Posts Tagged ‘Jobs’

UK Davey prefers “cutting off his nose to spite his face”

June 19, 2013

Ed Davey’s name calling of non-believers was widely reported :

Speaking on Tuesday in Brussels during a during a CBI/EU Corporate Leaders Group event, Davey warned the consequences of inaction in the face of record emission levels were severe, calling on the European Union to adopt a 50% carbon reduction target by 2030.

Davey's nose

Davey’s nose

“There will always be those with a vested interest in the status quo. Who seek to create doubt where there is certainty,” he said. “And you will always get crackpots and conspiracy theorists who will deny they have a nose on their face if it suits them.”

Considering the millions of jobs lost as a direct consequence of subsidising intermittent renewable energy and distorting the market through carbon credits and the like, Davey is clearly one who prefers

“cutting off his nose to spite his face”

Cutting off the nose to spite the face” is an expression used to describe a needlessly self-destructive over-reaction to a problem and I can think of few things as needlessly self-destructive as the the demonisation of carbon dioxide. 

And even without a nose Davey will continue breathing out 3 – 4% carbon dioxide with every breath!!!

Low energy prices with shale gas leading to shift of jobs from Europe to US

December 28, 2012

It is inevitable that investment and jobs – and especially in energy intensive industries – will migrate to regions of low energy costs. Over the next few years the lead that the US has developed over the rest of the world in the exploitation of shale gas will cause European companies to shun the high energy costs at home and shift to the US.

Reuters: Austria’s group Voestalpine is considering a plan to build a $1 billion plant in the United States that would convert iron ore into concentrate used in steelmaking, Trend magazine reported. ………. Trend said the plant was envisioned for a coastal city in the southern United States, given cheap and reliable supplies of natural gas, political stability and efficient port infrastructure.

And the problem has been the unnecessary and misguided European obsession with chasing a mirage.  A meaningless and unjustified pursuit of “low carbon” energy; profligate subsidies for ineffective renewable energy; wasteful – and eventually corrupt – attempts to bias the market with carbon credits and the shutting down of perfectly viable coal and nuclear power plants has given the highest energy costs in the world. Gas prices in Europe are 4 or 5 times as high as in the US. Europe has plenty of shale gas potential but development is lagging far behind the US largely because of the political opposition from the “Green” lobbies. As the New York Times reports:

High Energy Costs Plaguing Europe

.. Asked whether he had considered building the plant in Europe, Voestalpine’s chief executive, Wolfgang Eder, said that that “calculation does not make sense from the very beginning.” Gas in Europe is much more expensive, he said.

High energy costs are emerging as an issue in Europe that is prompting debate, including questioning of the Continent’s clean energy initiatives. Over the past few years, Europe has spent tens of billions of euros in an effort to reduce carbon dioxide emissions. The bulk of the spending has gone into low-carbon energy sources like wind and solar power that have needed special tariffs or other subsidies to be commercially viable.

“We embarked on a big transition to a low-carbon economy without taking into account the cost and without factoring in the competitive impact,” says Fabien Roques, head of European power and carbon at the energy consulting firm IHS CERA in Paris. “I think there will be a critical review of some of these policies in the next few years.” 

Both consumers and the industry are upset about high energy costs. Energy-intensive industries like chemicals and steel are, if not closing European plants outright, looking toward places like the United States that have lower energy costs as they pursue new investments.

BASF, the German chemical giant, has been outspoken about the consequences of energy costs for competitiveness and is building a new plant in Louisiana.

“We Europeans are currently paying up to four or five times more for natural gas than the Americans,” Harald Schwager, a member of the executive board at BASF, said last month. “Energy efficiency alone will not allow us to compensate for this. Of course, that means increased competition for all the European manufacturing sites.”

And it beomes increasingly clear that the chase for politically correct “brownie points” by European  governments as they have demonised carbon dioxide quite needlessly while spending massively on renewable subsidies is not sustainable. Just as Japan must now waste political energy in “reviewing” their hasty decisions about the use of nuclear energy after Fukushima , Europe will have to spend the next decade in “reviewing and reversing” the spate of bad decisions made based on climate alarmism.

The expansion in renewables will probably ensure that Europe will meet its target of reducing greenhouse gases 20 percent from their 1990 levels by 2020. But it has been a disappointment on other levels. For one thing, emissions continue to rise globally. In a sense, Europe is likely to have exported its emissions to places like China, where polluting economic activity continues to increase while the European economy stagnates.

