WHAT’S HAPPENING TODAY: Good afternoon and happy Monday, readers! The Trump administration kicked off this week’s news on energy with new “secondary tariffs” on countries buying oil from Venezuela.
Today’s edition of Daily on Energy takes a trip around the world as Callie and Maydeen take a closer look at Apple’s plans to establish a clean energy fund in China, while Botswana considers building a massive 615 megawatt coal power plant.
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Plus, with Congress back in session, keep reading to find out which hearings and pieces of legislation our team will be keeping a close eye on this week.
Welcome to Daily on Energy, written by Washington Examiner energy and environment writers Callie Patteson (@CalliePatteson) and Maydeen Merino (@MaydeenMerino). Email cpatteson@washingtonexaminer dot com or mmerino@washingtonexaminer dot com for tips, suggestions, calendar items, and anything else. If a friend sent this to you and you’d like to sign up, click here. If signing up doesn’t work, shoot us an email, and we’ll add you to our list.
TRUMP UPS PRESSURE ON VENEZUELA: President Donald Trump said this morning that he plans to impose a 25% tariff on any nation that imports crude oil from Venezuela, expanding the administration’s recent economic pressure on the country.
The details: In a post to Truth Social today, Trump said he would be imposing a “secondary tariff” on Venezuela, claiming the country “has been very hostile to the United States and Freedoms which we espouse.”
“Therefore, any Country that purchases Oil and/or Gas from Venezuela will be forced to pay a Tariff of 25% to the United States on any Trade they do with our Country,” the president said.
The tariff is set to go into effect on April 2.
Some background: It comes roughly a month after the president said he would be revoking a concession agreement made between the Biden administration and Venezuelan President Nicolás Maduro in November 2022 that granted a production and selling license to Chevron Corp. This allowed the oil and gas giant to operate in the country, despite U.S. sanctions. Since the agreement, Chevron has been the only U.S. oil producer in Venezuela, producing around 200,000 barrels per day. The company indicated earlier this year that it was seeking to extend the current license granted by the previous administration.
The Trump administration’s reversal of the agreement and the newly announced tariff both appear to stem from the president’s frustrations over illegal immigrants from Venezuela entering the U.S. Today, Trump claimed that the country “has purposefully and deceitfully sent to the United States, undercover, tens of thousands of high level, and other criminals, many of whom are murderers and people of a very violent nature.”
The top buyer of Venezuelan oil is China. Other notable importers include Spain, Russia, Singapore, Vietnam, and India.
Read more from Callie here.
CLIMATE CHANGE IN PART DRIVING GLOBAL ENERGY DEMAND: The effects of climate change, like record-high temperatures, were a driving force behind the extraordinary rise in demand for energy worldwide, the International Energy Agency said today.
The details: In a new report released today, the IEA found that global energy demand rose by around 2.2% – dramatically higher than the 1.3% increase that occurred over 10 years between 2013 and 2023. The agency said the power sector was the main cause of this increase in demand, driven by record-high temperature, electrification, digitalization, and artificial intelligence.
Renewables have been deployed at record rates in the U.S. and other western nations, but global demand for coal still rose – in part thanks to high temperatures. The IEA said high temperatures – particularly in China and India – caused greater demand for electricity to power cooling systems like air conditioning.
The report also found that extreme temperatures played a key role in global carbon emissions increasing by 0.8% annually in 2024. This is still an increase, but the agency did note this was tempered by a growing number of renewables, nuclear, electric vehicles, and heat pumps available on the market.
Key quote: “What is certain is that electricity use is growing rapidly, pulling overall energy demand along with it to such an extent that it is enough to reverse years of declining energy consumption in advanced economies,” IEA Executive Director Fatih Birol said in a statement.
OTHER NATIONS WON’T FOLLOW U.S. EXIT FROM CLEAN ENERGY PARTNERSHIP, INDONESIA SAYS: Weeks after reports that the U.S. would be leaving the Just Energy Transition Partnership, a senior Indonesian official has insisted other nations won’t follow suit.
Quick reminder: The Just Energy Transition Partnership was first announced in 2021 and works to deliver around $45 billion to developing countries. The funds are primarily directed toward nations, including Indonesia, Vietnam, and South Africa, to help their governments transition towards cleaner energy solutions for their grids.
The details: Earlier this month, the U.S. withdrew from the partnership, causing Germany and Japan to announce their plans to support and lead the group in the Trump administration’s $2 billion absence. Trump’s withdrawal from other international climate agreements has sparked concerns that other countries could do the same, though Indonesia is confident the JTEP will not be further impacted.
“The U.S. exit will not reduce the commitment of nine countries to support Indonesia’s net-zero emissions push,” the country’s chief economic minister, Airlangga Hartarto said, according to Reuters.
Indonesia, which is looking to hit net-zero by 2060, is set to receive $20 billion through JTEP to reduce its emissions by supporting greener energy sources like geothermal and renewables.
BOTSWANA WEIGHS BUILDING NEW MASSIVE COAL PLANT: The government of Botswana is reportedly considering building a new 615-megawatt (MW) coal power plant to support its existing coal-powered energy production.
The details: While most nations are moving away from coal-powered electricity for cleaner alternatives, Botswana may be headed in the opposite direction. The country’s energy ministry revealed on Monday that it is considering building a new coal-powered facility near its existing 600MW coal-plant that has failed to run at full capacity, according to Bloomberg. Construction for the Morupule B power station was completed in 2012. While the coal-powered plant was built to generate 600MW, breakdowns and maintenance have prevented it from reaching its full potential.
