2025-11-08 10:11

Brazil, COP30 host, produces over 80% of energy with renewables Critics of coal power bemoan political clout of plant owners Candiota coal plant sells power on spot market Local community depends on jobs at coal mine, cement company CANDIOTA, Brazil, Nov 8 (Reuters) - One of Brazil's last coal plants roared back to life in July after a powerful business group invested millions to keep its turbines turning in the southern mining town of Candiota. The plant's owner Ambar, controlled by billionaire brothers Wesley and Joesley Batista, is betting that even Brazil, where cheap renewable energy sources produce over 80% of electricity, would not soon stop burning coal, a major driver of global warming. Sign up here. Brazil, as host of the United Nations climate summit COP30 this month, is urging nations to transition away from fossil fuels. President Luiz Inacio Lula da Silva lamented at a leaders summit in the Amazonian city of Belem this week that the war in Ukraine had led to the reopening of coal mines. Yet Candiota and five other coal plants still produce 3% of Brazil's electricity, illustrating how pressure from interest groups and lack of a transition plan can keep coal burning, even in a renewable energy powerhouse. "Brazil absolutely has the potential, with all the solar resources in addition to the hydro and the wind, that it could basically close these coal plants down," said Christine Shearer, who monitors coal for the think tank Global Energy Monitor. "The strength of the coal lobby, particularly in these coal mining states, is the reason that you see these coal plants sticking around," she said. The Candiota plant's government contract expired last year, leading local businesses to shut down and many residents to leave town. The plant now sells energy on the spot market, helping to meet demand at peak hours when solar and wind generation fades. Brazil's Congress and federal government also have thrown a lifeline to coal plants. Last month, lawmakers approved a bill granting contracts until 2040 for plants run on domestic coal, such as Candiota. Lula could still veto it. NEW AUCTION OPEN TO COAL The Brazilian government also made coal eligible for a planned capacity auction in March, aiming to boost energy security by contracting thermal plants that can be quickly activated when wind and solar sources are not producing. Brazil's Ministry of Energy said the additional contracts would make the electric system more reliable, allowing more renewables to also enter the grid. The inclusion of coal surprised experts, who say coal plants are not quick to start and so lack the needed flexibility. Critics blame poor long-term planning for continued coal burning even as vast amounts of clean energy go unused due to weak demand and lack of transmission lines. They say this makes the government vulnerable to lobbying from coal and natural gas groups, despite higher financial and environmental costs. The billionaire Batista brothers bought the Candiota plant before it had a new contract in sight because "they saw a possibility of being successful with their pressure tactics," said Luiz Eduardo Barata, head of the National Front of Energy Consumers, a group critical of government support for coal. Environmental group Arayara, another critic of Ambar, is seeking to suspend the plant's environmental license in court. In a statement, Ambar said the coal that fuels its Candiota plant is "secure and widely available to the power system, making it ideal for ensuring supply reliability." The company denied relying on political influence to secure a new contract for Candiota or plants in its portfolio. Ambar accused critics of representing the interests of large energy consumers at the expense of smaller ones — "regardless of the needs of the power system, the environment or the Brazilian population." NO JUST TRANSITION Ambar's work to keep coal alive puts Brazil in the company of countries such as India and South Africa, where powerful interest groups have undermined efforts to wean the energy system off coal, which is key to local economies in places like Candiota. Shutting the coal plant there could lead to the loss of 10,000 jobs not only at Ambar's operation but at the local mine feeding it and cement factories repurposing its ashes. Jose Adolfo de Carvalho Junior, who manages a coal mine in Candiota, said the cost of shutting down the region's only industry with quality jobs was not worth it. "Will turning this off solve the planet's carbon problem? No, it's literally a drop in the ocean," he said. The uncertain future of the plant has residents on edge about their livelihoods, said Graca dos Santos, who was fired from the plant after it lost government contracts. The life of the plant "needs to be extended so that a just energy transition can happen," she said. "It's not fair to leave an entire population without work." Lula's government has no transition plan for Candiota and has not made much progress on plans for other coal plants. The Candiota region's beef, wine and olive oil sectors could employ coal workers with some retraining, said Joao Camargo, who founded a seed producers cooperative. "They didn't create any condition for the transition," he said. The head of the local coal miners' union, Hermelindo Ferreira, pointed at maps showing areas that would lose industrial activity and jobs if the Candiota plant shuts down. Still, confidence in coal's long-term prospects is slowly fading in Candiota, he admitted. Some workers have already moved to nearby towns in search of better employment. Even as he fights to save jobs, Ferreira said he is urging colleagues to learn new skills. He has earned a certification for maintenance on towers measuring wind speed, hoping the wind power industry will invest in the region. "You don't put all your eggs in one basket," he said. https://www.reuters.com/business/energy/why-coal-still-clings-renewable-energy-powerhouse-brazil-2025-11-08/

