Wednesday, July 27, 2022

UK
A new nuclear power station needs a vast supply of water. But where will Sizewell C get it from?

Plans for the site have got the go-ahead. The knock-on effect for Suffolk’s rivers and seawater will soon be clear
‘A reactor of the kind EDF plans to build needs water in very great volumes.’ 
Photograph: EDF



William Atkins
Wed 27 Jul 2022 

Last week, the government gave the go-ahead for a new nuclear power station to be developed on the Suffolk coast. Providing low-carbon electricity for about 6m homes, Sizewell C will stand alongside two existing stations, Sizewell B and the decommissioned Sizewell A. I live close enough to see the 60-metre tall, white dome of Sizewell B almost every day. When I want to torture myself, I look at developer EDF’s “construction phase visualisations” of the 1,380-acre building site, with its towering spoil heaps and forest of cranes, and wonder if this is what it will take to save the planet.

What might not have been immediately obvious in the coverage of the government’s decision was that the Planning Inspectorate, tasked with assessing such projects, had recommended that permission be refused. The problem, the examiners explained, was fairly simple: EDF couldn’t say exactly where it would obtain one of the main substances needed to make a nuclear power station work, that substance being water.

As well as uranium, a reactor of the kind EDF plans to build needs water in very great volumes. Saltwater will do for part of the process, which is one reason why nuclear power stations are usually built beside the sea. But fresh or “potable” water will also be needed – first, to cool the two reactors, and then, just as importantly, to cool the irradiated fuel once it has been removed from the reactors. For this, absolutely pure water is essential. Sizewell B uses about 800,000 litres of potable water per day; Sizewell C, with its twin reactors, will need more than 2m litres per day, and as much as 3.5m litres per day during construction.

Last September, during the closing hearings of the six-month public planning examination, the question of just where the developer was going to get the water to run Sizewell C, let alone build it, was becoming urgent. Those who had raised concerns about precisely this issue more than 10 years earlier would have been forgiven for feeling frustrated. As one of the driest parts of the country, Suffolk is described by the Environment Agency as “seriously water stressed”. By 2043, eight years into Sizewell C’s 60-year operating life, the agency anticipates a water deficit in the county of more than 7m litres a day. Northumbrian Water, which operates locally as Essex and Suffolk Water, had made it clear to EDF that there was not enough local groundwater for either construction or operation. EDF’s plan, therefore, was to build a pipeline to bring water from the River Waveney, 18 miles away on the Norfolk border. During at least the first two years of construction, while the pipeline was being built, EDF planned to install a temporary desalination plant on the site to turn saltwater from the sea into fresh.


Then, in August, the water company broke the news that its abstraction licenses dictating how much water it could extract from the Waveney, granted by the Environment Agency, were likely to be reduced by up to 60% to safeguard downstream levels. It subsequently confirmed that the Waveney did not, after all, have the capacity to supply water for for any of the 10-year construction phase.

Desalination, opponents of the project noted, was a solution EDF itself had discounted in January 2021 “due to concerns with power consumption, sustainability, cost and wastewater discharge”. And yet, desalination, with all the problems it had set out (including discharging millions of litres a day of saline concentrate and phosphorus into the North Sea), remains EDF’s “fallback” solution for running the station, as well as building it, if another source can’t be found. Northumbrian Water has since confirmed that: “Existing water resources (including the River Waveney) will not be sufficient to meet forecast mains water demand, including the operational demand of Sizewell C.”

For his part, the secretary of state, Kwasi Kwarteng, has a “reasonable level of certainty” that 2m litres of water a day will be found from elsewhere by the time the reactors are ready to be switched on. Perhaps, as Northumbrian Water has suggested, by piping it in from Essex (though Essex isn’t overburdened with water); or by reducing household wastage; or by reusing effluent. It will be for the Environment Agency, the Water Services Regulation Authority, Natural England and the Office for Nuclear Regulation to ensure that everything is done properly at such time as a water source – some kind of source – is settled upon.

The more I look at those mock-ups of the building site, the more they seem like a metaphor for another kind of despoilment. Given the government’s stated intention to build a fleet of new nuclear power stations across the country, it’s not just people who live in Suffolk who have reason to wonder what the secretary of state’s decision to wash his hands of Sizewell C’s water problem says about the resilience of the systems we entrust with safeguarding our environment. Still, the foundations will be laid, I suppose, and the cranes will rise, and after 10 years and £20bn (by EDF’s reckoning), Sizewell C will be built. And when the time comes for its reactors to go critical, there will be water, because if there isn’t, Suffolk will have a new tourist attraction to rival Framlingham Castle: the most expensive white elephant in human history.

What this fait accompli means for Suffolk’s rivers and seawater, let alone for the county’s householders and farmers, are not questions that will be answered before building begins. It’s enlightening, in this context, to consider that the past six months have been the driest in Suffolk for more than a quarter of a century, and the driest in England since 1976.