If the current maintenance does not help fix this issue, Minerals and Energy Minister Bogolo Kenewendo said today, the ministry “will consider other base load generation operations to avert a power crisis.” At the top of the list of options for consolidation is a 615MW brownfield coal-fired power plant that the country would be able to have operating in as little as two years.
Not just coal: It is important to note that Botswana is not planning to entirely rely on coal to support its grid in the coming years. Kenewendo told Bloomberg earlier this month that the government has a goal of getting 50% of its energy from renewable sources by 2030. To do so, the government is seeking proposals to construct around 1.5 gigawatts of solar power generation.
APPLE TO ESTABLISH A CLEAN ENERGY FUND IN CHINA: Apple announced that it would establish a clean energy fund in China that is worth $99.22 million, Reuters reports.
The fund would help expand clean energy capacity in China, Apple told Reuters in a statement. It is also part of an effort to transition the company’s supply chain to 100% renewable energy by 2030, the company added.
Commerce minister Wang Wentao told Apple CEO Tim Cook that the company is welcomed to increase investment in the country, Reuters said. The outlet added that the two spoke about business development in China and U.S.-China economic and trade relations.
On Sunday and Monday, foreign CEOs attended the China Development Forum in Beijing. Some of the CEOs are expected to meet President Xi Jinping at the end of the week, sources told Reuters.
BYD PASSES TESLA IN SALES: Chinese electric vehicle company BYD topped the $100 billion mark in sales for last year, outdoing its U.S. rival Tesla in revenue, Bloomberg reports.
Last year, BYD’s revenue increased by 29% to $107 billion, surpassing its estimates for $105 billion. Meanwhile, Tesla’s revenue last year reached $97.7 billion.
BYD has become China’s leading EV manufacturer and has rolled out some impressive features.
Last week, the company announced a new charging system that could charge an EV within five minutes, which is similar to the time needed to pump gas for a traditional vehicle. The company has also rolled out advanced driver assistance technology for a range of models, including its low-cost vehicles.
WILDFIRES HIT NORTH CAROLINA: Over the weekend, wildfires spread across North Carolina, fueled by strong winds and dry conditions in areas recently hit by Hurricane Helene.
There are three fires in Polk County that have burned over 4,000 acres. The fires in the state include the Black Cove fire, mapped at 2,076 acres, and the Deep Wood fire, mapped at 2,545 acres – both 0% contained, according to the North Carolina Forest Service yesterday. The Fish Hook Fire was mapped at 199 acres with 50% containment.
The county said yesterday that more than 50 fire departments across the state are helping to fight the three fires. The forest service has also placed a statewide burn ban and the state announced Saturday a mandatory evacuation for parts of Polk County. In September, the county was struck by Hurricane Helene, which caused significant infrastructure damage.
South Carolina over the weekend also responded to the Table Rock Fire in Pickens County and the Persimmon Ridge Fire in Greenville County, prompting evacuations, with Gov. Henry McMaster announcing a state of emergency. The Table Rock Fire has burned over 1,300 acres and the Persimmon Ridge Fire has burned over 800 acres as of today.
ICYMI – TRUMP ENERGY ADVISOR LEAVES WHITE HOUSE: Just two months into the second Trump administration, a top energy policy official has left his post. The advisor’s departure comes as the president has issued sweeping policy changes and executive orders targeting the domestic energy industry.
The details: A White House official confirmed to Bloomberg on Friday at Oliver McPherson-Smith has left the president’s administration. McPherson-Smith first joined in January, serving as special assistant to the president for economic policy. Within his role, McPherson-Smith assisted in setting up Trump’s National Energy Dominance Council, headed by Interior Secretary Doug Burgum.
Previously, McPherson-Smith worked as director for the Center for Energy and Environment at the America First Policy Institute. He is reportedly leaving the administration to move back to Texas and focus on his family, the White House told Bloomberg.
A LOOK AHEAD
March 23 – March 26 The Environmental Council of the States is meeting in Washington D.C.
March 24 The House Committee on Rules is taking up two resolutions aimed at overturning rules issued by the Biden administration-led Department of Energy that set energy conservation standards for walk-in coolers, walk-in freezers, commercial refrigerators, and more.
March 25 – 27 The Electric Vehicle Charging Summit and Expo will be held in Las Vegas, Nevada.
March 25 – 26 The 3rd Annual Offshore Wind Transmission West Conference is set to be hosted in San Francisco, California, with a focus on maintaining momentum in the offshore wind industry.
March 25 The Conservative Coalition for Climate Solutions is hosting a breakfast with Republican Congressman Jodey Arrington from Texas on policy reforms needed to meet future energy needs and boost energy security.
March 25 The House Energy and Commerce subcommittee on Energy is scheduled to hold a hearing titled “Keeping the Lights On: Examining the State of Regional Grid Reliability.”
March 26 Heatmap and the Nuclear Energy Institute are holding a panel discussion on the future of energy security featuring remarks from NEI senior director Benton Arnett and Democratic Senator Sheldon Whitehouse of Rhode Island.
March 27 Women of Renewable Industries and Sustainable Energy is holding a webinar titled “Green Flags & Glass Cliffs: Finding Success and Avoiding Pitfalls in Your Path to Leadership.”
March 29 The Environmental Film Festival concludes in Washington D.C.
RUNDOWN
New York Times What Shopping Bags Should I Use?
Canary Media How Massachusetts is trying to turn EVs into grid batteries
Associated Press From deluges to drought: Climate change speeds up water cycle, triggers more extreme weather