An employee handles a pump at a hydrogen refueling point at a Royal Dutch Shell gas station in Berlin on Aug. 25, 2021.
Krisztian Bocsi | Bloomberg | Getty Images
Shell will cut 200 positions within its low-carbon solutions unit in 2024, a spokesperson confirmed to CNBC on Wednesday.
The company’s low-carbon division helps spearhead Shell’s transition to clean energy including hydrogen, given its pledge to become a “net-zero emissions energy business” by 2050. The company will switch some of the jobs in question to other divisions within Shell’s more than 90,000 employee workforce, and an additional 130 roles will be put “under review” throughout 2024, said the spokesperson.
The job cuts are a part of a broader overhaul by Shell CEO Wael Sawan, who took the helm in January, bullish on the company’s ability to decarbonize, despite the fact that its bottom line still relies on its oil and gas output. The decision to downsize also follows Shell’s failure to secure a grant from the $7 billion of federal funding to develop hydrogen energy, which was distributed earlier this month.
Shell had applied for the funding with a hydrogen hub in Louisiana but was ultimately not on the list of seven hubs that received a grant this round. The company said it is still waiting for a formal explanation from the Department of Energy on why its Louisiana hub was not selected.
In the meantime, according to the spokesperson, Shell is planning $10 billion to $15 billion of low-carbon energy investment over the next two years, which will include biofuels, hydrogen, carbon capture and electric vehicle charging. Last July, the company announced its investment in the creation of one of Europe’s largest hydrogen energy plants.
In June, the company announced it would maintain its levels of oil production through 2030 to boost investor confidence as its renewables sagged.
“We will invest in the models that work — those with the highest returns that play to our strengths,” Sawan said at the time, six months into the role.
Shell, along with many major oil companies, has come under fire for its role in perpetuating climate change. It has been sued in the past for its failure to keep up with the climate goals outlined in the Paris Agreement. The company is also currently among the oil giants California is suing for allegedly deceiving the public about the realities of climate change.
The question of how big oil companies such as Shell can fit into a clean energy future is existential for its business. Competitors such as Exxon Mobil and Chevron recently doubled down on their commitments to fossil fuels with two major oil acquisitions.
Tesla has changed the meaning of “Full Self-Driving”, also known as “FSD”, to give up on its original promise of delivering unsupervised autonomy.
Since 2016, Tesla has claimed that all its vehicles in production would be capable of achieving unsupervised self-driving capability.
CEO Elon Musk has claimed that it would happen by the end of every year since 2018.
Tesla has even sold a software package, known as “Full Self-Driving Capability” (FSD), for up to $15,000 to customers, promising that the advanced driver-assist system would become fully autonomous through over-the-air software updates.
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Almost a decade later, the promise has yet to be fulfilled, and Tesla has already confirmed that all vehicles produced between 2016 and 2023 don’t have the proper hardware to deliver unsupervised self-driving as promised.
Musk has been discussing the upgrade of the computers in these vehicles to appease owners, but there’s no concrete plan to implement it.
While there’s no doubt that Tesla has promised unsupervised self-driving capabilities to FSD buyers between 2016 and 2023, the automaker has since updated its language and now only sells “Full Self-Driving (Supervised)” to customers:
The fine print mentions that it doesn’t make the vehicle “autonomous” and doesn’t promise it as a feature.
In other words, people buying FSD today are not really buying the capability of unsupervised self-driving as prior buyers did.
One of these milestones is Tesla having “10 Million Active FSD Subscriptions.”
At first glance, this would be hopeful for FSD buyers since part of Musk’s compensation would be dependent on delivering on the FSD promises.
However, Tesla has changed the definition of FSD in the compensation package with an extremely vague one”
“FSD” means an advanced driving system, regardless of the marketing name used, that is capable of performing transportation tasks that provide autonomous or similar functionality under specified driving conditions.
Tesla now considers FSD only an “advanced driving system” that should be “capable of performing transportation tasks that prove autonomous or similar functionality”.
The current version of FSD, which requires constant supervising by the driver, could easily fit that description.
Therefore, FSD now doesn’t come with the inital promise of Tesla owners being able to go to sleep in their vehicles and wake up at their destination – a promise that Musk has used to sell Tesla vehicles for years.
Electrek’s Take
The way Tesla discusses autonomy with customers and investors versus how it presents it in its court filings and legally binding documents is strikingly different.
It should be worrying to anyone with an interest in this.
With this very vague description in the new CEO compensation package, Tesla could literally lower the price of FSD and even remove base Autopilot to push customers toward FSD and give Musk hundreds of billions of dollars in shares in the process.
There’s precedent for Tesla decreasing pricing on FSD. Initially, Musk said that Tesla would gradually increase the price of the FSD package as the features improved and approached unsupervised autonomy.
That was true for a while, but then Tesla started slashing FSD prices, which are now down $7,000 from their high in 2023:
The trend is quite apparent and coincidentally began when Tesla’s sales started to decline.
FSD is now a simple ADAS system without any promise of unsupervised self-driving. This might quite honestly be one of the biggest cases of false advertising or bait-and-switch ever.
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The new Chevy Bolt EV is set to enter production later this year, with one fewer shift, following GM’s reduction in production plans at several US plants. Apart from the Bolt, GM promised a new family of affordable EVs. Are those, too, now at risk?
GM says more affordable EVs are coming, but when?