2025-11-08 05:18

MANILA, Nov 8 (Reuters) - The Philippines' weather bureau warned of life-threatening storm surges of up to five metres and destructive winds as Typhoon Fung-wong churns toward the country's eastern coast, where it is forecast to intensify into a super typhoon before making landfall on Sunday night. The typhoon's massive circulation, spanning 1,500 kilometres (932 miles), is already lashing parts of eastern Philippines with heavy rains and winds, PAGASA weather forecaster Benison Estareja said in a briefing. Sign up here. "It can cover almost the entire country," Estareja said. Fung-wong, locally named Uwan, is currently packing maximum sustained winds of 140 kph and gusts of up to 170 kph, and could intensify to 185 kph as it nears land, Estareja said, powerful enough to destroy homes, topple trees and structures. Up to 200 mm of rainfall is expected in eastern Philippine provinces, particularly in the Bicol region, as well as parts of Samar, raising the risk of widespread flooding and landslides, while northern and central Luzon could see 100-200 mm rainfall during its passage. PAGASA urged residents in low-lying and coastal areas to evacuate to higher ground and halt all marine activities, warning of destructive storm surges that could inundate coastal communities, and warned of violent winds. Several local governments have suspended classes for Monday, and the Philippines' flag carrier has cancelled some flights, ahead of Fung-wong's expected landfall. The warning comes just days after Typhoon Kalmaegi left a trail of destruction across the region, ripping through coastal communities, toppling trees, and shredding roofs and windows. Kalmaegi killed 204 people in the Philippines and five in Vietnam, displaced hundreds of thousands, and knocked out power across wide areas. Vietnam's disaster agency reported damage to nearly 2,800 homes, and said about 500,000 people remain without electricity. In the Philippines, raging floods destroyed homes and clogged streets with debris. Vietnam and the Philippines are highly vulnerable to tropical storms and typhoons due to their locations along the Pacific typhoon belt, regularly experiencing damage and casualties during peak storm seasons. In Thailand, Kalmaegi's lingering impact caused heavy rain and localised flooding in parts of the northeast and central regions. Scientists have warned that storms such as Kalmaegi are becoming more powerful as global temperatures rise. https://www.reuters.com/business/environment/philippines-warns-deadly-storm-surges-massive-typhoon-fung-wong-nears-super-2025-11-08/

2025-11-08 00:58

Nov 7 (Reuters) - Qcells, the U.S. solar manufacturing arm of Korea's Hanwha (000880.KS) , opens new tab, said it would furlough 1,000 workers at its Georgia factories because shipments of components it needs from overseas are being routinely stalled by U.S. customs officials. The announcement comes months after the company said some of its shipments of solar cells had been detained at U.S. ports under a 2021 law banning imports from China's Xinjiang region due to concerns about forced labor. Sign up here. Qcells has committed to investing $2.5 billion to build a complete U.S. solar panel supply chain to compete with China. The company manufactures cells in Malaysia and South Korea that are imported to be assembled into panels. It is also ramping up its U.S. cell manufacturing in Cartersville, Georgia. “Qcells expects to resume full production in the coming weeks and months. Our commitment to building the entire solar supply chain in the United States remains," Qcells spokesperson Marta Stoepker said in a statement. "We will soon be back on track with the full force of our Georgia team delivering American-made energy to communities around the country.” The company's detained shipments have been clearing customs, Stoepker said, but the delays have forced the company to curtail production. Qcells has implemented temporary reduced hours and furloughs for about half of its manufacturing employees at plants in Cartersville and Dalton, Georgia. It has also cut about 300 staffing agency workers. https://www.reuters.com/sustainability/climate-energy/qcells-furloughs-1000-workers-us-solar-factories-due-stalled-shipments-2025-11-08/