“The secretary of state disagrees with the examining authority’s conclusions on this matter,” Wednesday’s decision letter states, “and considers that the uncertainty over the permanent water supply strategy is not a barrier to granting consent to the proposed development.” During last year’s planning hearings, two stories kept coming back to me: the biblical account of Moses in the desert, making water gush from a rock by striking it with his staff; and the Brothers Grimm tale in which a giant clasps a stone in his fist, and crushes it until, finally, water is forced out.

William Atkins is the author of The Immeasurable World: Journeys in Desert Places and The Moor
Student says National University of Singapore censored his graduation death penalty protest

Luke Levy reportedly faces a police probe over the protest, whilst the National University of Singapore says graduations are “not a forum for advocacy.”

by TOM GRUNDY08:00, 
26 JULY 2022

The National University of Singapore (NUS) stands accused of editing a death penalty protest placard from a student’s graduation photo and livestream. The school told HKFP that the event was “not a forum for advocacy.”
Luke Levy’s protest at the NUS. Photo: AngMohSnowball, via Twitter.

During his graduation ceremony earlier this month, Luke Levy, held up a sign saying “Abolish the death penalty. No to state murder. End poverty, not life. Blood on your hands.”

“I held that sign as I walked on stage, took my on-stage photo, and left the stage, sign in hand… NUS took down the live recording of my commencement ceremony, only to reupload it later with an edit,” Levy said in a tweet.

“In the official stage photograph (that I paid for, for my own private display), the photo studio actually took time to try and edit the words on my sign out,” the 25-year-old activist added.

It comes as Singapore executed its fifth prisoner since March, following a Covid-related pause. In April, the authorities killed a mentally impaired man, as last-ditch appeals for clemency were rejected by the court. The spate of hangings has prompted a fresh wave of criticism and protests.

Levy added that the death penalty “unjustly kills the poor. It is not an effective deterrent of ‘crime’. And there’s no acquittal for those found innocent after execution.”

In response to HKFP’s enquiries, a university spokesperson told HKFP: “The NUS Commencement is an important ceremony celebrating the achievements of our 13,975 graduates and the completion of their NUS journey. All graduates and guests are expected to conduct themselves appropriately during the occasion. It is not a forum for advocacy.”Gardens by the Bay in Singapore. Photo: James Faulkner, via Flickr.

According to Today Online, police are looking into the protest. It cited lawyers as saying the activist may be liable under the Public Order Act, which restricts even single-person protests in public.

OPINION

Singapore wants to kill, but it doesn’t want anyone talking about it

“As a system, capital punishment makes us forget our humanity, but the growing mobilisation of the abolitionist movement in Singapore reminds us that there are many people who care and feel deeply about this issue…” writes anti-death penalty activist Kirsten Han.


 21 JULY 2022

2022 is shaping up to be a brutal year in Singapore as the authorities ramp up the speed of executions. Four men have already been hanged this year for drug offences — if not for last-ditch court applications that resulted in stays of execution or respite orders issued by the President, the state would have hanged another four more. Barring a miracle, Nazeri bin Lajim will be hanged in the early hours of Friday morning. Demands for the abolition of the death penalty are more urgent than ever, even as the state clamps down on such dissent.

 
Nazeri bin Lajim with his then-wife, who has continued to visit him in prison.

Singapore retains capital punishment for a range of offences, but uses it most commonly in the context of drug trafficking. Under the Misuse of Drugs Act, a person can be hanged if found guilty of trafficking above a certain threshold of controlled drugs — such as 15g of heroin or 500g of cannabis. The majority of the 495 people hanged in the city-state since 1991 were convicted of drug offences.



There are currently about 60 people on death row — a significant number for such a small country. Prisoners tell their families that death row is “too full”. They suspect that the prison will schedule as many executions as it can so as to make room for new condemned inmates. They see their lives treated as an administrative problem, and live in fear of the day execution notices will be delivered to their loved ones.

Changi Prison. Photo: Singapore Gov’t.

The situation is desperate. As abolitionist activists working with the family members of people sentenced to death, we see this desperation up close. Every execution notice is felt acutely by every family, even if it isn’t addressed to them. “Every one of them [prisoner on death row] is my brother,” Sonia, older sister of Kalwant Singh, told me in June. Her brother was hanged on 7 July. The prison issued an execution notice to Nazeri bin Lajim’s family just a week later. Sonia hadn’t even completed the last rites for Kalwant before she was texting me about how much it hurt to know that another sister would soon experience the pain she’d felt when she lost her brother. There isn’t enough time to process and grieve one execution before another comes, leaving families in a constant state of anxiety and trauma

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Singapore. File photo: Tom Grundy/HKFP.

The Singapore government stubbornly defends its pro-death penalty position. It insists that capital punishment is necessary to deter the drug trade and protect people, even though there’s no clear evidence that proves that the death penalty deters drug offences. But while it claims confidence in this stance, it also takes steps to suppress alternative perspectives and resistance, so that it never has to engage with them.

