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The modern GE was built by Jack Welch, the youngest CEO and chairman in company history when he took over in 1981. He ran it for 20 years, becoming the rare CEO who was also a household name, praised for his strategic and operational mastery.

their most obvious problem. GE couldn’t live without GE Capital, still so big it was essentially the nation’s seventh largest bank. But investors couldn’t live with GE Capital and its unshakable shadow of risk, either.

it worked more like a collection of businesses under the protection of a giant bank. As the financial sector came to drive more of the U.S. economy, GE Capital, the company’s finance arm, powered more of the company’s growth. At its height, Capital accounted for more than half of GE’s profits. It rivaled the biggest banks in the country, competed with Wall Street for the brightest M.B.A.s and employed hundreds of bankers.

The industrial spine of the company gave GE a AAA credit rating that allowed it to borrow money inexpensively, giving it an advantage over banks, which relied on deposits. The cash flowed up to headquarters where it powered the development of new jet engines and dividends for shareholders.

Capital also gave General Electric’s chief executives a handy, deep bucket of financial spackle with which to smooth over the cracks in quarterly earnings reports and keep Wall Street happy

GE shares were trading at 40 times its earnings when Welch retired in 2001, more than double where it had historically. And much of those profits were coming from deep within Capital, not the company’s factories.

When the financial crisis hit, Capital fell back to earth, taking GE’s share price and Immelt with it. The stock closed as low as $6.66 in March 2009. General Electric was on the brink of collapse. The market for short-term loans, the lifeblood of GE Capital, had frozen, and there was little in the way of deposits to fall back on. The Federal Reserve stepped in to save it after an emergency plea from Immelt.

the near-death experience taught investors to think of GE like a bank, a stock always vulnerable to another financial collapse

At its peak, General Electric was the most valuable company in the U.S., worth nearly $600 billion in August 2000. That year, GE’s third of a million employees operated 150 factories in the U.S., and another 176 in 34 other countries. Its pension plan covered 485,000 people.

What if the GE Jack Welch built didn’t work any more?

Cracks in the performance of the company’s industrial lines—its power turbines, jet engines, locomotives and MRI machines—would now be plain to see, some executives worried, without Capital’s cash to help cover the weak quarters and pay the sacrosanct dividend

Most of the shortfall came from its service contracts, which should have been the source of the easiest profits. Instead, the heart of the industrial business was hollow. And its failure was about to tip the entire company into crisis.

Former colleagues compared him to Bill Clinton because of his magnetic ability to hold the focus of a room. He sounded like a leader. He was a natural salesman.

Immelt was so confident in GE’s managerial excellence that he projected a sunny vision for the company’s future that didn’t always match reality. He was aware of the challenges, but he wanted his people to feel like they were playing for a winning team. That often left Immelt, in the words of one GE insider, trying to market himself out of a math problem.

Alstom’s problems hadn’t gone away, but now its stock was cheaper, and Immelt saw the makings of a deal that fit perfectly with his vision for reshaping his company. GE would essentially swap Capital, the cash engine that no longer made sense, for a new one that could churn out profits each quarter in the reliable way that industrial companies were supposed to.

To the dismay of some involved, GE’s bid crept upward, from the €30 a share that the power division’s deal team already believed was too high, to roughly €34, or almost $47. Immelt and Kron met one-on-one, and the deal team realized the game was over. The principals had shaken hands.

The visions for the present and the future were both fundamentally flawed. As GE’s research department was preparing white papers heralding “The Age of Gas,” the world was entering a multiyear decline in the demand for new gas power plants and for the electricity that made them profitable.

When advisers determined that the concessions to get the deal approved might have grown costly enough to trigger a provision allowing GE to back out, some in the Power business quietly celebrated, confiding in one another that they assumed management would abandon the deal. But Immelt and his circle of closest advisers wanted it done. That included Steve Bolze, the man who ran it and hoped someday to run all of General Electric.

“Steve’s our guy,” McElhinney said in one meeting. If Bolze was elevated to CEO, those behind him in Power would rise too. “Get on board,” he said. “We have to make the numbers.”

Immelt, trapped in Welch’s long shadow, craved a bold move to shock his company out of the doldrums that had plagued his tenure. It was time for GE to be reinvented again.

In the dry language of accounting in which he was so fluent, Flannery was declaring a pillar of Immelt’s pivot had failed: GE had been sending money out the door to repurchase its stock and pay dividends but wasn’t bringing in enough from its regular operations to cover them. It wasn’t sustainable. Buybacks and dividends are generally paid out of leftover funds.

when GE spun off Genworth, there was a chunk of the business, long-term-care insurance, that lingered. Policies designed to cover expenses like nursing homes and assisted living had proved to be a disaster for insurers who had drastically underestimated the costs

The bankers didn’t think the long-term-care business could be part of the Genworth spinoff. To make the deal more attractive, GE agreed to cover any losses. This insurance for insurers covered about 300,000 policies by early 2018, about 4% of all such policies written in the country. Incoming premiums weren’t covering payouts.

Two months after Miller flagged the $3 billion, it was clear the problem was a great deal larger. GE was preparing for it to be more than $6 billion and needed to come up with $15 billion in reserves regulators required it to have to cover possible costs in the future. The figure was gigantic. By comparison, even after the recent cut, GE’s annual dividend cost $4 billion.

JP Morgan analyst Steve Tusa, who led the pack in arguing that GE was harboring serious problems, removed his sell rating on the stock this week. GE’s biggest skeptic still thinks the businesses are broken but the risks are now known. The stock climbed back above $7 on Thursday, but is down more than 50% for the year and nearly 90% from its 2000 zenith.

enewable power last year surged to 36 percent of the country's electricity use, according to the Agora Energiewende think tank. But while renewables grew in the power sector, they didn't make major strides in transport or heating, so they account for just over 13 percent of energy use.

Souring opinions on diesel engines further weigh on emissions. Diesel cars emit less greenhouse gases than those powered by gasoline, which is why the country's politicians and car industry saw diesel as a panacea to deal with global warming.

For years Germany was one of the world's energy transformation leaders. It was German cash that helped finance the technology revolution that has turned solar and wind into viable technologies that now generate increasingly cheap power

An average four-person household has to pay more than double for power in 2017 compared to 2000,"

The powerful German business lobby BDI is also unhappy, saying in a recent report that high electricity costs, delays in boosting the energy efficiency of buildings, and a “lack of vision” on transport are "worrying German industry.”

Greenhouse gas emissions in Germany have stagnated for three years in a row, rather than falling. That's largely to do with rising pollution caused by transportation, as well as a failure to reduce emissions in the buildings sector as energy consumption went up thanks to the economic recovery.

Germany is also set to fall short of its national climate target of cutting greenhouse gas emissions by 40 percent by 2020. The new coalition government effectively abandoned that goal, instead focusing on meeting its 2030 target of reducing emissions by 55 percent. Germany is also expected to miss its emissions reduction target for sectors such as transport and buildings.

But the Dieselgate scandal hammered the reputation of diesel cars, and there is growing concern about the smog that diesel generates. As cities consider banning older diesel cars, sales have fallen off a cliff. The share of diesel-fueled passenger cars in Germany was 39 percent last year, down from about 46 percent in 2016, 

"Germany missed bringing electric cars on to roads,

"In order to have an energy transition, you have to build up renewable energies, but then you also have to reduce coal, step-by-step,” Kemfert said. "That happened too late in Germany.

