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European gas prices are expected to drop to 85 euros megawatt hour in the coming months, said Goldman Sachs

Krisztian Bocsi | Bloomberg | Getty Images

Goldman Sachs predicts that European natural gas prices would drop by about 30% in the coming months as nations gain a temporary upper hand on supply issues.

The Dutch Title Transfer Facility (TTF) is Europe’s main benchmark for natural gas prices. It traded at around 120 euros per megawatt hour on Tuesday. But Goldman Sachs expects this benchmark to fall to 85 euros per megawatt hour in the first quarter of 2023, according to a research note published last week.

This would mark a significant change to the levels seen back in August. At the time, Russia’s unprovoked invasion of Ukraine and the subsequent pressures on Europe’s energy mix pushed prices to historic figures — above 340 euros per megawatt hour. 

The recent cooling in gas prices has derived from several factors: Europe’s gas storage is basically full for this winter season; temperatures this fall have been milder than expected thus delaying the start of a period of heavy usage; and there is an oversupply of liquefied natural gas (LNG).

Recent reports have pointed to about 60 vessels waiting to discharge their LNG cargo in Europe. Some of these shipments were bought during the summer and are just arriving now as storage fills up. Indeed, the latest data compiled by industry group Gas Infrastructure Europe shows storage levels in Europe are sitting at 94%.

Watch CNBC's full interview with Goldman Sachs' Jeff Currie on oil prices, supercycles and more

Despite optimism on lower gas prices in the near term, which may alleviate some of the cost-of-living crisis, there’s plenty of pressure on European leaders to secure supplies in the medium term.

“Our commodity team forecasts a further decline to 85 euros in the first quarter before sharply picking up into next summer as storage levels are rebuilt,” Goldman Sachs analysts said in the research note. Their forecasts point to a surge in prices to just below 250 euros per megawatt hour by the end of July.

Natural gas prices are expected to pick up after the first three months of 2023 due to several factors.

Fatih Birol, executive director of the International Energy Agency, told CNBC’s Julianna Tatelbaum Friday that only a very small amount of new LNG will hit the market next year. “If China economy sees a rebound, next year the LNG import of China may also increase together with Europe,” he said.

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China was the world’s top importer of LNG in 2021, according to the U.S. Energy Information Administration. However, due to its strict Covid-19 policy, the Chinese economy has had to deal with a number of lockdowns which have dented growth. Any change in this political approach would increase demand for LNG and push up prices for European buyers too.

Additionally, gas storage has been helped by Russian supplies which the EU has been trying to ween itself off. Even Xavier Bettel, the prime minister of Luxembourg, an EU nation, acknowledged in October that storage was full with Russian gas. Russian supplies have since been severely disrupted and it’s Europe’s aim to be completely free from Russian fossil fuels.

The CEO of EDP, Portugal’s utilities firm, summed it up when speaking to CNBC’s “Squawk Box Europe” Friday. “Certainly we are in a much better place than we were a couple of months ago,” Miguel Stilwell d’Andrade said, but “we should expect a lot of volatility going forward.”

The focus right now should be on increasing oil production: S&P Global

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Trump blocked wind projects, and now 17 states and DC are suing

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Trump blocked wind projects, and now 17 states and DC are suing

Seventeen state attorneys general and DC are fighting a Trump executive order that froze permits and funding for all onshore and offshore wind projects on January 20.

The coalition is asking a federal judge to declare the executive order illegal and prevent the Trump administration from obstructing wind energy development. It was filed in federal court in Massachusetts.

New York attorney general Letitia James is leading the coalition. James said, “This arbitrary and unnecessary directive threatens the loss of thousands of good-paying jobs and billions in investments, and it is delaying our transition away from the fossil fuels that harm our health and our planet.”

Federal agencies have stopped issuing permits for wind projects across the board and even pulled the plug on the fully approved Empire Wind in New York, which was already under construction. Developer Equinor, majority owned by the Norwegian government, went through a seven-year permitting process and is considering separate legal actions.

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Massachusetts attorney general Andrea Joy Campbell said that Trump’s “attempts to stop homegrown wind energy development directly contradict his claims that there is a growing need for reliable domestic energy.”

The coalition argues that the action violates the Administrative Procedure Act and other federal laws because the Trump administration, “among other things, provides no reasoned explanation for categorically and indefinitely halting all wind energy development.”

Trump’s executive order puts billions of dollars in state investments at risk, jeopardizing everything from wind industry infrastructure to supply chains and workforce training that’s already well underway.

The coalition consists of attorneys general of Arizona, California, Colorado, Connecticut, Delaware, District of Columbia, Illinois, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Jersey, New York, New Mexico, Oregon, Rhode Island, and Washington. 

