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Vapor rises from the cooling towers of the Turow coal powered power plant, operated by PGE SA, in Bogatynia, Poland.
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Surging natural gas prices have led to a jump in coal use, with plants in Europe and Asia firing back up as temperatures decline and the world grapples with worsening gas shortages.

Total CEO Patrick Pouyanne on Wednesday stressed the need to achieve price stability, contending that lower gas prices will reduce the need to rely on the higher-polluting coal, but that the transition to cleaner energy has also created an imbalance in the market. 

“High pricing is not good news — of course immediately for my company results are better, but for customers” is it not, Pouyanne told CNBC’s Hadley Gamble during a Russia Energy Week panel in Moscow.

Replacing coal with gas “is good for climate change, but to do that, we need to have a lower price,” the CEO said. “Because coal today is a king, because coal is cheaper than all the other sources of energy.”

Coal-produced electricity has shot up in Europe, and European coal futures have more than doubled since the start of the year. And the irony is clear, as this is happening just as Europe is trying to reduce its use of the polluting fuel. Gas prices in Europe, meanwhile, have nearly quadrupled since the start of the year. 

“So for us today prices are too high. We have to find stability, going back to something more normal,” Pouyanne said. 

He added that this is not merely a European gas crisis, but a global one, stemming from both a “huge hike in demand for gas from China and Asia,” as well as “more demand for gas because of energy transition, going from coal to gas, which is good for climate change.”

“So that is I think a lesson,” Pouyanne said. “Another is that the more we put renewables in our electric system, we put in intermittent sources which depend on the weather.”

Pouyanne, like many other oil and gas company executives, has noted the risk of renewables that rely on weather. Brazil, which has increased its reliance on hydropower, saw less rain this year, while other parts of the world that have invested heavily in solar and wind power saw less sun and wind.  

BP CEO Bernard Looney, speaking on the same panel, echoed Pouyanne’s concern.

“I think that this crisis in Europe has reminded us that energy is part of the lifeblood of society and that energy use is only going in one direction — and that is upwards,” Looney said. “We all understand that the sun doesn’t shine at night and the wind doesn’t always blow so we have that question of renewables’ intermittency to deal with.” 

‘A more volatile system’

Talking about governments’ pushes to reduce fossil fuel production and use, Looney said: “At the end of the day, if supply goes away and demand doesn’t change, that only has one consequence, and that is an escalation in price rises. So I’m not suggesting that the onus needs to be put on customers or society, but this is a system, and both the supply and the demand side have to work together.”  

“Just simply correcting a supply-side issue without affecting demand will not result in a more stable system, it’ll result in a more volatile system,” Looney added.

Higher gas use due to colder weather earlier in the year “has lowered all the inventories on gas, and so we see today an exceptional circumstance,” Pouyanne said. “I think that after wintertime we should be able to come back to lower prices which would be good for everybody.”

Gas prices are surging to record highs in Europe. Power shortages are also impacting households and businesses across Asia, and have forced factories to shut down.

This has been brought on by supply shortfalls and the transition to cleaner energy, which has spurred higher demand for gas, considered a cleaner fuel. Demand is also rebounding from its Covid-induced slowdown as economies reopen and travel resumes around the world.

Other energy commodities including oil have also soared in recent weeks, with international benchmark Brent crude trading at $83.37 at 12:00 p.m. ET, its highest level since 2018 and up 64% since the start of this year.

U.S. benchmark West Texas Intermediate hit a seven-year high this week, and was trading at $80.63 at noon ET.

The spike in energy prices comes amid supply chain disruptions and a shortage of shipping containers, both of which have contributed to rapidly rising inflation.

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Tesla has yet to start testing its robotaxi service without driver weeks before launch

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Tesla has yet to start testing its robotaxi service without driver weeks before launch

Tesla has reportedly yet to start testing its robotaxi service in Austin without a safety driver behind the wheel – just weeks before the planned launch.

For months now, Tesla and CEO Elon Musk have been hyping the launch of “Tesla Robotaxi”, a Uber-like ride-hailing service powered by autonomous Tesla vehicles, starting with a launch in Austin, Texas in June.

We have extensively reported that this launch is disappointing compared to what Tesla promised for years: that all its consumer vehicles built since 2016 are capable of self-driving.

Instead, Tesla plans to build an internal fleet of “10-20” Model Ys and have them offer ride-hailing services in a geo-fenced area around Austin, Texas, helped by human teleoperations. This is very similar to what Waymo has been offering in other cities for years, specifically in Austin, for months now.

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Even with the significant downgrade in self-driving capabilities promised with this project, there are many doubts about Tesla’s ability to achieve the lesser goal.

That’s because the robotaxi service will be based on Tesla’s ‘Supervised Full Self-Driving’ program, which is currently achieving about 500 miles between critical disengagements fleet-wide, according to the latest crowdsourced data.

Tesla will be able to improve on that by optimizing a version for the geo-fenced area in Austin and it has been training its neural nets for that for months with vehicles going around Austin.