A lot of Germany's renewable power, especially powerful offshore wind, is generated in the north of the country. The difficulty is getting that electricity to industrial regions in the south like Bavaria.

For years Germany annoyed neighbors like the Netherlands, the Czech Republic and Poland by sending surges of electricity through their networks. They've now taken short-term measures to reduce the disruptions until the necessary transmission links are built.

domestic opposition is making it difficult for Germany to build its own north-south and other new interconnectors. The project has faced delays as people battle the idea of ugly high-voltage power lines besmirching pretty landscapes. Now much of the interconnector is due to run underground, ramping up costs.

Volkswagen's recent pledge to spend €20 billion on battery contracts and to begin making electric cars at 16 sites worldwide shows the car industry is taking steps to shift its business model — which could help secure a long-term drop in Germany's transport emissions.

Proponents of a swift coal exit, however, shouldn't hold their breath. Altmaier also said that ending coal power won't "happen suddenly and abruptly, but step-by-step over several decades."

Other global car firms including Renault-Nissan, Ford and General Motors are all working to develop electric cars in China.

China wants electric battery cars and plug-in hybrids to account for at least one-fifth of its vehicle sales by 2025.

The shift will also have a knock-on effect on oil demand in China. The country is currently the world's second-largest oil consumer after the US.

Wind and solar generators have gained substantial market share, and as battery costs fall, batteries paired with that green power are beginning to step into those roles by storing inexpensive green energy and discharging it after the sun falls or the wind dies.

President Biden is proposing to extend renewable-energy tax credits to stand-alone battery projects—installations that aren’t part of a generating facility—as part of his $2.3 trillion infrastructure plan, which could add fuel to an already booming market for energy storage.

renewables have become increasingly cost-competitive without subsidies in recent years, spurring more companies to voluntarily cut carbon emissions by investing in wind and solar power at the expense of that generated from fossil fuels.

the specter of more state and federal regulations to address climate change is accelerating the trend.

the combination of batteries and renewable energy is threatening to upend billions of dollars in natural-gas investments, raising concerns about whether power plants built in the past 10 years—financed with the expectation that they would run for decades—will become “stranded assets,” facilities that retire before they pay for themselves.

as batteries help wind and solar displace traditional power sources, some investors view the projects with caution, noting that they, too, could become victims of disruption in coming years, if still-other technological advances yield better ways to store energy.

most current batteries can deliver power only for several hours before needing to recharge. That makes them nearly useless during extended outages.

Duke Energy Corp. , a utility company based in Charlotte, N.C., that supplies electricity and natural gas in parts of seven states, is still looking to build additional gas-fired power plants. But it has started to rethink its financial calculus to reflect that the plants might need to pay for themselves sooner, because they might not be able to operate for as long.

To remedy that, Duke in public filings said it is considering shortening the plants’ expected lifespan from about 40 years to 25 years and recouping costs using accelerated depreciation, an accounting measure that would let the company write off more expenses earlier in the plants’ lives

It may also consider eventually converting the plants to run on hydrogen, which doesn’t result in carbon emissions when burned.

Much of the nation’s gas fleet, on the other hand, is relatively young, increasing the potential for stranded costs if widespread closures occur within the next two decades.

Gas plants that supply power throughout the day face the biggest risk of displacement. Such “baseload” plants typically need to run at 60% to 80% capacity to be economically viable, making them vulnerable as batteries help fill gaps in power supplied by solar and wind farms.

Today, such plants average 60% capacity in the U.S., according to IHS Markit, a data and analytics firm. By the end of the decade, the firm expects that average to fall to 50%, raising the prospect of bankruptcy and restructuring for the lowest performers.

“It’s just coal repeating itself.”

It took only a few years for inexpensive fracked gas to begin displacing coal used in power generation. Between 2011, shortly after the start of the fracking boom, and 2020, more than 100 coal plants with 95,000 megawatts of capacity were closed or converted to run on gas, according to the EIA. An additional 25,000 megawatts are slated to close by 2025.

Batteries are most often paired with solar farms, rather than wind farms, because of their power’s predictability and because it is easier to secure federal tax credits for that pairing.

Already, the cost of discharging a 100-megawatt battery with a two-hour power supply is roughly on par with the cost of generating electricity from the special power plants that operate during peak hours. Such batteries can discharge for as little as $140 a megawatt-hour, while the lowest-cost “peaker” plants—which fire up on demand when supplies are scarce—generate at $151 a megawatt-hour, according to investment bank Lazard.

Solar farms paired with batteries, meanwhile, are becoming competitive with gas plants that run all the time. Those types of projects can produce power for as little as $81 a megawatt-hour, according to Lazard, while the priciest of gas plants average $73 a megawatt-hour

Even in Texas, a state with a fiercely competitive power market and no emissions mandates, scarcely any gas plants are under construction, while solar farms and batteries are growing fast. Companies are considering nearly 88,900 megawatts of solar, 23,860 megawatts of wind and 30,300 megawatts of battery storage capacity in the state, according to the Electric Reliability Council of Texas. By comparison, only 7,900 megawatts of new gas-fired capacity is under consideration.

California last summer experienced the consequences of quickly reducing its reliance on gas plants. In August, during an intense heat wave that swept the West, the California grid operator resorted to rolling blackouts to ease a supply crunch when demand skyrocketed. In a postmortem published jointly with the California Public Utilities Commission and the California Energy Commission, the operator identified the rapid shift to solar and wind power as one of several contributing factors.

Mr. Morgan, who has closed a number of Vistra’s coal-fired and gas-fired plants since becoming CEO in 2016, said he anticipates most of the company’s remaining gas plants to operate for the next 20 years.

Quantum Energy Partners, a Houston-based private-equity firm, in the last several years sold a portfolio of six gas plants in Texas and three other states upon seeing just how competitive renewable energy was becoming. It is now working to develop more than 8,000 megawatts of wind, solar and battery projects in 10 states.

“We pivoted,” said Sean O’Donnell, a partner in the firm who helps oversee the firm’s power investments. “Everything that we had on the conventional power side, we decided to sell, given our outlook of increasing competition and diminishing returns.”

Climate scientists say vehicle electrification is one of the best ways to reduce planet-warming greenhouse gas emissions.

Gas prices are lower along the Gulf Coast and higher in California.

The new data showed hybrid cars, which run on a combination of fuel and battery power, and can sometimes be plugged in, had more mixed results for both emissions and costs.

(Battery-electric engines have fewer moving parts that can break compared with gas-powered engines and they don’t require oil changes. Electric vehicles also use regenerative braking, which reduces wear and tear.)

“With that trajectory, you can imagine that even immediately at the purchase price level, certain smaller sedans could reach purchase price parity in the next couple of years,” Dr. Gearhart said.

In the electricity sector, emissions plunged by 10.3 percent in 2020, driven by a sharp decline in coal burning. As electricity demand sagged nationwide, utilities ran their coal plants far less often because coal has become the most expensive fuel in many parts of the country. Instead, they used more natural gas — which produces less carbon dioxide than coal, but still generates significant heat-trapping methane — and drew more heavily on emissions-free wind and solar power.

Emissions from heavy industry, such as steel and cement, dropped 7 percent in 2020 as automakers and other manufacturers churned out fewer goods amid the economic slump. America’s buildings, which produce carbon dioxide when they burn oil or natural gas for heat, saw emissions fall 6.2 percent, driven by both lockdowns and warmer-than-average weather.