Information about Singapore’s use of the death penalty is hard to come by. Before this year, the death row population was not publicly known; it took volunteers of the Transformative Justice Collective (of which I’m a member) tracking trials and court judgements to arrive at a number, which the law and home affairs minister recently confirmed in an interview with the BBC. The mainstream media reports on the death penalty when a government body or state organ issues a statement, otherwise it pretends the issue doesn’t exist. They often don’t even report when an execution has taken place.

Singapore’s Home Affairs and Law Minister K Shanmugam. Photo: Wikicommons.

In this climate, capital punishment is not an issue for which any political party is willing to stick their necks out on. Although the families of Singaporean death row prisoners have collected hundreds of signatures for a parliamentary petition calling for a moratorium on executions, they haven’t been able to find a Member of Parliament — whether from the ruling party or the opposition — to carry it into the House on their behalf.

Abolitionist lawyers have also felt the heat. Filing a late-stage application (i.e. after the standard trial and appeal process is over) carries the risk of being accused of abusing court process, and subject to hefty cost orders, paid for by the lawyers themselves. M Ravi, a human rights lawyer who has fought the death penalty in the courts for 20 years, has been ordered to pay tens of thousands of Singaporean dollars in cost orders to the Attorney-General’s Chambers. The climate is such that multiple death row prisoners seeking legal representation for late-stage applications have found it impossible to find a lawyer willing to take on the challenge.





The task then falls to activists to push the issue onto the national stage as best we can, but avenues are limited. There is only one park in the whole country where demonstrations can be held without prior permission. In April, two anti-death penalty protests drew crowds of about 400 people each — significant for a protest-averse country like Singapore — but more widespread action is needed, and that comes at a cost. A number of activists, including myself, are currently under police investigation for illegal assembly in relation to small-scale, non-violent actions related to the death penalty. A graduate from the National University of Singapore has been summoned for police questioning because he held up an anti-death penalty sign while accepting his degree onstage.

Fighting the death penalty in an authoritarian state has always been an uphill battle, and this year looks especially grim as the relentless pace of executions breaks us down and wears us out. Yet there are still reasons to be hopeful: there’s also been an unprecedented momentum for abolition over the past year, with Singaporeans from different walks of life calling for an end to the killing. Families of death row prisoners have also grown more united, coming together in solidarity to talk about their shared experiences and to campaign in support of one another. As a system, capital punishment makes us forget our humanity, but the growing mobilisation of the abolitionist movement in Singapore reminds us that there are many people who care and feel deeply about this issue, and want to be there for the families going through the hardest times. Such reminders are more necessary than ever — it is only by standing together that we can withstand the onslaught and work towards a Singapore without such state violence.



KIRSTEN HAN is a Singaporean freelance journalist and Editor-in-Chief of New Naratif, a platform for Southeast Asian journalism, research, art and community-building. Her bylines have appeared in The New York Times, The Washington Post, The Guardian and Asia Times, among others. She also curates We, The Citizens, a weekly newsletter on Singaporean current affairs.More by Kirsten Han




HKFP is an impartial platform & does not necessarily share the views of opinion writers or advertisers. HKFP presents a diversity of views & regularly invites figures across the political spectrum to write for us. Press freedom is guaranteed under the Basic Law, security law, Bill of Rights and Chinese constitution. Opinion pieces aim to point out errors or defects in the government, law or policies, or aim to suggest ideas or alterations via legal means without an intention of hatred, discontent or hostility against the authorities or other communities.








OPINION
China’s ‘ecological civilisation’ – a large-scale form of greenwashing?

A policy which at first glance looks like a promising avenue toward environmental protection may instead be cover for something that President Xi has demonstrated is more important than anything else: unbending authoritarian rule, writes Paul G. Harris.
23 JULY 2022

The dramatic rise in China’s economy since the 1980s has been matched by an equally dramatic rise in pollution and habitat destruction. Nobody knows this better than the millions of people in China who have endured the country’s ecological decline. The leadership has responded to this situation by promoting a new ideology: “ecological civilisation.”

Chinese leader Xi Jinping. File photo: GovHK.

This ideology was showcased last October when China hosted the United Nations’ COP 15 biodiversity-protection conference. In his keynote speech to delegates, President Xi Jinping declared that China “shall take the development of an ecological civilisation as our guide to coordinate the relationship between man and nature.”

On the face of it, President Xi’s advocacy of ecological civilisation reflects a desirable aspiration for a country suffering from widespread ecological decline. However, as with some other official pronouncements from Chinese officials – such as recent proclamations that Beijing is bolstering democracy in Hong Kong – things are not always what they seem. What at first glance looks like a promising avenue toward environmental protection may instead be cover for something that Xi has demonstrated is more important than anything else: unbending authoritarian rule.