GM remained the number two EV maker in the US after back-to-back record sales months in July and August. However, with the $7,500 federal tax credit set to expire at the end of the month, the company expects a slowdown.
On Thursday, GM sent a note to employees at its Spring Hill plant in Tennessee, outlining plans to reduce output of two Cadillac electric SUVs, the Lyriq and Vistiq.
A source close to the matter confirmed the news to Reuters, saying the production halt will begin in December. GM will significantly reduce output during the first five months of 2026, according to the source.
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GM is also delaying the second shift at its Fairfax Assembly Plant in Kansas City, where the new Chevy Bolt is slated to enter production later this year. The Bolt will be the first of a new series of affordable EVs that GM intends to build in Kansas.
GM plans to build a “next-gen affordable EV) in Kansas (Source: GM)
However, those too, may now be in jeopardy. According to local news outlets, GM Korea Technical Research Center (GMTCK), a spin-off of GM’s Korean subsidiary, was recently cut out of a secret small EV project it was developing.
GMTCK president Brian McMurray reportedly announced internally last month during a trip to the US that the project was cancelled and only 30% to 40% complete.
A GM Korea spokesperson clarified that “the EV project being led by GMTCK was a global undertaking, not undertaken solely by GM Korea. The spokesperson added, “The project itself has not been canceled; the role of the Korean team has simply changed.”
The new electric car, dubbed “Fun Family,” was scheduled to launch under the Chevy and Buick brands, using a single platform. Production was expected to begin in 2027 with deliveries starting in 2028.
2022 Chevy Bolt EUV (Source: GM)
GM Korea exports over 90% of the vehicles it makes to the US, but with the new auto tariffs, the subsidiary is expected to play a drastically smaller role, if any at all. The news is fueling the ongoing rumors that GM could withdraw from Korea altogether.
In addition to the tariffs, South Korea’s recently passed “Yellow Envelope Law” could make it even more difficult for GM with new labor laws.
Chevy Equinox EV LT (Source: GM)
Will this impact the affordable EVs GM is promising to launch in the US? They are scheduled to be built in Kansas, but with the R&D Center, GM’s second largest globally, following the US, claiming to be excluded from a major global EV project, it can’t be a good sign.
In the meantime, GM already has one of the most affordable electric vehicles in the US, the Chevy Equinox EV. Starting at under $35,000, the company calls it “America’s most affordable” EV with over 315 miles of range.
With the $7,500 federal tax credit still available, GM is promoting Chevy Equinox EV leases for under $250 a month. Nowadays, it’s hard to find any vehicle for under that.
Connecticut and Rhode Island are suing the Trump administration to overturn its “baseless” decision to halt Revolution Wind, a nearly completed offshore wind farm set to deliver clean power to New England.
Attorneys General William Tong of Connecticut and Peter Neronha of Rhode Island announced Thursday that they’ll file suit in Rhode Island federal court to overturn the August 22 stop-work order from the Bureau of Ocean and Energy Management (BOEM). The order abruptly shut down construction without citing any violation of law or safety threats. Instead, BOEM vaguely referred to “concerns” under its Outer Continental Shelf Lands Act authority, offering no explanation.
Revolution Wind is 15 nautical miles off Rhode Island and expected to come online in 2026. Once complete, the $6 billion project would supply 350,000 homes with electricity and save ratepayers in Connecticut and Rhode Island hundreds of millions of dollars over 20 years. The project supports more than 2,500 jobs across the US, including over 1,000 union construction jobs, and has already cleared every required state and federal review. Construction is already 80% complete.
The lawsuit, to be filed against the Department of the Interior, BOEM, and their nominated leaders, argues that the stop-work order violates the Administrative Procedure Act and the agency’s authority under OCSLA. The complaint says the government’s action is arbitrary, capricious, and undermines both states’ legal and financial commitments.
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“Revolution Wind is fully permitted, nearly complete, and months from providing enough American-made, clean, affordable energy to power 350,000 homes. Now, with zero justification, Trump wants to mothball the project, send workers home, and saddle Connecticut families with millions of dollars in higher energy costs,” Tong said. “This kind of erratic and reckless governing is blatantly illegal, and we’re suing to stop it.”
Neronha added, “With Revolution Wind, we have an opportunity to create good-paying jobs for Rhode Islanders, enhance energy reliability, and ensure energy cost savings while protecting our environment. And yet, this stop-work order is not even the latest development in this administration’s all-out assault on wind energy. Just yesterday, we learned of reports that the Administration is pulling in staff from several different unrelated federal agencies, including Health and Human Services, to do its bidding. This is bizarre, this is unlawful, this is potentially devastating, and we won’t stand by and watch it happen.”
Connecticut Governor Ned Lamont said the administration has offered no explanation nearly two weeks after the order. “We hoped to work with the Administration to lower energy costs, strengthen grid reliability, create jobs, and drive economic growth, but only if they share those goals. But if they do not, we will act to preserve this vital project and protect the energy future of Connecticut and the entire New England region,” he said.
Senator Richard Blumenthal (D-CT) called the shutdown “insane, illogical, and illegal,” while Senator Chris Murphy (D-CT) said, “The Revolution Wind project has already made it through exhaustive reviews by multiple federal agencies, and I doubt Trump’s flimsy excuses for scuttling this project will stand up to legal scrutiny.”
Danish renewables developer Ørsted, which owns a 50% share in Revolution Wind, also announced Thursday that it’s suing the Trump administration in a bid to restart construction on the blocked wind farm.
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