Transportation, the nation’s largest source of greenhouse gases, saw a 14.7 percent decline in emissions in 2020 as millions of people stopped driving to work and airlines canceled flights. While travel started picking up again in the latter half of the year as states relaxed their lockdowns, Americans drove 15 percent fewer miles over all last year than they did in 2019 and the demand for jet fuel fell by more than one-third.

Renewable energy surged in 2020, as energy companies overcame disruptions from the pandemic to build a record number of new wind turbines and solar panels ahead of a key deadline to claim a federal tax credit. The United States produced roughly as much electricity from renewable sources last year as it did from coal, a milestone that has never been reached before.

The other caveat is that America’s emissions could tick back up again once vaccines are widely distributed and the economy recovers. The Rhodium Group report noted that a similar rebound occurred after the financial crisis of 2008-9 caused emissions to fall sharply. And it noted that many sectors, like air travel and steel making, have already been rebounding in recent months.

“The vast majority of 2020’s emission reductions were due to decreased economic activity and not from any structural changes that would deliver lasting reductions in the carbon intensity of our economy.”

Scientists warn that even a big one-year drop in emissions is not enough to stop global warming. Until humanity’s emissions are essentially zeroed out and nations are no longer adding greenhouse gases to the atmosphere, the planet will continue to heat up. As if to underscore that warning, European researchers announced last week that 2020 was quite likely tied with 2016 as the hottest year on record.

The cost of an electric car can be prohibitive, it’s true, or at least it can appear to be from a glance at the window sticker. But we chose a Nissan Leaf, a vehicle made by our neighbors down in Smyrna, Tenn., and the model we bought qualified for the highest possible federal tax credit. So the actual cost of our car was $7,500 less than the price we paid for it, even if it didn’t seem that way when we signed the papers.

Even without the tax credit, many upcoming models are projected to cost no more than their carbon-spewing counterparts. The number of purchase options is about to explode, too, so you don’t have to give your money to Elon Musk if you want to drive an electric vehicle.

But none of these potential liabilities should be deal breakers. I love our little red Leaf, and I have never had a single moment of buyer’s remorse since we brought it home. It’s quiet, it’s comfortable, and it’s amazingly fun to drive.

All I can hope is that by the time we need to replace it, all our options will be electric. Because if they aren’t, the planet will pay a terrible price.

At least 90 percent of the power produced by the Aptera’s solar panels goes toward making the vehicle move, the company says.

lengths they can turn into electricity. They don’t perform well when they get hot.

Even the best solar panels only convert about 23 percent of the sunlight that hits them into energy. You can get much more power more quickly by simply plugging into a charging station.

In fact, a few years ago, lithium miners anticipated huge growth in electric-vehicle battery demand and expanded quickly — but the expected boom didn't come. Lithium prices collapsed.

As the Tesla plug becomes dominant, people with cars designed to use the C.C.S. plug will become increasingly dependent on adapters that, for safety, are limited in how much voltage they can handle and will charge more slowly.

The decision by other automakers to ally with Tesla, and generate revenue for a competitor, is an acknowledgment that Mr. Musk’s company has the most experience operating a charging network.

Tesla’s proprietary charging system, which it recently began calling the North American Charging Standard, is not overseen by an independent organization as other technical standards are. The company has said it intends to hand off control to such a body, though some competitors are skeptical of how much control Tesla will surrender.

Tesla has 19,700 charging ports across the United States at about 1,800 stations, according to the Energy Department, while there are 10,500 C.C.S. ports at 5,300 stations. Only 12,000 Tesla chargers will be open to Ford, G.M. and Rivian vehicles.

But one reason Tesla’s system performs well is that the company designs and manufactures the whole system — the car, the software and the charging hardware. Tesla will lose absolute control once other automakers join its network.

it’s not clear who will ensure that the charging equipment is safe and works as well with Tesla rivals as it does with Tesla itself, and referee any disputes between the company and other automakers.

Competitors are betting that government regulators would step in if Tesla tried to create a charging monopoly. Some are glad that someone is taking the lead to remove a major impediment to sales of electric vehicles.

France would seem to be less vulnerable than its neighbors: It boasts the biggest nuclear energy arsenal of any European Union country, and is one of the least reliant on Russian natural gas. But France faces an energy crisis of its own, as its nuclear industry addresses cracks, corrosion and other troubles that have forced EDF to temporarily shut down 32 of France’s 56 nuclear reactors.

The outages at EDF, which is also Europe’s biggest electricity exporter, have sent France’s nuclear power output plunging to its lowest level in nearly three decades. In addition, France’s worst drought in 30 years this summer has lowered river levels, cutting supplies of hydroelectric power.

On Friday, wholesale electricity prices for 2023 in France set a record, surging past €1,000 per megawatt-hour. Many French companies and retailers buy their electricity with three-year contracts that are set to expire, meaning they will have to be renewed at peak prices.

In northern France, some high schools in Brittany will lower their thermostats, while the neighboring region of Normandy will experiment with using wood-burning furnaces for heat in some schools as an alternative to gas.

Without the cap, French inflation would be about three percentage points higher, the French statistics agency Insee said in a report issued Friday.

In recent days, the government issued announcements calling on the French to curb a range of activities, in hopes of collectively saving energy. Among them: refraining from running washers at night, keeping thermostats at 66 degrees Fahrenheit and increasing use of public transportation

Many municipalities outside Paris started closing swimming pools intermittently this summer to save money. Other cities are restricting public lighting, which can account for over 40 percent of electricity bills.

The town of Thouars in western France has been turning off streetlights from 10 p.m. to 6 a.m. since June and plans to replace bulbs with LED lighting. Strasbourg, a mid-size city on the German border, will close museums two days a week instead of one.

President Macron, who faced a stiff presidential election campaign in April that saw the far-right challenger, Marine Le Pen, gain ground by addressing French families’ worries over purchasing power, has focused on shielding households from rising energy costs.

“We need a radical change,” Ms. Borne said. “Everyone must ask themselves what they can do to consume less.”

Worldwide, solar and wind capacity now tops 300 gigawatts, three times as much as the total capacity in Britain, or roughly as much electricity as 50 nuclear reactors, nearly half the number now operating in the United States. Most of this renewable capacity has been installed in just the last five years. In fact, over that period, solar capacity has been growing by over 50 percent a year, wind by 25 percent.

The cost of photovoltaic cells has fallen by two-thirds in three years. Today, solar energy costs around 15 cents a kilowatt-hour in the United States. In some regions, like Southern California, the cost of solar power is nearly on par with what consumers pay for electricity now.

this period is unique in human history because it is the first time our species is on the verge of wiping out most life as it now exists on this planet. It’s the mother of all emergencies.

Thatcher: a radical remaker of an economy and society, but in the context of previous economic stagnation, social breakdown, and a stifling collectivism, something of a moderate.

So FDR was in many ways an extremist in the context of American history; but his extremism was a form of moderation given the dire economic crisis he had to handle.

That’s why the Green New Deal has appeal. Its vast ambition is actually well-suited to the humongous scale of the challenge

When AOC’s critics say her idea is preposterously expensive and unnecessarily socialist (as it is), she is perfectly right to ask: So what’s your alternative?