The emergence of ecological civilisation


The idea of ecological civilisation was first formulated in the Soviet Union – hardly a model of environmental protection. It was eventually embraced by Chinese officials, and Xi’s predecessor Hu Jintao oversaw its enshrinement as a specific objective of the Chinese Communist Party. In 2017, Xi called on party cadres to “have a strong commitment to socialist ecological civilisation and work to develop a new model of modernisation with humans developing in harmony with nature.” The concept was codified in China’s constitution in 2018.

According to Keele University’s Heidi Wang-Kaeding, at the national level ecological civilisation was designed to persuade the Chinese public, party cadres and entrepreneurs that “achievement of an environmentally-friendly future is grounded in the authoritarian one-party political system,” and at the international level to send the message that China’s party-state would not be pressured by outside actors, but instead that it would chart a course toward “environmentalism with Chinese characteristics.”



Ecological civilisation envisions a China transformed from today’s pollution behemoth. It is a pledge that China will achieve environmental sustainability, with an economy and society that are in “harmony” with ecological limits. It is a promise to balance economic growth and environmental protection. This is not unlike the widely invoked idea of “sustainable development,” which aims to balance environmental, economic and social imperatives.

Ominously, in the Chinese conceptualisation, ecological civilisation signifies a “harmonisation between environmental and commercial interests” rather than a requirement that the latter make way for the former. Put another way, ecological civilisation is at best not about ending environmental harm; it’s about making economic growth less environmentally harmful. Given the enormous size of China’s industrial economy and its hundreds of millions of middle-class consumers, this is a recipe for more pollution and continued damage to the environment.
Implementing ecological civilisation in China

The Chinese government has encouraged many policies that are limiting the damage that the economy would otherwise inflict on the environment. For example, China has more installed solar and wind capacity than any other country. Its factories for building electric vehicles are the envy of the world. It is planting more carbon-absorbing trees than any other country.




However, it is unclear whether these and similar actions are actually motivated by a desire to create an ecological civilisation. Constructing massive wind and solar installations might be aimed at providing a market for wind-generator and solar-panel factories that can then, through economies of scale, undercut international competitors, or it could be intended to diversify energy sources for strategic reasons. The same might be true for electric vehicles: a thriving domestic market lowers prices and makes Chinese technology more competitive internationally, and such vehicles are not vulnerable to shortages of petrol or diesel during times of international crisis. Planting trees might be more about limiting awful sandstorms in Beijing – or forcing non-Han nomads into settlements where they can be controlled more easily – than absorbing carbon emissions.

Despite many positive steps toward sustainability, many of China’s most important environmental indicators continue to go in the wrong direction. For example, it is already far and away the largest source of global carbon emissions – more than the developed countries put together – contributing to global warming and climate change. President Xi has declared that this pollution may continue increasing until 2030. Indeed, responding to exhortations from China’s leaders, the country is now experiencing increasing domestic coal production, increasing coal burning and consequently increasing carbon emissions. Ecological civilisation delayed is ecological civilisation denied.

As practised in China today, ecological civilisation includes the growing extraction of resources and demand for commodities produced at home and around the world. Much of that activity is occurring due to projects that are part of China’s global Belt and Road Initiative (BRI). BRI projects have resulted in the razing of forests to build dams and to create soy plantations that supply pigfeed to China, blasting coastlines to construct ports, and building coal-fired power plants and factories. Yet, President Xi has extolled the BRI as a manifestation of ecological civilisation.



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China’s supposed ecological civilisation also involves encouraging 1.4 billion people to contribute to the economy by consuming more resources, products, services and experiences. The inevitable consequences are mounting adverse impacts on the environment.

Here in Hong Kong, where the government claims to be promoting sustainability, the local version of ecological civilisation entails building thousands of uninsulated public-housing flats, locking their residents into lifetimes of unnecessary energy consumption; official endorsement of new power plants that commit the territory to reliance on fossil fuels for at least several more decades, despite the environmental imperative of quickly phasing out fossil fuels to avoid climate catastrophe; construction of a super-incinerator on precious marine habitat – and handing out “consumption vouchers” so that citizens will buy more stuff – instead of taking overdue steps to reduce waste dramatically; and construction of a third airport runway to promote more air travel, and thus more pollution, when the opposite is essential for a truly ecological civilisation. These are among many other environmentally harmful developments that the government insists are necessary

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The third runway in the Hong Kong International Airport. Photo: GovHK.

Ultimately, despite some steps in the right direction, China’s economic rise has created environmental realities – widespread, massive and growing environmental pollution, habitat destruction and resource extraction – that are contrary to the concept of ecological civilisation espoused by China’s leaders. As Leslie Hook of the Financial Times has noted, among the world’s countries, China is simultaneously “the greenest in the world, but also the most polluting.”

Ecological civilisation or coercive environmentalism?

If ecological civilisation in China is not entirely about environmental sustainability, what else could it be for? Lila Buckley at the International Institute for Environment and Development describes ecological civilisation as “a top-level strategic socio-economic goal of the Chinese government, a vision of sustainable development with specifically Chinese characteristics, a reappraisal of political governance and party institutions, and an appeal to traditional Chinese philosophical values through environmental action.” She argues that an “explicit aim” of the concept is “strengthening the authority of individual leaders and significantly expanding the power of the Chinese Communist Party.”