Read more: Trump admin halts $5 billion NY offshore wind project mid-build


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Listen up, car dealers – you need to start selling EVs the way you sell tow rigs

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Listen up, car dealers – you need to start selling EVs the way you sell tow rigs

Professional salespeople love to talk about “the steps of the sale,” a tried-and-true process that guides every customer from curiosity to closed. But when it comes to electric cars, that old-school hustle can fall flat, leaving dealers struggling with how to fit them into their familiar playbook. But what if I told you, dear dealer, that there’s a whole category of vehicles on existing dealer lots that need to be approached in exactly the same way as an EV to score a successful sale that you’re already familiar with?

That category: Heavy-duty tow trucks. Here’s how selling one is a lot like selling the other.

That’s right, greenpeas – selling a tow-rated pickup truck to someone who’s buying it primarily to haul a trailer, boat, or RV is a delicate thing that requires salespeople (and sales managers) to approach their customers with a lot more patience and empathy, and a lot less, “what can I do to get you to drive this home, today?” And, as we go through the whys and hows, I think you’ll agree that all the heavy truck selling wisdom we’re going to cover today will help you sell more electric cars, more often, and for more money.

1. Discovery is where the deal gets done


When it comes to heavy-duty tow vehicles, most smart dealers understand that their customer probably has a better understanding of their individual needs than they do – but it’s still a good idea to go over that understanding during the discovery phase of the sale.

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Has the customer factored in the weight of the trailer and the weight of everyone and everything else inside it? What about the weight of water, tools, or animals? Do they fully understand the concepts of GVWR and GCWR, and the difference between trailer weight and tongue weight? Will they have enough range, when fully loaded, on their standard fuel tank or will they need an aux. tank? What about the future – are they thinking about upgrading their RV or hauling bigger loads longer distances?

In other words, the customer has to trust that the vehicle they’re about to buy from you will meet their needs and fit into their lives today, while also meeting their needs in the foreseeable future. That’s what it looks like in a truck, but now apply that to an EV.

Has the customer mapped out the routes they take every day to make sure they can make the drive? That might sound ridiculous to you and me, but what if they’re depending on a single DC fast charger out on a rural stretch of highway to get the EV to meet their needs? What if they think 200 miles of range is 200 miles of range, but they like to drive 80+ mph (on Chicago’s I-290, that’s a minimum safe travel speed), do they understand that speed impacts range as much as weather?

Tools like Chargeway are great for helping dealers explain EV charging speeds, the impacts of speed and topography on range, and – especially in this era of NACS adapters – where buyers of used or off-lease EVs can charge up and get back on the road.

In either case, the salespeople who take the time in discovery to understand their customers’ needs and become consultative partners will make a sale, the ones who rush through the process won’t, and the ones who sell their customers the wrong thing will make a problem (if not an expensive lawsuit) for the dealership.

2. Options really do matter


When you’re selling a conventional ICE-powered crossover to a typical suburbanite, moving your customer up or down a trim level doesn’t typically impact their use case. Sure, they might have to keep their foot planted a little longer to get up to highway speeds or learn to live with cloth when they really wanted leather or vinyl vegan leather, but they’ll still be able to get five-to-seven adults from point A to point B with the same general effectiveness.

That’s not true when it comes to trucks that are going to get put to work. There, the difference between one axle ration and another can have a huge impact on driver comfort, towing capabilities, and fuel economy – and going from a one-ton truck that’s just outside the customer’s budget to a half-ton that you happen to have on the lot could get someone seriously hurt or killed.

On an EV, the difference might not be so dramatic, but the difference between a Nissan LEAF SV Plus with a 212 mile range and a Nissan LEAF S with 149 miles of range? That could mean the difference between getting to grandma’s house in three hours or five – that’s assuming your customer could even find a CHAdeMO port in the first place!

It may be tempting to switch the customer to a vehicle you have on the lot (especially if that vehicle happens to be an aged unit with a fat spiff on it), but the long-term pain isn’t worth the short-term gain on this one.

3. Information is your friend


This might feel like a duplicate of the discovery phase, but think of it as a member of the “measure twice, cut once” advice genre. That is to say that, sure – the customer thinks that new 5th wheel RV they have on order weighs 11,000 lbs., but does it? Did they add any options of features (see no. 2) that make it heavier? Get the information from the RV manufacturer or dealer and confirm as much as you can. That extra work will help keep your customer safe and build trust.

Similarly, you’ll want to verify your assumptions when it comes to EVs. Is that once-a-month 300 mile drive really 300 miles, or is it 330? Is there more than one charging option available on their preferred route? Is the customer able to make their trip without changing the way your they drive? Are they willing to change up where they stop, or for how long?

When it comes to EVs, especially used ones that came onto your lot as part of a trade deal that you may not be intimately familiar with, I cannot stress how much route planning apps like Chargeway or A Better Route Planner can help salespeople answer questions about electric vehicles confidently and correctly, generate trust, and drive referrals.