Here’s a suggestion: Focus on a non-carbon energy source that is already proven to be technologically feasible, can be quickly scaled up, and can potentially meet all our energy demands. What we need, given how little time we have, is a massive nuclear energy program

The speediest drop in greenhouse gas pollution on record occurred in France in the 1970s and ‘80s, when that country transitioned from burning fossil fuels to nuclear fission for electricity, lowering its greenhouse emissions by roughly 2 percent per year. The world needs to drop its global warming pollution by 6 percent annually to avoid “dangerous” climate change in the estimation of [respected climate scientist James] Hanse

For the U.S. to get half its energy from nuclear would cost around $14 trillion. But if we committed to a huge nuclear investment, and the innovation that comes with it, that cost would come down. Compared with one estimate of $93 trillion for the Green New Deal, it’s a bargain

A build rate of 61 new reactors per year could entirely replace current fossil fuel electricity generation by 2050. Accounting for increased global electricity demand driven by population growth and development in poorer countries, which would add another 54 reactors per year, this makes a total requirement of 115 reactors per year to 2050 to entirely decarbonise the global electricity system in this illustrative scenario.

The Biden team has also promised 500,000 new charging stations for electric vehicles, a further appeal to states hungry for federal highway money. It is also another boon to electric utilities eager to boost demand from electric vehicles.

Democratic control also puts the Congressional Review Act in play. It allows Congress, with a simple majority, to overturn regulations finalized by the executive branch in the previous 60 legislative days, putting into jeopardy several Trump administration rules that eased environmental standards.

the benefits are really vivid, they are really clear. Everybody agrees that the world will be better off the faster we move. And that really wasn’t the case five or 10 years ago. There was much more muddled analysis and messaging then. And I think we have to take advantage of the new unanimity and not let people fall back on the logic of status quo bias and incumbency and just think that change is expensive and difficult

david wallace-wellsMy basic feeling is that the changes that we need are all systemic. And so the things that individuals can do to make that change are primarily through the political realm, not through their individual behavior. If we want to really halt this problem and get a handle on it, it means large, large scale changes that are beyond the capacity of individuals to enact on their own.

jane coastonHow do we get our house in order? What do I as an individual or the people listening to this podcast, how do I make this happen on my level? Knowing all of that, what do I do? What do I personally need to do? Give me a thing to do, Genevieve!

If you want to learn more about personal responsibility, I recommend Jason Marks’s article in the Sierra Club magazine, “Yes, actually, individual responsibility is essential to solving the climate crisis,” and the New York Times guest essay by Auden Schendler, “Worrying About Your Carbon Footprint is Exactly What Big Oil Wants You to Do.”

david wallace-wells

I don’t know that we have to all take on a feeling of guilt for the rise of G.D.P. under neoliberalism, because I don’t know that most of us have actually even seen that money.

ultimately, the things that we need to do to really get a hold of this are way bigger than cutting your food emissions by 10 percent or 50 percent or whatever. It’s like, the three of us in this room, we can’t build an electric grid, a solar farm. We can’t make sure that there are Tesla charging stations all across the country. We can’t re-imagine land use policy or agricultural policy. We can’t put an honest price on carbon so that when you’re buying gas, you’re actually paying for the environmental damage that’s being caused or when you’re buying an airplane ticket. Those are just things that are well outside of our capacity to control

jane coastonCould you explain what climate justice means to an audience that is me?genevieve guentherBasically, it means that the global north historically has been responsible for the vast majority of carbon pollution. And the global south has been responsible for almost none of it. Since 1990, for example, the top 10 percent of earners have been responsible for 52 percent of the growth of global emissions. And the poorest, 50 percent, who largely live in the global south, have been responsible for about 7 percent of global emissions. But that hasn’t grown at all. Historically, they have contributed nothing to the exponential growth of emissions and the increased and accelerating global heating that we’re already seeing. So the idea of climate justice is that global north nations have a moral responsibility to reduce their emissions first and faster so that there is some room left in whatever carbon budget we still have for the global south to pull themselves out of poverty.

jane coastonDavid, what do you make of what Genevieve said about the messaging about good and evil there?

david wallace-wellsI would say even more importantly, we can’t set our standard at extinction. It’s not like if we survive and avoid extinction, that that’s a success. There is huge suffering between here and there. And every degree of temperature rise is going to create more suffering. And every degree we avoid can help us avoid that.

The climate crisis has begun in the United States, too. But the real violence of it is in the global south. And I would argue that the global north doesn’t see it because the news media isn’t reporting on it and because the kind of white supremacy prevents people in this country from really recognizing that this is a violence that would feel unimaginable if it happened to their children.

genevieve guentherOK, so the first part is understanding why we have to do this. And I would argue that most Americans still don’t know enough about global heating and the climate crisis.

jane coastonYeah, but and a benefit when? Because I think a lot of this messaging relies on something that, in general, people do not like, which is, you may need to do a thing or change a thing about your life for a future that we have not yet defined. From a messaging perspective, how do we message the urgency

To think about the concrete impacts, 350,000 Americans, it’s estimated, die every single year from the air pollution from the burning of fossil fuels. That is a death toll literally equal to the 2020 death toll from COVID.

Or is it going to take so long that, in fact, things are going to spiral out of control?

within the space of a few years, by simply refusing to accept their own impotence, they have literally remade the entire landscape of global climate politics. Like in the U.S., when we have Joe Biden who Sunrise gave an F to in the primary, talking about this as an existential threat, that is because the protests worked. And they worked in an incredibly short amount of time

I personally think the high consumption, and particularly the flying of people who are in the public eye, trying to communicate the urgency of the climate crisis, is incredibly destructive to building a political movement. They’re actually doing something extremely counterproductive in my interpretation. They’re reinforcing everybody’s cognitive dissonance with their behavior, which is also a form of speech. They’re communicating that they’re not willing to make transformative changes and not willing to support transformative policies, and that, in fact, you need to use fossil fuels even to do climate work. And so, for me, I feel like the people who need to worry about their carbon footprints insofar as anybody does are the 1 percent and people in the climate movement.

here are huge, huge health consequences from this pollution. It may be the case that air pollution may even be a bigger crisis than climate change. That is how dramatic these impacts are. They happen to be caused largely by the same thing so we can solve them at the same time, but we’re talking about rising rates of respiratory disease and coronary disease and cancers of all kinds and Alzheimer’s and dementia and ADHD and criminality and premature birth and low birth weight. And just every aspect of human flourishing is damaged by the pollution that is produced by the burning of fossil fuels

david wallace-wellsIt’s really, really stark, as Genevieve lays out, that it is the wealthy countries of the world and the wealthy people of the world who have engineered this crisis. So whenever we hear about the problem of India, the problem of electrifying sub-Saharan Africa, these are problems. We need to figure them out and do them clean in a way that doesn’t imperil the future of the planet. But those are only problems that we have to deal with now because of the development patterns that countries like ours and across northern Europe went through over the last few decades and centuries.

Half of all emissions in the entire history of humanity have come in the last 30 years. Now since Al Gore published his first book on warming, you know I often joke it’s since the premiere of “Friends,” which means that, actually, the people who have done the lion’s share of the damage to the planet are alive today. And it is true, of course, that the people who have been running Shell and Chevron and ExxonMobil have much more responsibility than I do or Genevieve does or Jane does. But it is also the case that all of us have benefited in significant ways from economic activity that has been powered by fossil fuels and to which we could have raised louder objections earlier.

genevieve guentherI think it’s worthwhile to point out that the vast majority of Americans are literally going to be richer once we have decarbonized, because their electricity, their heating, their transportation, and their health care costs are going to go down significantl

genevieve guentherPick one. Do it once a week, and things will change. First thing is vote. You can’t do that once a week, but vote in every election. Vote

some of the actions that you’re talking about, the individual actions, I think can be useful in terms of generating small scale political energy that can eventually sort of trickle up into politics. Leaders see that we’re making changes. They see that we’re demanding changes. They may feel more comfortable making those changes themselves.