Instead of creating a sustainable society, ecological civilisation is frequently a rationale for government policies that have other motivations. It is a state-mandated maxim that allows Chinese officials to claim high-minded justification for implementing their particular version of sustainable development, which entails promoting economic growth and thereby strengthening the party-state. It is what New York University’s Yifei Li and American University’s Judith Shapiro have called “coercive environmentalism.”


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As both a concept and a practice, ecological civilisation in Chinese terms views democratic principles, public participation, interest groups and the like as obstacles to implementing the government’s ostensible environmental objectives. In Buckley’s characterisation, “ecological civilisation calls for tighter management and stronger authority – not democracy.” Thus, when the government, for example, forces millions of Tibetan, Uighur and other nomads to relinquish their animals and adopt sedentary lives in settlements, state control over citizens is extolled as vital for ecological civilisation.

When the government decides to afforest entire provinces or build hydroelectric dams on fragile rivers, those who highlight the adverse consequences for affected communities or the environment can be pushed aside as retrograde forces trying to hinder the building of an ecological civilisation. The imperative of ecological civilisation means that the rights of affected people must come after officials’ professed environmental objectives. To oppose the party-state is to oppose a healthy environment.

The idea that ecological civilisation could be anti-environment and anti-civilisation – if one defines civilisation as including human rights – seems incongruous until one considers the wider nature of Chinese governance. As Li and Shapiro note, “China’s state-led environmental action needs to be understood in a broader context: China is also the world’s largest repressive state.” Indeed, according to pseudonymous political scientist Andree Clement, the imperative of realising ecological civilisation espoused by President Xi justifies “an authoritarian, even totalitarian, ecology” and officially legitimises “strengthening the technological system and tracking individuals” not just in Xinjiang but throughout China.

Some Westerners have fallen into the trap of praising putative Chinese leadership on ecological civilisation while ignoring China’s growing impact on the global environment. Some of them have a tendency to define China’s ecological civilisation as a reawakening of ancient, supposedly pro-environment, Chinese philosophies, even as they overlook the party-state’s ever-tightening grip on society and its continued devotion to economic growth despite the environmental costs.
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Others see China’s authoritarian system as a solution to democratic societies’ inability to achieve better environmental outcomes. However, Shapiro argues that “Western admiration for China’s environmental decisiveness comes out of wishful thinking and a sense that the planet has run out of time. We get infatuated with the notion of ‘ecological civilisation’ because it sounds very forward thinking.”

Style over substance


It may be telling that President Xi did not actually attend last October’s COP15 biodiversity conference in person, apparently due to his understandable fear of catching Covid-19. It may be even more telling that China cancelled its hosting of the second half of the conference this year. (Canada stepped in and will host it in Montreal.) Is this simply a sign of Covid-19’s resurgence in China and the leadership’s obsession with “zero Covid,” or might it be an admission that China will respond to its Covid-induced slowdown by clawing out economic growth at any cost, in the process pushing the world closer to ecological collapse?

Ecological civilisation has so far failed to reverse the trends that make China the greatest threat to the global environment. In China, this new ideology is manifested in increasingly authoritarian environmental governance and authoritarianism justified for supposed environmental reasons. Instead of being a solution to China’s burden on the environment, ecological civilisation reinforces party-state dominance and growing material consumption and pollution. Arran Gare, an Australian philosopher, sums up the situation succinctly: China has “created one of the most inegalitarian and environmentally destructive economies in the world while promoting ecological civilisation.”

The Guardian’s Patrick Greenfield and Vincent Ni argue that China’s ecological civilisation has so far been “a triumph of style over substance when it comes to the environment.” As Li and Shapiro put it, ecological civilisation in China “is less a salve for the planet’s wounds than an intensification of them.” Recognising this reality is necessary if China is to chart a more environmentally sustainable course.

Innumerable positive adjectives can be used to describe Chinese civilisation. Despite grandiose pronouncements from China’s leaders, “ecological” is still not one of them.


HKFP is an impartial platform & does not necessarily share the views of opinion writers or advertisers. HKFP presents a diversity of views & regularly invites figures across the political spectrum to write for us. Press freedom is guaranteed under the Basic Law, security law, Bill of Rights and Chinese constitution. Opinion pieces aim to point out errors or defects in the government, law or policies, or aim to suggest ideas or alterations via legal means without an intention of hatred, discontent or hostility against the authorities or other communities.

 

ARTICLE TRANSLATION ON BINANCE CEO GOES WRONG! CZ SUES BLOOMBERG AS A RESULT

by  July 27, 2022
Binance

Binance CEO CZ is furious and suing Bloomberg for the wrong accusation.