2025-11-07 23:49

BUENOS AIRES, Nov 7 (Reuters) - Argentine state-controlled energy company YPF (YPFDm.BA) , opens new tab swung to a net loss of $198 million in the third quarter, the company said on Friday, saying the loss reflected a deferred tax charge. The company's adjusted earnings before interest, tax, depreciation and amortization (EBITDA), a key measure of industry profitability, stood at $1.36 billion for the July-to-September period, down 1% from a year earlier and in line with expectations of analysts polled by LSEG. Sign up here. Revenues were $4.64 billion, YPF said, down 12% from the same quarter last year and a touch below analysts' $4.76 billion estimate. The company said its total hydrocarbon production was down 6% to 523,100 barrels per day. Shale oil production, however, surged by 35% year-on-year to average 170,000 barrels per day, and now represents 70% of the company's total oil output. Shale production reached a record in October, YPF said in a separate statement on Friday, reaching 190,000 bpd. YPF's performance is a critical indicator for Argentina's economy, which relies on the company's Vaca Muerta operations in its push to become a net energy exporter. The huge formation in western Argentina accounts for 64% of the country's oil production even though only 8% of it is under development. The formation is also vital to President Javier Milei's government, which needs to increase Argentina's energy exports to bolster its dollar reserves and build confidence in the government's ability to maintain a stable currency. In YPF's downstream business, which includes refining and marketing, refinery utilization was at 97%. Domestic fuel sales volume rose by 3% from the second quarter, as YPF gained market share. https://www.reuters.com/business/energy/argentinas-ypf-swings-q3-net-loss-198-mln-2025-11-07/

