March 2025 has certainly been remarkable for renewable generation over northwest and Central Europe,' Dobson said. In the winter, similar high-pressure patterns also lead to low wind speeds and they become a magnet for low-lying clouds, he said. That's a combination that can create 'Dunkelflaute' conditions with low power generation from wind turbines and solar panels. The shift to more renewables shows no sign of slowing down. Germany is set to add record amounts of wind capacity every year until 2030, according to BloombergNEF. But as nations continue to add renewable capacity, balancing the intermittent generation will be more of a challenge with storage not yet at scale to handle the swings in wind generation. According to BNEF, wind levels held below the the 10-year average for 38 consecutive days, only rising above it on March 21. Based upon the atmospheric pressure trends, BNEF sees Germany's wind deficit persisting into next month. The deficit of wind boosted the reliance on gas-fired generation, which was up 51% in February year-on-year, said Jess Hicks, an analyst at BloombergNEF. The source has remained high in March too, even as solar power is rising in prominence, she said. Read: Europe's Dark, Windless Days Show Risk of Renewables Rollout Business Schools Are Back Israel Aims to Be the World's Arms Dealer Google Is Searching for an Answer to ChatGPT A New 'China Shock' Is Destroying Jobs Around the World Trump's IRS Cuts Are Tempting Taxpayers to Cheat ©2025 Bloomberg L.P. Sign in to access your portfolio