4. Aftersales support is critical


Successful salespeople follow up – not just with prospects who are still shopping, but with customers who have already bought. And, just as RVers know other RVers, RV salespeople who get positive feedback about a local dealer who takes the time to make sure their customers get the right truck know RV customers who might need a right truck of their own.

Yes, those RV salespeople might expect a $100 bird dog bonus to send their customers your way, but the money on its own isn’t enough. They have to know they can trust you with their customers, and you build that trust in steps 1-3, above.

It doesn’t take a genius

BMW Genius bar; via BMW.

If there’s one company that absolutely gets it when it comes to helping customers discover whether or not an EV can fit into the way they live, work, and drive today it’s BMW. Their take on the Apple Genius Bar helps consumers set reasonable expectations, understand charging speeds, and build customer loyalty – that’s why they’ve snatched the top spot in the J.D. Power U.S. Electric Vehicle Experience (EVX) Ownership Study for the last few years.

The reason BMW is consistently pulling ahead? It seems to come down to education. “First-time EV buyers are receiving minimal education or training,” explains Brent Gruber, executive director of the EV practice at J.D. Power. “Dealer and manufacturer representatives play the crucial role of front-line educators, but when it comes to EVs, the specific education needed to shorten the learning curve just isn’t happening often enough. The shortfall in buyer education is something we’re seeing with all brands.”

And, if you’re still not quite convinced that you need to learn how to sell EVs to be successful on the sales floor, think again.

Overall, 94% of BEV owners are likely to consider purchasing another BEV for their next vehicle, a rate that is also matched by first-time buyers. Manufacturers should take note of the strong consumer commitment to EVs as the high rate of repurchase intent offers the ability to generate brand loyal customers if the experience is a positive one. In fact, during the past several years, the BEV repurchase intent percentage has fluctuated very little, ranging between 94-97%. This year’s study also finds that only 12% of BEV owners are likely to consider replacing their EV with an internal combustion engine (ICE)-powered vehicle during their next purchase.

J.D. POWER

Listen to an EV convert who has desked an awful lot of car deals, greenpeas – if you treat every EV customer the same way that crusty old fleet rep treats his truck buyers, you’re going to sell a whole lot of EVs. And, if you’re a brave enough little toaster to follow up and ask for that referral, you’ll find that EV buyers know other EV buyers.

Happy hunting.

Original content from Electrek.


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Tesla Cybertruck inventory skyrockets to record high

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Tesla Cybertruck inventory skyrockets to record high

Tesla’s Cybertruck inventory has skyrocketed to a new record high of more than 10,000 units. The vehicle program is in crisis.

We reported at the beginning of April that Tesla ended the first quarter of 2025 with at least 2,400 Cybertrucks in new inventory available in the US.

There’s no exact way to track Tesla’s inventory in the US, but there are ways to track Tesla’s Cybertruck listings. Sometimes, Tesla may have many vehicles with the exact same configuration at the same location and it will only publish a single listing for it.

Therefore, Tesla might have been sitting on more Cybertruck inventory.

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A month later, the number of listings in the US has skyrocketed to over 10,000 Cybertrucks, according to Tesla-Info.com:

This surge could be due to an actual net increase in Cybertruck inventory, but Tesla is also heavily discounting the trucks at varying rates, creating several different prices and, therefore, more listings.

At an average sale price of $78,000, Tesla could have almost $800 million worth of Cybertrucks.

Due to low demand, Tesla appears to have significantly slowed down Cybertruck production in recent months. Therefore, this surge is likely more about Tesla discounting the vehicles, exposing the broader US inventory, than an actual major increase in inventory due to more production.

Many of the Cybertrucks in inventory were built in 2024, so they are already at least four months old. Tesla still has ‘Foundation Series’ Cybertrucks in inventory, which it stopped producing in October 2024—more than seven months ago.

Tesla recently launched the Cybertruck RWD, but it has given up on making it with a smaller battery pack and instead removed many important features.

Electrek’s Take

This is about as bad as it gets. Over 10,000 units account for about two quarters of Tesla’s Cybertruck sales.

It already looks like Tesla has slowed Cybertruck production down to a crawl, but I wouldn’t be surprised if it pauses it soon. The hard part for Tesla is to admit defeat.

The Cybertruck RWD using the same battery pack as the AWD was already a sort of admission that Tesla found the vehicle program to be too small to be worth being produced with two battery pack sizes. The automaker did the same with Model S/X when the program’s volumes shrank following the launches of Model 3 and Model Y.

It looks like under the current circumstances, Tesla will have issues selling more than 20,000 Cybertrucks per year in the US despite having planned production for 250,000 units.

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