Binance CEOChangpeng Zhao, aka CZ, is suing Bloomberg Businessweek for defamation in the Hong Kong High court. The largest global crypto exchange CEO filed a lawsuit citing the report published by Bloomberg Businessweek on July 6 as defamation against him. He stated that the cover of the report and the related news that came out included false and unproven criminal charges.

The lawsuit filed by Changpeng Zhao is represented by José-Antonio Maurellet, SC, of ​​Des Voeux Chambers, against Modern Media Company. Changpeng Zhao reached out to Watcher Guru and confirmed the legitimacy of the news. The defamation lawsuit filed by CZ highlights Bloomberg Businessweek’s 250th issue about CZ. The cover of the issue was misleading and was titled “Changpeng Zhao’s Ponzi Scheme.” The lawsuit also cites the 250th issue along with social media posts on Facebook and Twitter.

CZ, who is one of the prominent personalities in the industry, highlighted in the lawsuit that Modern Media is an influential and large medium and that the defaming news is spreading hate and harming CZ’s image. Binance, which was founded in 2017, has had the most remarkable growth over the last five years. The exchange recently celebrated its fifth anniversary. Recently, the exchange flipped Coinbase for the highest number of bitcoins held, marking another milestone for CZ’s exchange.

As a part of its fifth anniversary, Binance has also announced several giveaways and zero bitcoin trading fees. Binance has proven its resilience during the crypto winter, even when companies were laying off employees and struggling to stay afloat. The lawsuit also highlighted the embarrassment and distress that CZ had to go through because of Bloomberg’s false reporting. The lawsuit, which Zho filed, demands Modern Media take down the defamatory report and issue a formal apology. The Binance CEO has also demanded compensation for the damage caused and has also made a post on Twitter about accountability, that’s likely a reference to the recent lawsuit.


Cryptocurrency exchange founder sues

 Bloomberg Businessweek publisher for

 defamation in Hong Kong court


The statements in question involved the cover story of the 250th issue of the magazine, which was entitled “Zhao Changpeng’s Ponzi Scheme” and contained a photo of him.


by PETER LEE
26 JULY 2022

The founder of the world’s largest cryptocurrency exchange Binance is suing the publisher of the Chinese edition of Bloomberg Businessweek for unspecified damages over a “defamatory” magazine cover
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The Chinese edition of Bloomberg Businessweek. File photo: Peter Lee/HKFP.

Zhao Changpeng, who is also chief executive officer of Binance, filed the case in Hong Kong’s High Court on Monday.

The Canadian alleges that Modern Media Company Limited, the Chinese publisher of Bloomberg Businessweek, had published “defamatory statements” about him in Hong Kong on or around July 6.

The statements in question were the cover of the 250th issue of the magazine, as well as Twitter and Facebook posts with the cover attached. The cover was entitled “Zhao Changpeng’s Ponzi Scheme” along with a photo of him.

A Ponzi scheme refers to an investment fraud that pays existing investors with funds collected from new investors.

The magazine title was later changed to the “Mysterious Zhao Changpeng.”

Zhao Changpeng (left). File photo: Smorshedi, via Wikicommons.

The cover story was the Chinese translation of a Bloomberg feature published on June 23 in English, headlined “Can Crypto’s Richest Man Stand the Cold?”

Zhao said these statements were “calculated” to hold him up to “hatred, contempt and ridicule” and “tended to lower [him] in the estimation of right-thinking members of society in general,” in particular among crypto community members and his commercial counterparts.

Zhao said his reputation had been “gravely injured” and he had suffered “considerable distress and embarrassment” as a result of the “defamatory statements.”

The publisher, he said, “knew or ought to have known” that the words in question were defamatory. He added that it either had “no genuine belief in the truth of what it published,” or “must have suspected” the statements were untrue
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High Court. File photo: Candice Chau/HKFP.

The cryptocurrency exchange founder asked the court to order the publisher to apologise to him and remove the statements from its websites and social media, as well as to recall all copies of the physical publications.

He asked for “relevant” damages and costs.

Zhao founded Binance in 2017 and had a total net worth of over US$95.9 billion (HK$753 billion) at the beginning of this year, according to the Bloomberg Billionaires Index. However, it said his net worth had shrunk by more than US$70 billion (HK$549 billion) as of Tuesday.


Decarbonization by electrification not as advertised

Yergin answered emphatically… “Yes and it is potentially worse.”

“Today’s energy crisis did not begin with Russia’s invasion of Ukraine, but rather last year when energy demand surged as the world emerged from the COVID-19 pandemic. That is when China ran short of coal and prices shot up. The global market for liquefied natural gas (LNG) then tightened, with prices skyrocketing, and oil prices rose as well.”

Yergin concludes: “Today’s crisis is transforming a previously global market into one that is fragmented and more vulnerable to disruption, crimping economic growth.”

As countries and the oil and gas sector focus on decarbonization with Net zero timelines, electrification is promoted as a key solution. However, several factors, including a worldwide shortage of metals critical to electric infrastructure put those plans at risk.

