Investing

How the UK's looming energy crisis will overwhelm its next Prime Minister

David Callaway

Published: August 30, 2022 6:54 am

Last Updated: August 30, 2022 10:50 am

In today’s edition:

— Britain’s new Prime Minister will soon face the country’s worst energy crisis in a generation.

— Silicon Valley is starting to bet on underground renewable energy.

— Climate change isn’t all bad. Just ask French winemakers.

— So, what will the new U.S. ambassador to the Arctic actually do?

Britain will have a new Prime Minister next week after a six-week leadership race in its ruling Tory party that has all but ignored climate policy, even as the biggest energy shortage in decades is taking shape for this winter.

By most accounts, Liz Truss will be named Conservative Party leader and assume the role of Prime Minister. Truss served several roles in Boris Johnson’s previous government, including environmental minister. But it’s her pro-fracking, anti-solar reputation that is attracting headlines, as campaign promises for tax cuts head toward a painful realization once she becomes PM that government handouts on soaring energy costs are not only going to be necessary, but vital.

As average energy costs are expected to soar 80% in coming months, energy traders are increasingly demanding that regulators and grid operators present emergency plans for the potential day when cross-border energy trading collapses…

Subscribe to Callaway Climate Insights to keep reading this post and get 7 days of free access to the full post archives.