A striking indicator that the European effort has not achieved all that it intended to is the continued rise in the burning of coal, by far the biggest polluter among fossil fuels.

The International Energy Agency, a Paris-based group formed by consumer nations, recently said that coal was likely to catch up with oil as the world’s largest source of energy in a decade.

Much of the increase in coal use can be blamed on China and India, but not all of it. Europe has increased its coal use this year, and that has led to an increase of about 7 percent in carbon dioxide emissions from power generation, according to IHS. Coal use is increasing in all regions except the United States, the I.E.A. said.

Obama travels to India looking to boost US jobs

November 6, 2010

The Times of India carries a smug story about President Obama’s visit to India which starts today:

President Barack Obama hasn’t been able to drive down unemployment in America, so he’s coming to India in search of US jobs. Four days after his party suffered heavy, economy-influenced losses in Congress, the president will arrive Saturday in Mumbai, India’s booming financial center, where he will meet with local business leaders and with American executives who have traveled to India in search of billions of dollars in trade deals.

The White House hopes to announce agreements on aircraft and other exports. The administration says that jobs and the US economy are the focus of Obama’s 10-day Asia trip, a message aimed at inoculating him against any criticism that he is concentrating on foreign affairs while Americans are suffering with unemployment at 9.6 percent. He left Washington shortly after the government reported the economy added 151,000 jobs in October but still not enough to lower the jobless rate.

Obama will be speaking to a gathering of Indian and American chief executives on Saturday, and he’s expected to announce the completion of job-producing commercial deals. The US has been looking for India to finalize purchases of Boeing aircraft and marine engines produced by Caterpillar, among other exports. However, serious disagreements remain, and they appear unlikely to be resolved during Obama’s visit.

President Obama will arrive in New Delhi with his largest business delegation ever to a country. The 215-member team of US business leaders will be looking to deepen commercial ties with India. Mr Obama will also address India’s Parliament – only the second US president to do so after Bill Clinton. India is hoping for an announcement on the lifting of nuclear curbs during the visit. New Delhi has long lobbied for Washington to allow the sale of sensitive technology that was denied to the country after it conducted a nuclear test.


Taj Hotel, Mumbai: Wikimedia Commons


The US wish list includes Defence agreements worth $ 12 billion among contracts creating upto 60,000 jobs in the US, verification processes for Indian nuclear plants and Indian promises for more market access.

On Saturday night President Obama will stay at the Taj Hotel in Mumbai which was the target of the terror attack on 26th November 2008 where 173 people were killed. India will be looking for the US support for Pakistan to be less forgiving of the terrorist training camps in Pakistan.

Indian Minister: Indian IT companies have created 250,000 jobs in US

September 15, 2010
DAVOS/SWITZERLAND, 27JAN10 - Anand Sharma, Min...

Image via Wikipedia

While it is clearly political positioning just before bilateral trade talks between the US and India to be held next week in India, the “global outsourcing” alarmism is not as one-sided as it is made out by opportunistic politicians.

In my own experience transfer of technology across countries within the same company is more likely to lead to an increase in jobs – but not the same jobs – in the country exporting technology.

The Times of India reports that:

Indian IT companies created 7,000 jobs in the US last month and 2.5 lakh (250,000) jobs over the last three years, commerce minister Anand Sharma has said, indicating that recent protectionist measures taken by the US such as hiking professional visa fees and clamping down on outsourcing could hamper such economic activities.

“In times of crisis, countries tend to look inwards but protection can be counter productive. This is the time to encourage global trade flows,” the minister said on Tuesday. The bilateral trade policy forum meeting scheduled next week to be chaired by Mr Sharma and US trade representative Ron Kirk will focus on both issues.

The minister is optimistic that the issues could be sorted out through discussions. “We remain optimistic about the whole scenario but responses need to be calibrated,” he said.

Read more: Indian IT cos created 7,000 jobs in US in Aug – The Times of India

Of course it was not so very long ago when US and EU trade officials were berating India, China and other developing countries about the sins of protectionism and closed markets. With the growth in India and China now leading the way out of recession it would be wiser to keep global trade flows open rather than to wave the protectionist flag.

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