Yergin pointed out that the technologies that are key to the energy transition require greater quantities of copper than hydrocarbons do. He predicts an insufficient supply of copper will disrupt efforts to achieve net zero by 2050 and it will certainly negatively impact electrification plans. There are also other challenges involving the very nature of electrical power grids, not the least of which is climate and the negative effects of extreme weather on power outages.

Canada’s electricity grids are susceptible to disruption according to Francis Bradley, president and CEO of the Canadian Electricity Association, the industry group that represents power generation, transmission and distribution companies.

In a recent interview, when referring to preparing Canada’s power grids for extreme weather Bradley stated:

“It’s a work in progress… to be able to make an assessment of how prepared we are for extreme weather due to climate change, it’s something that’s going to be constantly moving and constantly evolving.”

Extreme weather threats vary according to location- extreme drought and fire risk in transmission corridors, wind storms damaging powerlines & structures, heavy ice downing lines as well as thawing permafrost in the north.

Mike Deising, spokesperson for the Alberta Electric System Operator (AESO), reassures that the Alberta system is “designed for weather extremes — be that -50 C temperatures in the winter, or 35 C summers.”

“In Alberta, every year we see significant cold weather events, and our transmission and generation facilities are designed for these,” Deising says and reassures that when Alberta saw sustained -30 C temperatures in the winter and experienced record electricity demand, there were no reliability issues.

“Our net-zero report is a first in Canada and is designed to provide independent analysis to help inform policy makers and the private sector as we transition to lower carbon power systems.” Deising adds. “Our report concluded that there will be an additional $44-52 billion in cost for the generation and transmission systems in Alberta, with approximately 90 per cent of those cost coming from new generation facilities or modifying current facilities. Based on our analysis, Alberta’s grid will not achieve the complete removal of emissions from the power system by 2035. We can get close with offsets and the use of carbon capture and storage but to having a true zero emission grid in 13 years is not feasible from a reliability standpoint.”

With increased electrification of industrial, transportation, and building sectors and as a variety of new sources emerge, there will be new demand patterns as well as increased demand. Grids will need to draw increasingly more energy from a  greater variety of sources that change availability according to changing conditions. The increased complexity will create increased opportunities for disruption.

The International Institute for Sustainable Development (IISD) sees Canada’s electrical grids as vulnerable- at least to extreme weather. According to their report released on July 11, one-third of Canada’s electrical infrastructure is in bad condition and susceptible to extreme weather. The estimated cost to repair? Up to $1 trillion according to the IISD.

Darren Swanson, an IISD associate reported to the Financial Post, “It just highlights the fact that there will be investment needed and that climate change is wreaking havoc on the infrastructure itself, so the timing is quite urgent in terms of building resiliency.”

If the IISD’s quote of the cost to repair/upgrade Canada’s energy infrastructure seems daunting, consider that the forecast may actually be a low estimate.

“As far as costs and timelines,  RBC estimated it would cost $2 trillion to meet the net zero commitment in the next thirty years but all of the others are quite quiet on how much it will cost,” according to Greg Owen, Vice President, Business Development at GLJ Ltd.

“There is a shocking lack of conversation about how much this is going to cost to decarbonize the existing generation capacity as well as how much it is going to cost to double or triple it. In their report, AESO said to transition the Alberta grid we would need to spend between $44-52 billion in capital and operating cost and it would increase the power price for Albertans by 40%. Their report came out last month and it’s pretty realistic.”

Owen says both provincial and federal governments are betting heavily on CCS to retain existing natural gas generation so that Canada won’t have to change all of its existing infrastructures as well as add the additional new capacity. He says that is why the Liberal government made a recent carbon investment tax credit announcement.

Similar estimates for the cost of Net zero electrification south of the border are being reviewed and revised.

For example, in his critique of an American report by Thomas Tanton “Cost of Electrification: A State-by-State Analysis and Results”, Ken Gregory, writing for Friends of Science had eye-opening numbers for the cost of Net zero electrification of the U.S.A. by 2050.

Gregory’s study identified errors in the Tanton report and re-calculated the total capital cost of electrification using 2020 data, and estimated them at US$433 trillion- much higher than the US$29 trillion that Tanton claimed was possible using only solar and wind to replace other power sources.

Gregory calculates that allowing fossil fuels with carbon capture and storage to provide 50% of the electricity demand is more feasible – dramatically reducing the total costs from US$433 trillion to ~US$24 trillion, which is a reduction of 94.6%.

There has been a fair amount of discussion on the impact of the increasing adoption of electric vehicles on infrastructure. For charging, most older Canadian homes, being wired for 100 amps, are not wired for faster chargers- called Level 2 chargers. They would need to upgrade to 200 amp service and upgrades to three or four houses on the same block would overload existing grids.

