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Shell recently reported its highest-ever annual profit of nearly $40 billion.

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Shell‘s directors are being personally sued for allegedly failing to adequately manage the risks associated with the climate emergency in a first-of-its-kind lawsuit that could have widespread implications for how other companies plan to cut emissions.

Environmental law firm ClientEarth, in its capacity as a shareholder, filed the lawsuit against the British oil major’s board at the high court of England and Wales on Thursday.

It alleges 11 members of Shell’s board are mismanaging climate risk, breaching company law by failing to implement an energy transition strategy that aligns with the landmark 2015 Paris Agreement.

The claim, which has the backing of institutional investors with over 12 million shares in the company, is said to be the first case in the world seeking to hold a board of directors liable for failure to properly prepare for the energy transition.

“Shell may be making record profits now due to the turmoil of the global energy market, but the writing is on the wall for fossil fuels long term,” Paul Benson, senior lawyer at ClientEarth, said in a statement.

“The shift to a low-carbon economy is not just inevitable, it’s already happening. Yet the Board is persisting with a transition strategy that is fundamentally flawed, leaving the company seriously exposed to the risks that climate change poses to Shell’s future success — despite the Board’s legal duty to manage those risks,” Benson said.

We hope the whole energy industry sits up and take notice.

Mark Fawcett

Chief Investment Officer at Nest

The group of investors supporting the claim include U.K. pension funds Nest and London CIV, Swedish national pension fund AP3, French asset manager Sanso IS and Danske Bank Asset Management, among others. Altogether, the institutional investors hold more than half a trillion U.S. dollars in total assets under management.

“We do not accept ClientEarth’s allegations,” a Shell spokesperson said. “Our directors have complied with their legal duties and have, at all times, acted in the best interests of the company.”

“ClientEarth’s attempt, by means of a derivative claim, to overturn the board’s policy as approved by our shareholders has no merit. We will oppose their application to obtain the court’s permission to pursue this claim,” they added.

Shell, which is aiming to become a net-zero emissions business by 2050, said it believes its climate targets are Paris-aligned.

ClientEarth said leading third-party assessments have suggested this is not the case, however, noting Shell’s strategy excludes short to medium-term targets to cut the emissions from the products it sells, known as Scope 3 emissions, despite this accounting for over 90% of the firm’s overall emissions.

The aspirational goal of the Paris Agreement is to pursue efforts to limit global heating to 1.5 degrees Celsius above pre-industrial levels by slashing greenhouse gas emissions. The fight to keep global heating under 1.5 degrees Celsius is widely regarded as critically important because so-called tipping points become more likely beyond this level. These are thresholds at which small changes can lead to dramatic shifts in the Earth’s entire support system.

To be sure, the burning of fossil fuels, such as oil and gas, is the chief driver of the climate emergency.

Big Oil profit bonanza

The case comes shortly after Shell reported its highest-ever annual profit of nearly $40 billion.

The energy giant’s 2022 earnings smashed its previous annual profit record of $28.4 billion in 2008 and were more than double the firm’s full-year 2021 profit of $19.3 billion.

Shell CEO Wael Sawan described 2022 as a “huge year” for the company, saying he felt privileged to be stepping into the role he started on Jan. 1.

“As we look ahead, I think we have a unique opportunity to be able to succeed as the winner in the energy transition. We have a portfolio that I think is second to none,” Sawan said.

Shell’s results came as part of a Big Oil profit bonanza last year, bolstered by soaring fossil fuel prices and robust demand since Russia’s full-scale invasion of Ukraine.

Activists from Greenpeace set up a mock-petrol station price board displaying the Shell’s net profit for 2022 as they demonstrate outside the company’s headquarters in London on Feb. 2, 2023.

Daniel Leal | Afp | Getty Images

Nest Chief Investment Officer Mark Fawcett said the case against Shell’s board of directors showed investors were prepared to challenge those who aren’t deemed to be doing enough to transition their business.

“We hope the whole energy industry sits up and takes notice,” Fawcett said.

Separately, London CIV’s Head of Responsible Investment Jacqueline Amy Jackson said, “In our view, a Board of Directors of a high-emitting company has a fiduciary duty to manage climate risk, and in so doing, consider the impacts of its decisions on climate change, and to reduce its contribution to it.”

“We consider that ClientEarth’s claim is in our client funds’ interests as a shareholder of Shell, and we support it,” Jackson added.

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Kia’s first electric hatchback is here and it has nearly 400 miles range: Meet the EV4 hatch

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Kia's first electric hatchback is here and it has nearly 400 miles range: Meet the EV4 hatch

Who said hatchbacks are going out of style? Kia’s first electric hatchback, the EV4, went on sale in the UK on Monday, offering the longest driving range of any of its EVs to date. Here’s a full breakdown of prices and specs.

