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Saudi energy minister Abdulaziz bin Salman on Oct. 5, 2022.

Bloomberg | Bloomberg | Getty Images

Saudi’s state-controlled oil giant Aramco suspended its capacity expansion plans because of the green transition, Energy Minister Abdulaziz bin Salman said Monday, stressing that the future of energy security lies with renewables. 

“I think we postponed this [Aramco capacity] investment simply because … we’re transitioning. And transitioning means that even our oil company, which used to be an oil company, became a hydrocarbon company. Now it’s becoming an energy company,” the Saudi prince said during a question and answer panel at the International Petroleum Technology Conference in Dhahran, noting that Aramco has investments in oil, gas, petrochemicals and renewables.

On Jan. 30, the Saudi energy ministry surprised the markets with a directive instructing the Saudi majority-owned Aramco, which went public in 2019, to stop plans to increase its maximum crude production capacity from 12 million barrels per day to 13 million barrels per day by 2027. The ministry did not disclose the reason behind its decision at the time, sparking questions over potential Saudi concerns over the future of oil demand amid a progressing energy transition.

The Saudi energy minister on Monday qualified the decision was not made hastily and was the product of a continuous review of market conditions.

“We are in [a] continuous mode of reviewing and reviewing and reviewing, simply because you have to view the realities [of the market],” he said.

Saudi Arabia's directive for Aramco was 'prudent,' oil and gas consultancy says

Oil prices have spasmed through waves of volatility in the wake of the Covid-19 pandemic, weighed by lower-than-expected recoveries in Chinese demand and inflationary pressures. The global movement to decarbonize and stave off a climate crisis has redirected energy companies away from long-term fossil fuel projects in favor of greener investment pastures — and may redefine the outlook for energy security, Abdulaziz bin Salman signaled on Monday.

“Energy security in the 70s, and 80s and 90s was more dependent on oil. Now, you get what happened last year … It was gas. The future problem on energy security, it will not be oil. It will be renewables. And the materials, and the mines,” he stressed, noting that there is still a “huge cushion” of spare capacity available in the event of an emergency shortage. Previously, such supply shocks have struck by way of sanctions or attacks against oil infrastructure worldwide.

“Why should we be the last country to hold energy capacity, or emergency capacity, when it is not appreciated? And when it is not recognized?” the Saudi energy minister said. “Energy security is not just the responsibility of Saudi Arabia. It’s the responsibility of all energy producers and energy ministries,”

Notably, spare capacity has also long served as a diplomatic instrument in the Saudi-led Organization of the Petroleum Exporting Countries, shaping the odds of victory in the fleeting one-month price war between Riyadh and Moscow in 2020.

Saudi Arabia and its OPEC allies have long championed a combined energy transition strategy that utilizes fossil fuel resources until such a time that renewable supplies are available to fully cover global requirements, downplaying concerns over markets imminently hitting peak old demand. The stance stands in staunch contrast to that of the International Energy Agency, which in a landmark report of 2021 advocated against further investment in new fossil fuel supply projects, if humanity is to combat the climate crisis.

Yet Middle East countries have increasingly attempted to reconcile their image as stalwart fossil fuel producers with their energy transition ambitions, with key OPEC producer the United Arab Emirates hosting last year’s U.N. climate-geared Conference of the Parties (COP).

The world’s largest crude exporter, Saudi Arabia aims to decarbonize by 2060, with Saudi Aramco targeting to reach operational net-zero emissions by 2050. Steered by Crown Prince Mohammed bin Salman’s Vision 2030 plan, the kingdom has also been grappling with diversifying its economy away from overreliance on fossil fuels.

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Lectric Ebikes may be launching a new XP 4 this week, and it could change everything

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Lectric Ebikes may be launching a new XP 4 this week, and it could change everything

Lectric Ebikes appears to be preparing for a major new product launch, teasing what looks like the next evolution of its wildly popular folding fat tire electric bike. Based on the clues, it looks like a new Lectric XP 4 could be inbound.

In a social media post released over the weekend, the company shared a minimalist graphic reading “XP4” along with the message “Tune in 5.6.2025 9:30AM PT.” That date – this Tuesday – suggests we’re just hours away from the big reveal of the Lectric XP 4.

If true, this would mark the next generation of the most successful electric bike in the U.S. market. The current model, the Lectric XP 3.0, has become an icon of accessible, budget-friendly electric mobility. Starting at just $999, the XP 3.0 offers a foldable frame, fat tires, a 500W motor, a rear rack, lights, and hydraulic brakes – all packed into a highly shippable design that arrives fully assembled. It’s the kind of package that has helped Lectric claim the title of best-selling e-bike brand in the U.S. for several years in a row.

With the XP 3.0 still going strong, the teaser raises plenty of questions. Will the XP 4.0 be a modest update or a major leap forward? Could we see new features like torque-sensing pedal assist, a location tracking option, or upgraded performance? Or is Lectric preparing a more comfort-oriented variant, maybe even with upgraded suspension or even more accessories included standard?

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The teaser image, which features stylized stripes in grey, blue, and black, may hold some clues. One theory is that the colors represent new trim options or component upgrades. Another possibility is that Lectric is preparing multiple variants of the XP 4.0 – perhaps targeting commuters, adventurers, and off-road riders with purpose-built versions. We took the liberty of a bit of rampant speculation late last year, so perhaps that’s now worth a revisit.