In addition, increased EV adoption would require an increased demand for charging at public stations. The cost of increasing the number of charging stations grows dramatically after the first two stations are installed. The third station costs twice as much as either of the first two due to the high cost of all the safety measures that need to be added  In addition, increasing the number of stations will tax the grid even more.

As consumers and industry rush to switch to electricity to decarbonize, Canada is predicted to need three times the amount of electricity produced nationwide by 2050, according to a report from SNC-Lavalin. However, the timelines for projects are protracted according to Francis Bradley who says “It can take a decade to go through the processes of consultations and planning and then building and getting online, particularly when you’re talking about big electricity projects.”

Various levels of government have responded with funding and incentives to fast-track low-carbon projects. Jonathan Wilkinson, Federal Minister of Natural Resources in a video conference last week, said the Federal government’s primary goal is to accelerate the energy transition from fossil fuels in each region of Canada according to regional strengths or opportunities.

Glen Murray, who served as Ontario’s minister of infrastructure and transportation from early 2013 to mid-2014 has an interesting take on government policy focus.

“We are moving away from a centralized distribution model to distributed systems where individual buildings and homes and communities will supply their own electricity needs,” said Murray. “Yet both the federal and provincial governments are assuming that we are going to continue to have large, centralized generation of power, but that is simply not going to be the case.”

“Government policy is not focused on driving that  (decentralization) because they are held hostage by their own hydro utilities and the big gas companies.”

Government regulatory systems and funding, while promising to accelerate new technologies are creating an uneven playing field for new technologies to compete.

Considerations of government policy and the effect on the oil and gas industry returns us to Daniel Yergin’s discussion of the current energy crisis we touched on at the outset of this article. One solution to the crisis he proposed was that a few countries could still boost production.

“Canada – the world’s fourth-largest oil producer, after the US, Saudi Arabia, and Russia – could provide extra barrels in collaboration with its major market, the US,” Yergin wrote.

But this solution is in question after the Federal government cut and cap announcement last week.

Increased Canadian production is not likely if Ottawa proceeds with its proposed cut and cap measures to reduce emissions for the oil and gas sector. Consultations opened last week on the Federal plan to cap and reduce emissions by 42 per cent by 2030. Production cuts would certainly be the result of this plan even as the world’s energy demands not only continues but also increases. Policy decisions are expected in early 2023.

As Yergin concludes in his article –  for the current energy crisis (and for Canada’s oil and gas sector )…

”The next six months will be critical.”

Maureen McCall is an energy professional who writes on issues affecting the energy industry.

GOOD NEWS

Halliburton Warns Significant Frack Growth May Be Impossible This Year

  • After years of divestment, oilfield equipment supply is running especially low.

  • Halliburton’s CEO Jeff Miller is warning that oilfield equipment market is so tight that oil explorers are already discussing 2023 projects.

  • Miller noted that diesel-powered and electric equipment are in short supply, "making it almost impossible to add incremental capacity this year."

Fracking, or hydraulic fracturing, is an oil extraction technique that involves high-pressure water blended with sand and chemicals, forced into underground rocks known as shale to capture oil and gas. The process was revolutionized by horizontal drilling in the 1980s and 2000s, transforming America into the world's largest oil producer overnight.  American shale drillers have shown how quickly they can boost oil production over the years. But after several years of divestment and decarbonization, the days of fracking roaring back to life are over. 

Halliburton Co.'s CEO Jeff Miller confirmed this to analysts during a conference call Tuesday. He said the oilfield equipment market is so tight that oil explorers are already discussing 2023 projects. 

Miller said oil companies don't have enough fracking equipment for newly leased wells this year. He said diesel-powered and electric equipment are in short supply, "making it almost impossible to add incremental capacity this year." 

This development is another setback for the Biden administration's efforts to increase US oil production to ease the worst inflation in forty years ahead of the midterm elections in November. 

similar message was conveyed by Exxon Mobil, whose CEO said that global oil markets might remain tight for another three to five years primarily because of a lack of investment since the pandemic began.

Chief executive Darren Woods said it'll take time for oil firms to "catch up" on the investments needed to ensure enough supply.

Back to the shale patch, where even if exploration companies were to obtain fracking equipment for drilling new or existing wells, the frack sand used to blast through shale rocks is in short supply across Texas.

Russell Hardy, the CEO of the world's largest independent oil merchant, Vitol, also believes oil prices will remain high because the market can't see where additional supply is coming from to balance demand. 

Meanwhile, Brent oil prices rose to $106 on Tuesday after President Biden returned from Saudi Arabia without an agreement on increasing output from OPEC+. 

"The message is that it is OPEC+ that makes the oil supply decision, and the cartel isn't remotely interested in what Biden is trying to achieve," said Naeem Aslam, the chief market analyst at Avatrade.

Neither US shale nor OPEC+ appears to be increasing output in the immediate future for their own respective reasons, indicating tight crude supplies will keep energy prices elevated and inflation high. 

All the Biden administration can hope for now is a recession to curb consumer demand to rebalance markets. 

By Zerohedge.com