We as a culture need to normalize that it’s actually healthy not to be happy in the face of climate change and that it doesn’t mean we’re failed Americans. It means that we’re actually human beings who are having an appropriate and ethical moral response to the suffering that is coming in the pipe for everybody, also our own children

Or you can donate to groups that are working on electoral politics directly, like the Environmental Voter Project or Stacey Abrams’s Verified Action

david wallace-wellsHonestly, the person I was talking to was the United States. I mean, that is the perspective that we have as a country. And as guilty as I feel as responsible as I feel, as I’m sure, Genevieve, and to some extent, Jane, you feel, all of us are actually behaving in ways that are imposing that kind of suffering on people elsewhere in the world. It’s almost unavoidable, given the systems that we live in today. And that is really horrifying. But I think the more clearly that we can see that, the more likely we are to be demanding real change of our leaders and the systems in which we live

david wallace-wellsWell, some of them can matter in limiting your carbon footprint. So if you don’t eat beef, if you don’t take airplanes, if you drive an electric car, you’re probably pretty far along in reducing your own carbon footprint. And that is one measure of climate responsibility, carbon responsibility

The ability to put your preferred candidates in office is a huge part of the climate fight

david wallace-wellsI think that this story is one about our responsibility towards other humans, in which collectively, human behavior has imperiled the future of the planet. I think as a result, we have to talk about it in terms of good and evil, that there are very obvious sides.

And it is borne disproportionately by Black and Brown and poor people.

genevieve guentherI actually agree with David. This is a systemic problem that is only going to be solved by governments and large corporations leading the transformation of our economies to zero-emission economies. That said, rich people across the globe have a responsibility, a personal responsibility, to reduce their discretionary emissions, to reduce their consumption, both for climate justice reasons and also simply because we need them to do it if we’re going to meet our emissions targets and halt global heating.

what is hopeful about these net zero pledges, even as they are greenwashing, is the fact that these companies feel pressure to make them at all, right? This is a sea change in politics. If they can’t actually transform, they’re going to be pushed out, and new incumbents are going to come in. And the question is, can we do this fast enough to halt global warming in time to preserve much of the habitable world?

The second piece is a kind of climate communication that shows people how this is going to affect them. Most people think of this as a crisis that’s for the global south or for the distant future or for our grandchildren’s grandchildren or whatever. And it’s up to every single communicator, as far as I’m concerned, to make it clear in really concrete embodied terms what this crisis is going to mean for the children who are alive today.

When I started writing about climate five years ago, I would not have thought that this kind of political change was at all possible. We are living through what is a genuinely unprecedented global climate awakening, which has totally changed the landscape of what is possible. And it really has made the world and the future look sunnier

famously last year, Drew Shindell, who’s an air pollution expert at Duke, testified before U.S. Congress saying that a green transition of the American energy system would entirely pay for itself through the public health benefits of cleaner air. You could put aside all of the climate impacts. You could put aside all the benefits of cheaper electricity. And just because we would be healthier as a result, even in the U.S. where air is already clean, the dollars and cents would add up and make that a very, very clear win for all of us

here’s another thing you can do. You can organize your workplace to ask your company to make greener business decisions or to lobby Congress for climate policies

once they’re in office, keep pressuring them. Call their D.C. offices. Call their local offices. Send them emails regularly

he dynamic is even more horrifying elsewhere in the world where other countries have much dirtier air than we do. Estimates are as high as 10 million people globally dying of air pollution every single year, 8.7 million of them from the burning of fossil fuels

then the third piece of that is really showing how making these changes that are required would be such a benefit to them.

that you have to live like a monk to make this work. That may have been, to some degree, true 25, 30 years ago when the alternative systems that we now see right around the corner were much farther away in the distance and much more expensive. But it just isn’t the case now that to green our economy will require an enormous burden

when we think of it simply in terms of, is the economy going to grow faster or is it going to go slower, I think we really, really miss the huge, huge public health consequences of continuing running the systems as we are running them today, and also the huge benefits we would get from getting off those systems

david wallace-wellsIn 2070, we’re in a net zero world. Nobody has a carbon footprint. So having more kids is not going to make one difference in either direction. And I think we’re still in a place where we can keep that goal in mind and fight to make that possible so that we don’t have to do things like reduce family size.

I had this interaction just before the pandemic at an event I did. I keep thinking about it. I think about it maybe every week, maybe every day, where I gave a talk about looking at how dire some of these situations could be. And afterwards, somebody came up to me who assured me that he was not a climate denier. And then he said, so really, how bad is it going to get? And I said, well, at two degrees, we’re talking about 150 million people dying of air pollution. And he said, but that’s out of 8 billion. And I said, well, yeah, I mean, I’m not talking about the total extinction of the human race here, but 150 million is 150 million. That’s 25 Holocausts. And he said, but out of 8 billion.

the true, are we going to make humans extinct, kind of futures that we were talking about as slim but real possibilities a few years ago, I think are much, much less likely today. And that is in large part the result of climate protests by people who started their activism within the last few years.

genevieve guentherAnd just say that the word “responsibility” has two different definitions, right? There’s the sense of responsibility as guilt. Who is responsible for this crime? Who has to pay the price? But then there’s responsibility as duty. Who’s going to take responsibility for cleaning up this mess?

There is a very small ask that can be made, which is just to support the people who support aggressive climate action. We’re talking about massive, immediate, or quasi immediate payback for all of the investments we’re making.

If you don’t have the time to do that, donate money. Donate money to organizations that are putting their bodies on the line. Here are some of them— Sunrise, Fridays for Future

finally, one of the most impactful things that you can do is simply talk about climate change in your social networks, especially when it feels most socially awkward and embarrassing. Because unless we continue to break the kind of conspiracy of climate silence that allows people to look away, we’re not actually going to have the kind of pressure internally and psychologically in people that will help them join the climate movemen

genevieve guentherWell, let me contextualize this for a moment. The concept of the carbon footprint is actually a legitimate concept in sustainability research. It was developed by two researchers in the 1990s

What is the 1 percent? In the United States, I would define the 1% as people making $450,000 a year and above. So it’s hard to imagine how much consumption is normalized among these people. It is not at all considered wasteful to buy a new SUV every two or three years as new models come out. It is not all considered extravagant to fly up to 20 times a year. It is not at all horrific to buy an entirely new wardrobe two or three times a year and throw it all away. In fact, this is considered a signal that you are in the rich group and that you are living your best life.

it actually has to be done right now. We don’t get another shot at this.

Do my personal actions, be they avoiding plastic straws or composting or calculating my personal carbon footprint, as oil companies seem to really want me to do, or switching light bulbs or becoming a vegetarian, in the scheme of averting climate change or mitigating climate change, do those actions really matter?

I think that there are certain actors who have played hugely disproportionate, often toxic, roles in that story, namely the fossil fuel industry and their allies in political power, not just in the U.S. but all around the world.

that’s not to say that that person is as culpable as the CEOs of ExxonMobil. Obviously, there’s a huge spectrum of culpability, but I think that a huge majority of Americans are understandably viewed by people elsewhere in the world as contributing to the problem as opposed to contributing to the solution, and that we should not dismiss that judgment because we happen to think, well, I was just doing it for myself, or I was just acting in the system in which I live. We should take seriously that judgment and try to think about what we can do to sort of make it right, so to speak.