2025-11-07 23:07

Indexes: Dow up 0.16%, S&P 500 up 0.13%, Nasdaq off 0.21% Democrats propose a deal to end shutdown Tesla shareholders approve $1 trillion CEO pay package Microchip Technology falls following its disappointing sales forecast Expedia jumps after annual revenue growth forecast hike NEW YORK, Nov 7 (Reuters) - The Nasdaq closed lower but the S&P 500 and the Dow eked out late-session gains on Friday as investors turned the page on a roller-coaster week with economic worries, the longest-ever federal government shutdown, and sky-high tech stock valuations dampening risk appetite. All three major U.S. stock indexes spent much of the session sharply lower, but losses shrank, with the S&P 500 and the Dow turning higher late in the day following reports of progress on the congressional impasse which has resulted in the longest federal government shutdown in U.S. history. Sign up here. "A resolution to the shutdown will clearly improve sentiment, particularly at a time when the margin of error is narrow," said Terry Sandven, chief equity strategist at U.S. Bank Wealth Management in Minneapolis. "Stocks are at all-time highs and valuations are elevated, and if the shutdown gets resolved, it's one less thing weighing on the minds of investors." All three indexes lost ground from last Friday's close, with the Nasdaq registering its largest weekly percentage drop since late March/early April amid mounting concerns over inflated valuations of artificial intelligence-related momentum stocks, which have provided much of the upside muscle to the stock market's rally over recent months. "Ups and downs and periods of consolidation are part of the normal ebb and flow of a bull market," Sandven added. Concerns arising from the government shutdown were apparent in the University of Michigan's preliminary take on November Consumer Sentiment, which fell to its lowest level in over three years. Survey participants' assessment of current conditions plunged to its most pessimistic reading in the survey's history. Overall sentiment has slid 29.9% since November 2024, when U.S. President Donald Trump was elected to his second term in the Oval Office. The shutdown has also led to a blackout of official economic indicators, complicating the Federal Reserve's dual mandate of promoting full employment and price stability. "Flying in the dark in the absence of economic data due to the shutdown is weighing on investors as well, adding a layer of uncertainty," said Ryan Detrick, chief market strategist at Carson Group in Omaha. "We know earnings were strong, but the housing market is weak." "Clearly the labor market is weakening and investors are taking a 'sell first, ask questions later' mentality so far in November." On the trade front, Beijing has begun creating a new rare earth licensing program that could speed up shipments but is likely to fall short of Washington's hopes for a complete rollback of restrictions. The Dow Jones Industrial Average (.DJI) , opens new tab rose 74.80 points, or 0.16%, to 46,987.10, the S&P 500 (.SPX) , opens new tab gained 8.48 points, or 0.13%, to 6,728.80 and the Nasdaq Composite (.IXIC) , opens new tab lost 49.45 points, or 0.21%, to 23,004.54. Third-quarter reporting season continued to barrel toward its conclusion, with 446 of the companies in the S&P 500 having reported. Of those, 83% have delivered better-than-expected earnings, according to LSEG data. Analysts now predict year-on-year S&P 500 earnings growth of 16.8% for the July-September period, a significant improvement over the 8.0% annual growth. Microchip Technology (MCHP.O) , opens new tab shares dropped 5.2% after forecasting quarterly net sales below estimates. Tesla (TSLA.O) , opens new tab shareholders approved the largest corporate pay package in history for CEO Elon Musk. The electric vehicle maker's shares fell 3.7%. Shares of Expedia (EXPE.O) , opens new tab surged 17.6% after the travel platform reported solid bookings from its business-to-business segment. Block (XYZ.N) , opens new tab slumped 7.7% after missing third-quarter profit expectations, and Take-Two Interactive (TTWO.O) , opens new tab fell 8.1% following the company's decision to delay the launch of its popular video game Grand Theft Auto VI to November 2026. Advancing issues outnumbered decliners by a 1.44-to-1 ratio on the NYSE. There were 97 new highs and 195 new lows on the NYSE. On the Nasdaq, 2,422 stocks rose and 2,201 fell as advancing issues outnumbered decliners by a 1.1-to-1 ratio. The S&P 500 posted 14 new 52-week highs and 14 new lows while the Nasdaq Composite recorded 43 new highs and 323 new lows. Volume on U.S. exchanges was 20.15 billion shares, compared with the 20.77 billion average for the full session over the last 20 trading days. https://www.reuters.com/world/asia-pacific/wall-street-futures-struggle-traction-end-wobbly-week-2025-11-07/

2025-11-07 21:49

WASHINGTON, Nov 7 (Reuters) - The Trump administration will hold an auction for drilling oil and gas off the U.S. Gulf next month and has proposed another in a waterway in southern Alaska, it said on Friday. The lease sale in the U.S. Gulf of Mexico, which President Donald Trump refers to as the Gulf of America, will make about 80 million acres available. The sale, which will take place on December 10, will be the first of 30 sales in the region through 2040 that were included in Trump's tax law which he signed in July. Sign up here. The Bureau of Ocean Energy Management, an office of the Interior Department, also proposed to make about 1 million acres available for leasing in Alaska's Cook Inlet. The sale, scheduled for March 4 next year, would be the first of at least six Cook Inlet lease sales required by the law, scheduled annually from 2026 to 2028, and from 2030 to 2032. The sales align with Trump's policy of maximizing oil, gas and coal output while slashing regulations on fossil fuels and subsidies for green energy. "BOEM is now moving forward with a predictable, congressionally mandated leasing schedule that will support offshore oil and gas development for decades to come," Matt Giacona, acting director of the office, said in a statement. BOEM has set a 12.5% royalty rate, the lowest rate allowed, for both shallow and deepwater leases in both places "to encourage strong industry participation." https://www.reuters.com/business/energy/trump-finalizes-us-gulf-oil-lease-sale-proposes-alaska-sale-2026-2025-11-07/