Energy

Bloomberg Soaring petrol prices in the UK caused millions of people to avoid driving this summer, according to the country’s Office for National Statistics. About 44% of people experiencing a cost of living squeeze took fewer non-essential car trips, according to an ONS survey. The figures — combined with Visa credit card data showing people put less fuel in their …

  Bloomberg Portugal plans to lower the value-added tax rate to 6% from 13% for a certain amount of electricity use as the government tries to help consumers face rising costs for energy and other goods. The decision will take effect in October, Prime Minister Antonio Costa said at a press conference in Lisbon on Monday evening. Other steps presented …

  Bloomberg Italy is targeting a reduction in natural gas consumption through the winter season by increasing the use of coal, turning down heating across the country, and pushing to change citizens’ habits, according to a document circulated by the ministry for ecological transition. As the country faces the prospect of paying twice as much for energy imports as it …

  Bloomberg South Africa announced its first rolling blackouts in almost three weeks, hours after the nation’s statistics office published data that showed economy contracted in second quarter when was hit by record power outages. Eskom Holdings SOC Ltd. will implement so-called stage-2 loadshedding, where it cuts 2,000 megawatts from the grid, until September 10. If the utility sticks to …

  Bloomberg Germany’s fears that soaring power and gas prices could trigger a deeper crisis is starting to get real. Several hundred local utilities are coming under strain and need support, according to the head of Germany’s largest energy lobby group. The companies, generally owned by municipalities, supply households and small businesses directly and are a key part of the …

Bloomberg The UK Treasury and Bank of England launched a £40 billion ($46 billion) fund to provide energy traders liquidity to deal with massive margin calls, joining a list of European states taking dramatic action to prevent the energy crisis becoming a “Lehman” moment. The so-called Energy Markets Financing Scheme will provide stability for energy and financial markets, and help …

  Bloomberg Europe’s energy crisis is getting worse, piling pressure on the commodities industries that provide building blocks for the continent’s economy. Power- and gas-intensive sectors such as steel, fertilisers and aluminum — the most widely used base metal — are being forced to close factories or pass on soaring costs to customers. Even sugar makers are feeling the pinch. …

Bloomberg Lawmakers in Sweden and Finland are reviewing their $33 billion emergency backstop plans devised over the weekend to prevent utilities from defaulting after a fresh surge in energy prices. The two governments announced liquidity facilities made up of loans and credit guarantees to avoid some power companies going into technical defaults over climbing collateral requirements. The aim is to …

  Bloomberg Sweden’s government will provide Nordic and Baltic utilities as much as 250 billion kronor ($23.2 billion) in credit guarantees as it seeks to prevent Russia’s energy curbs from setting off a financial crisis. The measure is aimed at helping companies struggling to meet the surging collateral requirements needed to trade electricity, and avoid the threat of some going …

Bloomberg The European Union (EU) needs to act with unanimity to impose a price cap on Russian oil and overcome reluctance by some member countries to support the initiative by the Group of Seven to limit Russian energy revenue, French Finance Minister Bruno Le Maire said. G-7 leaders agreed to put a cap on oil prices, but without support from EU …