But BP extracted this concept from academia and created a multimillion dollar campaign, trying to change the discourse of the climate crisis and make, as you said, Jane, everybody feel responsible for causing the climate crisis, but also feeling responsible for solving it by doing things like no longer driving or no longer flying or no longer eating beef or turning off lights or using plastic straws. And as David said, this is impossible. Even if every single one of us brought our personal carbon emissions down to zero, we would not halt global heating.

number two, join a campaign or an activist group. There are local chapters of groups called the Sunrise Movement and 350.org in many communities. If you’re really hardcore, you can join Extinction Rebellion

It will require an investment, but that will sort of pay for itself in the relatively short term. And so we’re now in a situation where a lot of people often think that moving into a sustainable future is going to make their lives suck. And the truth is that just isn’t the case, but that is what the companies that are profiting from the status quo would like you to think because nobody wants their lives to suck.

I think we need to really tell the climate story as a story of good and evil because these people have known for decades what their products were going to do. And not only did they keep producing and selling fossil fuels, they lied about it. They lied about what they knew. And they tried to do everything they could to capture our political system just to sustain their own wealth and power. I think that’s pretty bad. It’s criminal. It’s absolutely criminal.

some of the changes that you’re talking about, people are compelled to do because they don’t want to feel a part of the ugliness of the destruction of the planet, more than because they’re making a rational calculation about how best to use their time and what they can do that has the highest impact

But the fossil fuel industry, as part of their disinformation campaign, wants to make everyone feel helpless, feel overwhelmed, and wants to shift our attention away from the political action that has a chance of resolving the climate crisis to what can’t possibly work, which is focusing on our carbon footprint.

I just don’t think that that’s the end all, be all of it, because I do think that many people, even today, think, OK, I want the future to be stable and green and prosperous. But I don’t want to pay $1 more at the pump for a gallon of gas and may actually vote in an election on that basis

That said, reducing the discretionary emissions of the top 1 percent is actually a piece of the decarbonization puzzle. So, if the top 10 percent reduced their carbon emissions do

n to the level of the average European, which is still quite significant — eight tons a year — we would be about one-third of the way to decarbonizing our systems. So we emit as a globe about 30 gigatons of carbon dioxide a year. And this reduction in luxury consumption would reduce emissions by about 10 gigatons a year. So that is just a staggering number.

Most of the people who are listening to this podcast and nobody in this room, for sure, is responsible for causing the climate crisis. But we’re all responsible for now solving it to the best way that we can.

Greenpeace. And here are some social justice organizations — UPROSE and WE ACT. There are also two new organizations who are writing climate policy in a new way and lobbying on the Hill to get them passed. They are Climate Power and Evergreen Action.

While there is a sort of transition bump and we should have public policy that addresses it, especially for communities who are already suffering, it’s also the case that the obvious economic logic is also the obvious environmental logic here. These are no longer in tension.

for me, that answer is really exclusively through a political engagement and political activism because we really need to shake the whole infrastructure of the world. And the only people who are capable of doing that are the people who are in corridors of power in politics and the corporate worl

They all face the same challenge of needing to hedge their sales of gas and electricity to cover price differences across different markets.

In a statement explaining the decision to provide Uniper with extra financing, Fortum said that European gas prices reached “unprecedented levels” in December.

In Britain, the sudden price rise has led to the collapse of several smaller energy suppliers.

In Germany, the price for energy to heat and power homes in November rose more than 101 percent from a year earlier, the country’s official statistics office, Destatis, said.

Global demand for energy jumped last year, after the world economy reawakened from widespread shutdowns aimed at slowing the spread of the coronavirus pandemic. When many economies started up again last spring, the need for natural gas shot up. Natural gas is crucial for generating electricity, running factories and heating homes across the continent.

European countries normally stock up on gas in the summer, when prices are relatively cheap, but the pandemic and a cold winter last year drew down levels of stored gas, leading to the wild swings in prices.

Prices for natural gas have risen about sixfold, to record levels. The surge means the wholesale price of electricity has reached stratospheric levels, making headlines across Europe as consumers, battered by the pandemic, are now hit by big increases in their home energy bills. Many European countries have tried to buffer the shock to consumers with price caps, subsidies and direct payments.

These high costs are also undermining the economics of companies that make fertilizer, steel, glass and other materials that require a lot of electricity.

It’s easy to take the zipper for granted today, but before it was invented, getting (and staying) dressed involved securing clothing with ropes, ties, buttons or other fasteners.

After years of attempts, Bell achieved his goal of transmitting sound over a wire, and on March 7, 1876, obtained his first U.S. Patent for a device he labeled as “Improvement on Telegraphy”—now better known as the telephone.

The first World’s Fair to take place in the United States was held in Philadelphia in 1876, and also celebrated the 100th anniversary of the country’s founding.

Then, in 1893, inventor Whitcomb L. Judson received a patent for his “clasp locker” shoe fastener, and immediately partnered with businessman Colonel Lewis Walker to launch the Universal Fastener Company and manufacture his invention

Along with the zipper, the Garis-Cochran Dishwashing Machine was also first introduced to the public at the 1893 Chicago World’s Fair, in a display drawing crowds curious about the contraption capable of thoroughly washing and drying 240 dishes in two minutes. The crowd-pleasing exhibit was more than a decade in the making. In 1883, Ohio entrepreneur Josephine Garis Cochran grew frustrated with the amount of time it took to clean up after dinner parties, reportedly saying, “If nobody else is going to invent a dishwashing machine, I’ll do it myself.” And she did.

One of the biggest challenges that arose during the early days of electricity was getting it from the power source to an individual device. By the 1880s, entire houses were being wired for electricity, but electrical appliances had to be connected to the home’s main power source directly, posing serious safety risks to members of the household.

April 30, 1939, New York City: This is the scene viewed on the television receivers in the metropolitan area, as the National Broadcasting Company inaugurated the first regular television service to the American public telecasting the ceremonies marking the opening of the New York World's Fair. Bettmann via Getty Images

May 1, 1939 saw another television milestone: the launch of a regular television broadcast schedule on the National Broadcasting Company (NBC), which was owned by RCA.

Fairgoers could take what was advertised as “America’s first television tour” (presented by NBC), where they would learn about the history of the medium, as well as the science and engineering that made its broadcast possible.

In the age of smartphones, it’s easy to identify the touchscreen demonstration at the World’s Fair as a significant technological turning point, but according to Jack Neely, executive director of the Knoxville History Project and crowd controller at the World’s Fair, that wasn’t apparent at the time. “It was...one of those things you had to look fast to notice,” Neely told the University of Tennessee Daily Beacon in a 2017 interview.

This isn’t an American crisis alone. All around the world, developed nations have locked themselves into unsustainable, energy-intensive lifestyles.