Meet the EV4, Kia’s first electric hatchback

After launching the sedan version in Korea in April, the EV4 already took the top spot as the best-selling domestic electric sedan in its second month on the market. It’s already being called a “box office hit.” Now, the new hatch variant is officially on sale.

Kia opened orders for the EV4 hatchback in the UK on Monday, starting from £34,695 ($47,700). The EV4 is Kia’s first crack at an electric hatchback.

With an impressive 388 miles of WLTP driving range, it’s also the longest driving range of any EV Kia has ever produced.

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The hatch is based on the same E-GMP platform as the EV4 sedan and Kia’s other electric vehicles, but it’s custom-tailored for European buyers.

The base EV4 “Air” is available with two battery packs: 58.2 kWh or 81.4 kWh, providing a WLTP driving range of up to 273 miles or 388 miles on a full charge. Kia said it’s the brand’s first electric vehicle offering a range of over 380 miles.

Kia-EV4-first-electric-hatchback
Kia EV4 hatchback GT-Line (Source: Kia)

The sporty “GT-Line” and top-spec “GT-Line S” variants are available exclusively with the extended range (81.4 kWh) battery, which offers a range of 362 miles.

All EV4 hatchback models are powered by a single front motor with 201 bhp (150 kW) and 283 Nm of torque, good for a 0 to 62 mph sprint in 7.5 secs.

Kia's-first-electric-hatchback
Kia EV4 hatchback (Source: Kia)

The interior features a similar setup to Kia’s latest EV models, like the EV3 and EV9, with its new connected car Navigation Cockpit (ccNC) at the center. The setup features dual 12.3″ driver clusters and infotainment screens in a curved panoramic display. An additional 5.3″ touchscreen for climate control is included for easy access to heating and ventilation functions.

Like the EV3, Kia’s electric hatchback will include an AI Assistant, powered by ChatGPT. It will also be the brand’s first vehicle with several entertainment settings, including “Rest mode” and Theatre mode.”

Kia-EV4-first-electric-hatchback-interior
Kia EV4 hatchback interior (Source: Kia)

With all the seats upright, the electric hatch has a boot space of 435 liters, which Kia claims makes it “one of the most practical vehicles in its segment.”

With a length of 4,430 mm, a width of 1,860 mm, and a height of 1,485 mm, the EV4 hatchback is about the size of Kia’s XCreed.

The EV4 hatch can recharge from 10% to 80% in 29 minutes, while the larger battery will take approximately 31 minutes to charge using a 350 kW DC fast charger.

Kia EV4 hatchback trim Starting Price Driving Range
(WLTP)
Air Standard Range £34,695 ($47,700) 273 miles
Air Long Range £37,695 ($51,700) 388 miles
GT-Line £39,395 ($54,000) 362 miles
GT-Line S £43,895 ($60,200) 362 miles
Kia EV4 hatchback prices and range in the UK

Kia opened orders for the new electric hatch on Monday, July 1. It will join the EV3, EV6, and EV9 in the brand’s European lineup. The EV4 hatchback will be built at Kia’s plant in Slovakia to expedite deliveries, which are scheduled to begin in the Fall.

Kia also announced on Monday that a new EV4 Fastback variant will join the lineup, but didn’t offer any additional details. More info, including prices and specs, “will be revealed in due course.” Check back soon for the latest.

What do you think of Kia’s first electric hatchback? Would you buy one in the US? Unfortunately, it’s not likely to make the trip overseas, but we will see the sedan version launch at some point in early 2026. Let us know your thoughts in the comments.

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Tesla (TSLA) is about to release Q2 deliveries: here’s what to expect

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Tesla (TSLA) is about to release Q2 deliveries: here's what to expect

Tesla (TSLA) is about to release its Q2 2025 delivery and production results. Here, we examine what Wall Street expects and what would make sense in reality.

Wall Street has struggled to understand Tesla’s decline in deliveries over the past year.

The analyst consensus for the first quarter was over 450,000 deliveries in January, but that number dropped to 377,000 deliveries by the end of the quarter.

They had to adjust down by 73,000 units, or about $3 billion in sales, over just two months, and they still got it wrong by more than 40,000 units.

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Something similar is happening this quarter.

The Wall Street consensus was for 444,000 deliveries in April, indicating that analysts believed Tesla when it stated that the poor performance in the first quarter was solely due to the Model Y changeover and that it could return to growth or maintain demand, as it had delivered approximately 444,000 vehicles in Q2 2024.

However, that consensus waned throughout the quarter as data confirmed that Tesla is not production-constrained, yet still faces significant demand issues.

The Wall Street consensus for Tesla’s Q2 deliveries is now at 385,000 vehicles.

This represents a 13% decline year-over-year, despite Tesla currently offering record discounts and incentives, including 0% financing on both the Model 3 and Model Y in most markets.