At the same time though, Lectric’s penchant for launching new models at unbelievably affordable prices has never run up against such strong pricing headwinds as those posed by uncertainty in the current US-global trade war fueled by rapidly changing tariffs for imported goods.

lectric xp 3.0 hydraulic
Previous versions of the Lectric XP e-bike line have seen sky-high sales

Whatever the case, Lectric’s knack for surprising the industry with high-value, customer-focused e-bikes means expectations will be high. The brand has built a loyal following by delivering reliable performance at a price point that few can match, and any major update to the XP lineup is likely to ripple across the market.

As a young and energetic e-bike company, Lectric is also known for throwing impressive parties around the launch of new models. It looks like I may need to hop on a red-eye to Phoenix so I can see for myself – and so I can bring you all along, of course.

Be sure to tune in Tuesday at 9:30AM PT to see what Lectric has in store – and you can bet we’ll have all the details and first impressions as soon as they drop.

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U.S. crude oil prices fall more than 4% after OPEC+ agrees to surge production in June

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U.S. crude oil prices fall more than 4% after OPEC+ agrees to surge production in June

Logo of the Organization of the Petroleum Exporting Countries (OPEC)

Andrey Rudakov | Bloomberg | Getty Images

U.S. crude oil futures fell more than 4% on Sunday, after OPEC+ agreed to surge production for a second month.

U.S. crude was down $2.49, or 4.27%, to $55.80 a barrel shortly after trading opened. Global benchmark Brent fell $2.39, or 3.9%, to $58.90 per barrel. Oil prices have fallen more than 20% this year.

The eight producers in the group, led by Saudi Arabia, agreed on Saturday to increase output by another 411,000 barrels per day in June. The decision comes a month after OPEC+ surprised the market by agreeing to surge production in May by the same amount.

The June production hike is nearly triple the 140,000 bpd that Goldman Sachs had originally forecast. OPEC+ is bringing more than 800,000 bpd of additional supply to the market over the course of two months.

Oil prices in April posted the biggest monthly loss since 2021, as U.S. President Donald Trump’s tariffs have raised fears of a recession that will slow demand at the same time that OPEC+ is quickly increasing supply.

Oilfield service firms such as Baker Hughes and SLB are expecting investment in exploration and production to decline this year due to the weak price environment.

“The prospects of an oversupplied oil market, rising tariffs, uncertainty in Mexico and activity weakness in Saudi Arabia are collectively constraining international upstream spending levels,” Baker Hughes CEO Lorenzo Simonelli said on the company’s first-quarter earnings call on April 25.

Oil majors Chevron and Exxon reported first-quarter earnings last week that fell compared to the same period in 2024 due to lower oil prices.

Goldman is forecasting that U.S. crude and Brent prices will average $59 and $63 per barrel, respectively, this year.

Catch up on the latest energy news from CNBC Pro:

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Chicago plans more, and more equitable public charging as EV sales climb

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Chicago plans more, and more equitable public charging as EV sales climb

Electric vehicles’ share of the market continues to climb in America’s second city, with BEV registrations up more than 50% in the first quarter of 2025 compared with the same period last year. Great news, but charging hasn’t up – but a new plan from Chicago Department of Transportation aims to build up enough infrastructure for the city to keep up.

In a bid to keep up with the rapid growth of EVs, Chicago Department of Transportation (CDOT is currently seeking public feedback on a plan called “Chicago Moves Electric Framework.” The city’s first such plan, it outlines initiatives that include a curbside charging pilot through the city’s utility, ComEd, and expanded charging access in key areas throughout the city.

Unlike other such plans, however, the new plan aims to focus on bringing electric vehicle charging to EIEC and low income communities, too.

“Through this framework, we are setting clear goals and identifying solutions that reflect the voices of our residents, communities, and regional partners,” said CDOT Commissioner Tom Carney. “By prioritizing equity and public input, we’re creating a roadmap for electric transportation that serves every neighborhood and helps drive down emissions across Chicago.”

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Neighborhoods on the south and west sides of Chicago experience a disproportionate amount of air pollution and diesel emissions, largely due to vehicle emissions according to CDOT. Despite that, most of Chicago’s public charging stations are clustered in higher-income areas while just 7.8% are in environmental justice neighborhoods that face higher environmental burdens.

“Too often, communities facing the greatest economic and transportation barriers also experience the most air pollution,” explains Chicago Mayor Brandon Johnson. “By prioritizing investments in historically underserved areas and making clean transportation options more affordable and accessible, we can improve both mobility and public health.”

The Framework identifies other near-term policy objectives, as well – such as streamlining the EV charger installation process for businesses and residents and implementing “Low-Emission Zones” in areas disproportionately impacted by air pollution by limiting, or even restricting, access to conventional medium- and heavy-duty vehicles during peak hours.

The Chicago Moves Electric Framework includes the installation of Level 2 and DC fast charging stations in public locations such as libraries and Chicago’s Midway Airport, “supporting not only personal EVs but also electric taxis, ride-hail and commercial fleets.”

Chicago has a goal of installing 2,500 public passenger EV charging stations and electrifying the city’s entire municipal vehicle fleet by 2035.

Electrek’s Take

Chicago Drives Electric | ComEd Press Conference
ComEd press conference at Chicago Drives Electric, 2024; by the author.

I hate to sound like a bed-wetting liberal here, guys, but Chicago is getting EVs absolutely right with big utility incentives on both vehicles and infrastructure, a governor willing to stand behind smart environmental policy, and a solid push for more and better infrastructure in the areas where they’ll do the most good. They’re even thinking of the children.

Here’s hoping more cities follow suit.

SOURCE: ComEd, via Smart Cities Dive; featured image by EVgo.

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