However, a new report now claims that Tesla has yet to start testing its service without safety drivers at the wheel – similar to Tesla’s public ‘Supervised FSD’. The Information wrote in a new report:

Elon Musk’s deadline for launching Tesla’s first robotaxi service, in Austin, Texas, is weeks away, but the company hadn’t started testing its cars without a human safety driver as of last month, according to an engineer close to the testing and a former employee. That’s a crucial step required before Tesla can launch the pilot service for customers.

For comparison, before launching its paid ride service in Austin, Waymo tested its vehicles with safety drivers in the area for 6 months and then without safety drivers for another 6 months.

Waymo has now taken over a significant market share of ride-hailing rides in the Texas capital, but it still has limitations; for example, it doesn’t drive on the interstate.

The report also mentions that Tesla has been working with local emergency services in Austin to develop intervention plans in order to avoid causing issues if its autonomous vehicles fail.

Electrek’s Take

This is the biggest softball goal. It’s a fraction of what was promised, it’s something that others have achieved before. It’s a punt created for Tesla to finally get a “win” in self-driving.

If they can’t even make it, it would be disastrous, but at least, I hope that it will finally open the eyes of many Tesla shareholders to the reality that Tesla is actually behind in autonomous driving and that Musk’s latest claims that Tesla will have “millions of robotaxi on the road” in 2026 are just the same as when he claimed it would happen in 2025, 2024, 2023, 2022, 2021, 2020, and 2019: corporate puffery.

My main concern now is for public safety. I have little hope of US regulators being able to stop Tesla considering Trump is firing anyone who got in Musk’s way after he gave him over $250 million.

If Tesla brings its cowboy approach to this, it could get bad quickly.

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Rivian CEO RJ Scaringe shares more detailed images of the R2’s Maximus drive unit

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Rivian CEO RJ Scaringe shares more detailed images of the R2's Maximus drive unit

The development of Rivian’s R2 validation builds continues to progress. We know so because the American automaker’s founder and CEO, RJ Scaringe, continues to pepper us with welcome updates with plenty of fantastic images. The latest post features the inner workings of Rivian’s Maximus drive unit, which will propel the upcoming R2 EVs when they hit the market next year.

Another day, another exciting social media update from RJ Scaringe. Nine days ago, the Rivian CEO shared a peek at the company’s new Maximus drive unit, designed to be more compact and efficiently built to help reduce cost-per-unit production.

Our only look was from outside the drive unit’s casing at the time, but it was exciting news nonetheless. As an encore, Scaringe posted photos of the R2 validation builds on a pilot line at the automaker’s facility in Normal, Illinois.

This evening, Scaringe took to Instagram and X once again to share a better look at the inner workings of the Rivian Maximus drive unit. Check it out:

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Rivian Maximus
Source: @RJScaringe/X

RJ shares more images of Rivian’s Maximus development

Rivian’s CEO posted the three images above, which showcase some interesting perspectives of the developing drive unit. As previously shared by Rivian, Maximus uses a new continuous winding technique that reduces the total welds per stator and thus the total overall cost of building each one.

For comparison, Rivian’s current Enduro drive unit requires 264 stator welds, while Maximus only needs 24. You can see the stator windings in the image above to the left. Scaringe shared excitement in the progress of the Rivian team’s Maximus drive unit as well as some insight in his post:

I love the packaging on Maximus — the drive unit for R2. It has a side mounted inverter that utilizes flat area at the end of the motor to minimize the length of bus bars, keeping them light and efficient. The large planar shape also allows all processing and power electronics to exist on a single printed circuit board.

The inverter chassis closes out the oil cooled motor cavity and seamlessly routes coolant from the power modules to the drive unit’s heat exchanger with no extra parts.

Overall, the inverter part count is reduced by 41% relative to Enduro and structural inverter lid saves more parts and fasteners by also serving as the drive unit mount. I love this design efficiency. (heart emoji)

Looks fantastic, RJ. We can’t wait to see the visual progress of the R2 you share next!

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EV sales are up, Tesla sales are down, and new electric Toyota goodness

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EV sales are up, Tesla sales are down, and new electric Toyota goodness

On today’s thrilling episode of Quick Charge, we’ve a huge spike in global EV sales and a huge dip in Tesla deliveries. Plus a whole bunch of news from Toyota, including an updated bZ that’s just a bit better than before … but is a bit better going to make a big difference?

We’re also on track for more than 1 in 4 new cars sold this year to be electric, with a whole lot more hybrids coming in to make up the difference and drive fuel demand down to a new yearly low. All this, plus the top 5 cheapest EVs to insure when you hit the play button.

Prefer listening to your podcasts? Audio-only versions of Quick Charge are now available on Apple PodcastsSpotifyTuneIn, and our RSS feed for Overcast and other podcast players.

New episodes of Quick Charge are recorded, usually, Monday through Thursday (and sometimes Sunday). We’ll be posting bonus audio content from time to time as well, so be sure to follow and subscribe so you don’t miss a minute of Electrek’s high-voltage daily news.

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Got news? Let us know!
Drop us a line at tips@electrek.co. You can also rate us on Apple Podcasts and Spotify, or recommend us in Overcast to help more people discover the show.


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