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An aerial of the Strategic Petroleum Reserve storage at the Bryan Mound site seen on October 19, 2022 in Freeport, Texas. The main casualties who will suffer the brunt of high energy prices is neither the United States nor Europe — but emerging and developing nations, said the head of International Energy Agency (IEA) Fatih Birol.

Brandon Bell | Getty Images News | Getty Images

The Biden administration is considering tapping additional reserves of heating and crude oil as winter nears and uncertainty over market prices worsens, according to four people familiar with the matter.  

The U.S. currently holds about 1 million barrels of heating oil — a form of diesel fuel used primarily to heat homes — in three commercially leased locations in the New York and Connecticut. The White House is weighing whether to call on Congress to raise the storage limit, potentially doubling it, to build additional reserves the administration could release if supply tightens or prices rise again, according to two sources familiar with the matter. 

“While improving, industry-held fuel inventories are still below average and the administration continues to engage with industry on asking them to increase fuel stocks,” the Department of Energy said in a statement to CNBC. “The administration continues to work with lawmakers and industry to identify all options that can help American consumers.”

Industry heating oil inventories have risen slightly in recent weeks, now sitting about 10% below the five-year average, according to Energy Information Administration. But with a 54% jump in heating oil prices in the last year, any hiccup in supply could mean a headache for consumers. 

Crude oil, meanwhile, has dropped to prices last seen in early 2022 before Russia invaded Ukraine, leading to speculation the administration could move to replenish the stocks, which stand at half the total capacity of the Strategic Petroleum Reserve, the lowest level since the mid-1980s. 

But the White House is bracing for a potential price spike, with Europe’s oil embargo and the G7’s price cap on Russian oil possibly disrupting supply when they go into effect next week. Two senior administration officials say the option remains open to release additional oil from the reserves in early 2023. 

“I think we want to make sure that we take the right steps in a measured way,” Amos Hochstein, a senior energy advisor to President Joe Biden, said on CNBC’s “Squawk Box.” “The goal has been consistent — to have prices that are fair to the industry but fair to the consumers as well.” 

The White House could face additional pressure from a Republican-led House of Representatives to replenish the Strategic Petroleum Reserve when the new Congress begins its session in January. In June, the leading Republicans on the House Energy & Commerce Committee suggested the Strategic Petroleum Reserve’s falling level was becoming a national security risk.

“It is imperative that DOE maintain the nation’s petroleum reserves in a manner that does not limit our ability to prevent or reduce the adverse impacts of true energy supply shortages,” wrote Reps. Cathy McMorris Rodgers, R-Wash., and Rep. Fred Upton, R-Mich.

The White House has said it plans to replenish the Strategic Petroleum Reserve when prices are between $67 and $72 a barrel, and it hopes to enter into fixed-price contracts with producers by the end of 2023.  

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Watch the world’s first artificial energy island being built [video]

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Watch the world's first artificial energy island being built [video]

The first of 23 caissons for Princess Elisabeth Island, the world’s first artificial energy island, is nearly complete.

Princess Elisabeth Island will be an electricity grid at sea that will connect offshore wind farms to the Belgian mainland and also serve as a hub for future interconnectors with the UK and Denmark. Belgian electricity transmission system operator Elia is the project’s developer.

The 20,000-ton caissons, which will form the energy island’s outer walls, are being built at Jan De Nul Group and DEME’s construction site in Vlissingen, the Netherlands. It takes around three months to build one caisson. The production process is split into five 20-day stages. The caissons are moved between the different work sites using “runners,” which takes about six hours. 

When the caissons are ready, a semi-submersible vessel will transport them further down the harbor, where they’ll be temporarily stored in the water. They’ll then be moved to their final location in the North Sea this summer, weather allowing, said maritime infrastructure company Jan de Nul.

You can watch a time-lapse video of Princess Elisabeth Island’s first caisson being built here:

Princess Elisabeth Island is part of the larger Princess Elisabeth Zone, a future 3.5 gigawatt (GW) offshore wind farm in the North Sea, around 45 km (28 miles) off the Belgian coast. The world’s first artificial energy island will receive power from the wind turbines via undersea cables, and it will then be converted to high-voltage electricity and distributed to the Belgian mainland and other European countries. The energy island will combine both direct current (HVDC) and alternating current (HVAC).

The energy island will be finished in late 2026 when the electrical equipment will start to be installed. Princess Elisabeth Island is expected to be fully connected to all wind farms and the mainland by 2030. 

Read more: 2023 was a record year for wind power growth – in numbers


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Honda joins EV race with historic $11B investment to build 240K EVs a year

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Honda joins EV race with historic B investment to build 240K EVs a year

Honda is finally joining the EV race after announcing a massive $11 billion (CAD$15 billion) investment to build four new EV plants in Canada. The historic investment will be used to build Canada’s first EV supply chain, enabling 240,000 Honda EVs to be made for the US and Canada annually.