Among those with the largest footprints are wealthy oil-producing microstates with small populations, like Qatar or Trinidad and Tobago, where the per-capita footprint pushes 60 tons

In the next tier, with the United States, are other sprawling, continent-size countries that use a lot of heating or cooling and where people tend to drive long distances, such as Canada and Australia (around 20 tons)

By dint of their density and reliance on mass transit, nations in Western Europe (as well as Japan and South Korea) make up most of the next tier, which cleaves roughly into two groups: places like Germany, Norway and the Netherlands that rely more on fossil fuels (around 15 tons),

places like the United Kingdom, Denmark and France that use a higher percentage of nuclear and renewable power. Though it’s half the size of an American’s, the footprint of someone in the typical French household still remains unsustainably high: around nine tons.

This is the paradox at the heart of climate change: We’ve burned far too many fossil fuels to go on living as we have, but we’ve also never learned to live well without them

the problem of the future is how to create a 19th-century carbon footprint without backsliding into a 19th-century standard of living. N

The greatest crisis in human history may require imagining ways of living — not just of energy production but of daily habit — that we have never seen before. How do we begin to imagine such a household?

With a carbon footprint hovering around the global median of 4.5 tons per capita, it falls within a narrow tier of nearly developed countries within sight of two tons per capita — the estimated amount needed to limit the world to 1.5 degrees Celsius of warming.

There are countries more prosperous, and countries with a smaller carbon footprint, but perhaps in none do the overlapping possibilities of living well and living without ruin show as much promise as in Uruguay.

Mujica harbored another deeper belief too. For years, he had been arguing that the “blind obsession to achieve growth with consumption” was the real cause of the linked energy and ecological crises.

In speeches, he pushed his people to reject materialism and embrace Uruguay’s traditions of simplicity and humility. “The culture of the West is a lie,” he told me. “The engine is accumulation. But we can’t pretend that the whole world can embrace it. We would need two or three more planets.”

He shared his own experience in solitary confinement, and how years without books or conversation drew him closer to the fundamentals of being: nature, love, family. “I learned to give value to little things in life. I kept some frogs as pets in prison and bathed them with my drinking water,”

“The true revolution is a different culture: learning to live with less waste and more time to enjoy freedom.”

By 2016, an array of biomass, solar and some 50 wind parks had replaced the grid’s use of oil, helping slash more than half a billion dollars from the country’s annual budget. Today, Uruguay boasts one of the world’s greenest grids, powered by 98 percent renewable energy.

prevailing economic conditions and something in Uruguay’s character had afforded the transition more receptivity than anyone predicted. This was one way in which a career in theoretical physics prepared Méndez for the world of policymaking, he said: “You have to be open to the solutions being very narrow and technical, or very wide and human.”

as the energy sector shifted, the mind-set in the country began to shift with it, Méndez said, sometimes in surprising ways. Some bought air-conditioning units, but many kept to their formerly low-consumption habits, continuing to hang their laundry and take the bus, dozens of which in Montevideo were now electric. Others bought plug-in timers to automate their laundries to run at night or installed solar water heaters on their roof

for Méndez, the biggest shift was among leaders. In cabinet and business meetings the problems of the future — like how to eliminate industrial waste and phase out gas entirely — began to feel like just that, he said: problems, not crises.

there appeared to be fundamental tension in how to bring Uruguayans along in the energy transition. On the one hand, the infrastructure shift needed to happen in the background, so the public never lost confidence in the grid — that part had been surprisingly smooth. But on the other hand, it was important to keep people engaged so they would support the necessary changes to come

Emaldi and her colleagues focused their efforts on electrifying transportation and growing the green-energy sector. The government eliminated duties and taxes on electric cars and rebranded a tax on gas as a CO2 tax, with a portion funding green initiatives.

“What comes in the near future will change more lives,” Minister Paganini told me. “You have to get into sectors or areas that are much more difficult than just changing the generation of electricity.” You need to change human behavior.

fossil fuels gave humanity the ability to choose our food, to transform a rainforest or windblown desert into something fertile and constant, a biotic vending machine from which eaters can select whatever they want whenever they want it. This choice now drives about a third of all global emissions. Most of them stem from the growing process itself — clearing land, fertilizing crops — with the bulk of the rest coming indirectly from the vast web of manufacturing and delivery systems that bring it to us: packaging crackers, refrigerating drumsticks, airlifting avocados.

One reason the global cattle industry had become so damaging, Baethgen said, was that too many grasslands had been razed or degraded. In the short term, feedlots produced more food, often with lower emissions, since cows got fatter faster and burped less frequently, but over the long term, without the grasslands to recycle carbon, net emissions built up. From Baethgen’s perspective, every damaged field thus represented a huge opportunity: By restoring grasslands, he could not only pull more greenhouse gases into the ground, but also grow more beef. And since the 1990s, Uruguay has managed a remarkable feat: increasing its annual production of beef without any increase in greenhouse gases — and doing all of this on natural pasturelands.

He believed too much climate science relied on big-picture modeling to drive engagement. “Those science-fiction scenarios were great to increase awareness,” he said. “But if you give a minister of agriculture information for the year 2080, that doesn’t do anything.” He waved a hand over the landscape. “You’re providing information, far in the future, with no resolution and no certainty. That’s the best combination to ensure paralysis. Nobody does anything.”

In his 2016 book, “The Great Derangement,” the Indian writer Amitav Ghosh says it’s unwise to reduce climate denial to “only a function of money and manipulation.” The sheer level of paralysis, he writes, “suggests that the climate crisis threatens to unravel something deeper, without which large numbers of the people would be at a loss to find meaning.” Ghosh wonders if the modern consumer mind-set can ever change, collectively or otherwise: “In a world where the rewards of a carbon-intensive economy are regarded as wealth, this must be reckoned as a very significant material sacrifice.”

Esponda described his family as middle to upper middle class. Both he and Laroca were economists for the city and together made about $30,000 a year. “Everybody in Uruguay is middle class,” he said. I thought I knew what he meant. Unlike in the United States, I found it difficult in Uruguay to discern class differences. Conspicuous displays of wealth seemed rare, as were the tiers of consumer goods that otherwise revealed someone’s spending. “There’s not the American consumerist mentality of ‘We need to get the next new thing,’”

On trips to New Orleans and Chicago, he had been transfixed by the selection of junk food in convenience stores, the undamaged furniture left on the street. “You guys throw away your whole home,” he told me. “Here, most of this stuff wouldn’t be trash.”

Esponda pointed to his couch, a sagging green camelback. It was given to them by his parents, he said, and barely fit his growing family anymore. But he couldn’t find a reason to replace it, even with a dual income that allowed them to save each month. “Why would I?” he said. It was a mentality apparent throughout the couple’s apartment. In stark contrast to most American homes with two kids, their apartment wasn’t overflowing with toys. Two bikes leaned against the wall by a plastic slide. “Our choices don’t really have anything to do with the environment,” he said. “It’s about saving money, yes, but also being careful with what we buy.”

Several people described frugality to me as a core tenet of the Uruguayan political project, though globalization had played a role, too.

something a man in the asentamientos said to me: “Nobody has confronted the real problem: How will the country grow?”

I thought of a single dad I met in Montevideo who said I shouldn’t think of his country as a model or example. It was too small, its progress too troubled. It was more like a laboratory for the rest of the world, he said.

We often picture the future as a kind of growth, a set of possibilities to expand and realize, but maybe it could also be the opposite, a present to reconcile and safeguard.

Part of the reason America has become so paralyzed by climate change is precisely that we’ve failed to acknowledge the limits it imposes — on where we can live, the things we can have, the household we can envision. This is a particularly difficult idea to sell to a country perched atop decades of accrued wealth, which was itself amassed by generations imagining further comfort and choice.