However, it is likely that analysts are again overestimating deliveries.

Electrek’s Take

We have great data in Europe and China, where Tesla is basically down by a few thousand units despite the new Model Y being widely available during the second quarter.

The only primary market with limited data for the second quarter is the US.

The US is likely where the new Model Y had the biggest positive impact, and Tesla will need to perform well there for deliveries to surpass its Q1 2025 results.

The automaker has no chance at annual growth in the second quarter, but based on the best data available, I think it should end between 330,000 and 360,000 units – way below the current analyst consensus.

The lower end of the spectrum would result in a massive 25% drop in annual deliveries, while the higher end would result in a still significant 19% drop.

There’s no other way to cut it: Tesla’s automotive business is in crisis.

The crazy thing is that Wall Street is completely missing this story and only adjusting for the decline throughout the quarter.

At the end of the first quarter, analysts still expected Tesla to avoid a decline in deliveries in 2025, with approximately 1,850,000 vehicles.

The consensus now stands at 1.6 million units, which is still likely too high by 100,000 units, representing billions of dollars in sales.

Furthermore, they predict that Tesla will experience a resurgence in growth in 2026, despite the EV tax credit being eliminated in the US, its least affected market so far.

Tesla has minimal prospects for returning to automotive growth beyond some significant reforms that are nowhere in sight, given Musk’s leadership.

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Tesla (TSLA) crashes after Trump threatens to set DOGE on Elon Musk

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Tesla (TSLA) crashes after Trump threatens to set DOGE on Elon Musk

Tesla’s stock (TSLA) crashed by as much as 5% in pre-market trading after President Trump threatened to set DOGE on Elon Musk, who has been criticizing his ‘Big Beautiful Bill’.

After being kindly shown the door to the White House last month, Musk had a brief moment of clarity and started to criticize Trump and the Republican party, which he helped elect with almost $300 million of his own money in the 2024 elections.

He highlighted how Trump’s “Big Beautiful Bill” is expected to increase the deficit and debt. The Tesla CEO even linked Trump to Jeffrey Epstein, something that has been well known for decades, but Musk conveniently ignored it as he was backing the President and wearing hats that read, “Trump was right about everything.”

Musk quickly calmed down and even apologized for “going too far” and started praising Trump again.

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That didn’t last long.

Over the last few days, as the Senate attempts to pass Trump’s budget and tax bill, Musk has renewed his efforts to halt the legislation.

The CEO appeared to renew the attacks after the Senate updated the bill to kill the EV incentive sooner and to increase taxes on solar and wind projects.

However, Musk said that he doesn’t mind EV and renewable energy subsidies going away, but he believes that fossil fuel subsidies should also be removed, which is not in the plans at all.

Trump campaigned on Musk’s money, claiming that he would get America to “drill, baby, drill” again.

The CEO went as far as threatening any Senator who vote for the bill, all Republicans, to face his money in their next primary. He added that if the bill passes, he will create a new “America Party.’

Musk’s attacks have focused on the bill itself and the Republicans voting for it, but Trump likes to call it his bill, and unsurprisingly, he is unhappy with Musk.

Last night, he took to Truth Social to highlight again that Musk “would probably have to close up shop and head back to South Africa” without US government subsidies.

The President then suggested that he could have DOGE, a department that Musk created, go after him and the subsidies that his companies get:

Elon Musk knew, long before he so strongly Endorsed me for President, that I was strongly against the EV Mandate. It is ridiculous, and was always a major part of my campaign. Electric cars are fine, but not everyone should be forced to own one. Elon may get more subsidy than any human being in history, by far, and without subsidies, Elon would probably have to close up shop and head back home to South Africa. No more Rocket launches, Satellites, or Electric Car Production, and our Country would save a FORTUNE. Perhaps we should have DOGE take a good, hard, look at this? BIG MONEY TO BE SAVED!!!

Tesla’s stock dropped by more than 4% in pre-market trading following the President’s threat.

Musk responded to the President by pointing out that he is asking to remove the subsidies, but he didn’t add his usual caveat of also removing all subsidies for fossil fuel.

Electrek’s Take

It’s both sad and funny to see Elon now. It’s sad because the US is plunging back into an energy dark age of relying on fossil fuels. Still, it’s amusing because Elon is acting as if he’s just now realizing what he has done, despite everyone but a few cult members screaming at him that this was going to happen for the last year.

Elon got what he wanted out of Trump with his $300 million, and now, he realizes that his influence has limits and that Trump is going to do way more damage than just what Musk wanted out of him: to stop illegal immigration and the so scary “woke mind virus.”

The result will be a significant blow to the growth of electric vehicles and clean energy in the US, and Tesla will be affected in the process, exactly what we have been saying for the last year.

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