Honda reveals game changing investment to build EVs

Honda announced its largest investment in Canada ever as it prepares for the electric era. The plans for a new Honda EV plant and stand-alone EV battery factory in Alliston, Ontario.

Once fully operational, the EV facility will be able to produce 240,000 EVs a year, while its battery plant will have capacity of 36 GWh per year. Production is expected to begin in 2028.

According to a press release from the prime minister’s office, Honda will build Canada’s first comprehensive EV supply chain. The project will include four new manufacturing plants in Ontario.

In addition to the EV plant and battery factory, Honda will build a cathode active material and precursor plant through a joint venture with POSCO Future M. A second is planned with Asahi Kasei Corp.

Honda-investment-EVs
2024 Honda Prologue (Source: Honda)

Justin Trudeau, prime minister of Canada, said Honda’s investment is a “game changer for manufacturing in Canada.” With a full supply chain, Honda expects to cut costs by over 20%.

Honda aims for EVs and FCEVS to account for 100% of vehicle sales by 2040. Honda also invested $700 million to retool three Ohio plants to serve as its hub for future EV and EV battery production.

Meanwhile, Honda’s first electric SUV, the Honda Prologue, went on sale earlier this year. Starting at $47,400 (excluding destination), the Prologue offers up to 296 miles range.


2024 Honda Prologue trim
Starting Price
(w/o $1,395
destination fee)
Starting price after
tax credit

(w/o $1,395
destination fee)
Starting price after
tax credit

(with $1,395
destination fee)
EPA Range
(miles)
EX (FWD) $47,400 $39,900 $41,295 296
EX (AWD) $50,400 $42,900 $44,295 281
Touring (FWD) $51.700 $44,200 $45,595 296
Touring (AWD) $54,700 $47,200 $48,595 281
Elite (AWD) $57,900 $50,400 $51,795 273
2024 Honda Prologue prices and range

With the $7,500 federal tax credit, the Prologue’s starting price can fall to as low as $39,900 (excluding destination).

Lace Woelfer, VP of Honda America National Auto Sales, said the Honda Prologue hits the “sweet spot” as a sporty, stylish electric SUV.

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In a first, the US will restrict existing coal-fired plants’ emissions

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In a first, the US will restrict existing coal-fired plants' emissions

The Environmental Protection Agency (EPA) will require existing coal-fired and new natural gas-fired power plants to control 90% of their carbon emissions or shut down.

It’s the first time the federal government has restricted CO2 emissions from existing coal-fired power plants and one of four measures the EPA announced today to transition the US to a clean energy economy.

The EPA states that “the best system of emission reduction for the longest-running existing coal units and most heavily utilized new gas turbines is based on carbon capture and sequestration/storage (CCS),” which qualifies for Inflation Reduction Act tax incentives.

Coal plants that intend to stay online beyond 2039 will have to cut or capture 90% of their CO2 emissions by 2032. If a coal plant retires by 2039, it has to capture emissions but to a less stringent standard. If a coal plant retires by 2032, it’s exempt from the new final rule. Coal powered around 16% of US electricity in 2023.

The rule is projected to reduce 1.38 billion metric tons of carbon pollution through 2047 – equivalent to preventing the annual emissions of 328 million gasoline cars or nearly an entire year of US electric power sector emissions.

Harold Wimmer, president and CEO of the American Lung Association, said, “Burning fossil fuels in power plants harms people’s lungs, makes kids sick, and accelerates the climate crisis. The stronger clean air and climate protections will save lives.”

The other three final rules for coal-fired plants are:

  • A tightening of the emissions standard for toxic metals by 67% and finalizing a 70% reduction in the emissions standard for mercury from existing lignite-fired sources
  • A reduction of pollutants discharged through wastewater from coal-fired power plants by more than 660 million pounds per year
  • The safe management of coal ash placed in areas that were unregulated at the federal level until now

EPA administrator Michael S. Regan said, “By developing these standards in a clear, transparent, inclusive manner, EPA is cutting pollution while ensuring that power companies can make smart investments and continue to deliver reliable electricity for all Americans.”

The new EPA rules are part of the Biden administration’s pledge to achieve net zero in the electricity sector by 2035.

Read more: New England to become the second coal-free region in the US


If you live in an area that has frequent natural disaster events, and are interested in making your home more resilient to power outages, consider going solar and adding a battery storage system. To make sure you find a trusted, reliable solar installer near you that offers competitive pricing, check out EnergySage, a free service that makes it easy for you to go solar. They have hundreds of pre-vetted solar installers competing for your business, ensuring you get high quality solutions and save 20-30% compared to going it alone. Plus, it’s free to use and you won’t get sales calls until you select an installer and share your phone number with them.

Your personalized solar quotes are easy to compare online and you’ll get access to unbiased Energy Advisers to help you every step of the way. Get started here. –ad*

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