In the coming months, gas prices spiked, inflation climbed and the price of energy began to strangle Europe. No future seemed as certain as a less abundant one.

A former bank analyst at Bear Stearns, Estrada had decided to take a 75 percent pay cut to return home and eventually took a job with a local energy firm. “I read studies about how there’s a diminishing return on happiness above a certain income, and I experienced that,” he told me of living in New York. “I had more money than I had things I wanted to buy.” He said that contracting his life had allowed him to be more mindful of its details. It reminded him of the household his parents ran in the 1980s, when things were so precarious. No one left lights on or wasted water. They were mindful of the things they bought.

“We learn to live with less here,” he said. “And it’s made my life better.”

At some point, too, the public might look up and notice that subsidizing EVs is having no effect on climate or CO2.

the 50th anniversary of the 1973 Arab oil embargo in the latest edition of New Atlantis: “The worst effect was on U.S. energy policy. Whereas the embargo lasted about five months, the toll on U.S. policy has lasted five decades and counting.”

the 50-year-old fuel-economy regime devolved into a convoluted set of political trade-offs serving—as the Biden administration recently admitted—no legitimate cost-benefit goal. Boondoggles from synfuels to corn ethanol were launched in the 1970s to honor the false god of energy independence, though thanks to the still-functioning genius of the free-market system the U.S. nevertheless blundered into true energy security with the help of fracking.

The words “energy transition” are redundant. The energy economy is always transitioning. The transitions are additive. Wind, hydro and biomass all existed before fossil fuels arrived

Energy’s uses are unlimited. This is why, unless the world improbably adopts a carbon tax, the effect of green-energy subsidies (aside from enriching their backers) is largely to stimulate increased energy consumption rather than reduce CO2. This effect is already apparent in the numbers.

another ’70s legacy: our least-useful professors invoking big-oil stereotypes in pursuit of political goals.

Witness a New York Times op-ed this week combining adventurous antitrust reasoning with tired anti-Exxon tropes, claiming a proposed oil merger represents a “direct threat to democracy” by somehow blocking a solution to climate change that voters apparently crave even though it doesn’t exist.

Exxon controls less than 3% of the world’s oil and gas, most of which are in the hands of governments. The U.S. is responsible for less than 15% of global CO2 emissions.

What older Americans remember as the oil crisis was a product of domestic price controls, imposed by people in the Nixon administration who knew better.

Along the way, the country did manage to remove lead from gasoline and mandate catalytic converters, which improved air quality, showing that rational, economical policy outcomes are still possible amid the vast politicized waste that “energy policy” has otherwise become in the last 50 years.

Everywhere, new investment in green energy generation is being propelled by general concern for the climate, shifting corporate and household demand, the plunging prices for solar and batteries triggered by Chinese policy, and a combination of national and regional interventions

How different would we expect this data to look without the IRA?

The most useful overview of these modeling efforts that I have been able to find is by Bistline et al “Power sector impacts of the Inflation Reduction Act of 2022” in Environmental Research Letters November 2023. If anyone has a better source, please let me know.

The top panel shows the historical trajectory of US generating capacity from 1980 to 2021. The second half of the graphic shows how 11 different models predict that the US electricity system might be expected to develop up to 2035, with and without IRA.

all the models expect the trends of the 2010s to continue through to the 2030s which means that solar, wind and battery storage dominate America’s energy future. Even without the IRA, the low carbon share of electricity generation will likely rise to 50-55% by 2035. Bidenomics bumps that to 70-80 percent.

The question is: “How does the renewable surge of 2022-2024, compare to the model-based expectations, with and without the IRA?”

The answer is either, “so so”, or, more charitably, it is “too early to tell”. In broad terms the current rate of expansion is slightly above the rate the models predict without the provision of additional Bidenomics incentives. But what is also clear is that the current rate of expansion, is far short of the long-run pace that should be expected from the IRA

At this point, defenders of the IRA interject that the IRA has only just come into effect. Cash from the IRA is only beginning to flow. And in an environment of higher costs for renewable energy equipment and higher interest rates, cash matters.

As Yakov Feygin put it: “Maybe the pithiest way to put it is that there are pre-IRA trends and outside IRA trends, but IRA has served to rapidly compress the timeframes for installation in a lot of technologies. So five years has turned into two, for example.”

So, to judge the impact of the IRA to date, the real question is not what has been built in 2022 and 2023, but what is in the pipeline.

Advised by JP Morgan, sophisticated global players like Ørsted are optimizing their use of both the production and investment tax credits offered by the IRA to launch large new renewable schemes. Of course, correlation is not the same as causation

Where the IRA is perhaps doing its most important work may be in incentivizing the middle bracket of projects where green momentum is less certain.

According to Utility Drive: “The 10 largest U.S. developers plan to build 110,364 MW of new wind and solar projects over the next five years, according to S&P Global Market Intelligence, but the majority of these projects remain in early stages of development. Just 15% of planned wind and solar projects are under construction, and 13% are considered to be in advanced stages of development, … ”

The states that I have highlighted in red stand out either for their unusually low existing level of renewable power capacity or their lack of current momentum.

Along with Texas, the pipelines for the PJM, MISO and Southeast regions (which includes Florida) look particularly healthy.

The relatively modest California numbers should not be a surprise. As Yakov Feygin and others pointed out, what is needed in California is not more raw generating capacity, but more battery storage. And that is what we are seeing in the data.

The numbers would be even larger if it were not for the truly surreal logjam in California’s system for authorizing interconnections. According to Hamilton/Brookings data the volume of hybrid solar and batter capacity in the queue for approval is 6.5 times the capacity currently operating in the state. In other words there is an entire energy transition waiting to happen when the overloaded managerial processes of the system catch up

Texas’s less bureaucratic system seems to be one of its key advantages in the extremely rapid roll-out of solar.

though it may be true that globally speaking the United States as a whole is a laggard in renewable energy development,

If California (with an economy roughly comparable to that of Germany at current exchange rates) and Texas (with an economy roughly the size of Italy’s) were countries, they would be #3 and #5 in the world in solar capacity per capita.

the obvious question is, which are the laggards in the US energy system.

So there is a lot to get excited about, at, what we are learning to call, the “meso”-level of the economy (more on this in a future post).

What the state-level data reveal is that there are a significant number of large states in the USA where solar and wind energy have barely made any impact. Pennsylvania, for instance

The relative levels of sunshine between US states is irrelevant. As the global solar atlas shows, the entire United States has far better solar potential than North West Europe. If you can grow corn and tobbaco, you can do utility-scale solar. The fact that Arizona is not a solar giant is mind boggling.

Texas is both big and truly remarkable. California already is a world leader in renewable energy. Meanwhile, the majority of the US electricity system presents a very different picture. There is a huge distance to be traveled and the pace of solar build-out is unremarkable.

This is where national level incentives like the IRA must prove themselves

And these local battles in America matter. Given the extremely high per capita energy consumption in the USA, greening state-level energy systems is significant at the global level. It does not compare to the super-sized levels of emissions in China, but it matters.

Indonesia’s total installed electricity generating capacity is rated at 81 GW. As far as immediate impact on the global carbon balance is concerned, cleaning up the power systems of Pennsylvania and Illinois would make an even bigger impact.

A key test of Biden-era climate and industrial policy will be whether it can untie the local political economy of fossil fuels, which, across many regions of the United States still stands in the way of a green energy transition that now has all the force of economics and technological advantage on its side.