Unheeded US warning toward India highlights antipathy of non-Western countries
Global Times | April 7, 2022
The US warned India once again. White House top economic adviser Brian Deese claimed on Wednesday that the consequences of New Delhi’s “more explicit strategic alignment” with Moscow would be “significant and long-term.”
What a bullying manner! This is an open threat by the US toward India on the latter’s own business. When it comes to the Ukraine crisis, the US is blatantly displaying its hegemonic mentality – either you are with the US, or against the US. This echoes exactly the same slogan of George W. Bush, made in the wake of the 9/11 attacks, said Zhao Gancheng, a research fellow at the Shanghai Institute for International Studies.
The US is again telling the world: As a superpower, it has the right to define who you are.
Even if India has not “aligned” with Russia, and has kept a relatively balanced position during the Russia-Ukraine conflict, the US does not buy it.
“Remaining neutral makes no sense to the US. What Washington wants from New Delhi is completely standing by the side of the US,” Zhao said.
The US is afraid that ties among China, Russia and India may further develop due to the Ukraine crisis, although systematic cooperation of the three countries is not rare.
Moreover, the US expects that everything goes well in terms of the Quad summit, which is schedule to be held in Japan, tentatively by the end of June. Yet, if India does not make a statement in line with the US expectation, the summit may hardly take place. Constant warnings over “consequences” against India emerged from the US, revealing Washington’s anxiety.
Before Deese’s remarks, the US has already warned India more than once against constructing alternate payment mechanisms with Russia or buying more oil from Russia. Yet the threats turned out to be in vain, as India benefits from its ties with Russia, which can’t be substituted by the US.
Also, India’s response mirrors an increasingly obvious trend – the US has underestimated the antipathy the rest of the world holds for it. Not only India, but the majority of the general public in China and Latin American countries and other developing world have not taken sides with the US in the Russia-Ukraine conflict, even if the US believes it is standing on the moral high ground. They do not support sanctioning Russia. As Gérard Araud, former French ambassador to the US, put it, even if they don’t particularly like Russia, a lot of non-Westerners are supporting it only because they are confronting with the West.
Quite a few countries have long been bullied by the US. They have long developed a rebellious psychology. This time, the more sanctions Washington imposes on Russia due to the conflict, the more aversion the US will have to face.
The US has long believed it masters superior strength, values, and civilization, which in turn has given birth to its overbearing arrogance. As a result, when interacting with non-Western countries, the US either coerces them or issues warnings to them. Since Washington is accustomed to dealing with others from a position of strength, its relations with other countries have never been on an equal footing, Li Haidong, a professor from the China Foreign Affairs University in Beijing, told the Global Times.
That’s why the world has been witnessing the US talking about the so-called democracy while it makes dictatorial orders toward other countries.
The resentment from non-Western countries toward such hegemonic arrogance has long been lurking. It is now surfacing during the ongoing Ukraine crisis, along with the real status of the US in international society – It has imposed sanctions on Russia yet has failed to reach expected effects; It claims to be on the justified side, but most countries believe it is the US-led NATO that has turned Ukraine into a pawn, threw it under the bus, and worse, attempted to prolong the war; It pushed India, one of its closest partners, to take sides, but only gained India’s cold shoulder.
Since the outbreak of the conflict, Indian people seem to have been fed up with the US putting pressure on or threatening India. Many of them asked: What kind of a partner is this? New Delhi’s current balanced diplomacy is thus warmly welcomed by the Indian public. This is a sign of their repugnance toward Washington.
Today, the US would be self-defeating if it stubbornly believes that whoever it cozies up to would feel honored and dance to its tune. Gone is the time when US warnings work.
Serbia says it was blackmailed over UN vote
Samizdat | April 8, 2022
Serbian President Aleksandar Vucic has said that his country has been pressured under the threat of sanctions to back Russia’s suspension from the UN Human Rights Council.
Belgrade has close historical ties with Moscow but joined other Western nations this week in a vote against Russia in response to its ongoing military campaign in Ukraine. “Our initial decision was to abstain, but then we were subjected to countless and difficult pressure,” Vucic told RTS TV on Thursday.
“They said – do you know that a decision is being made whether Serbia will be exempted from the package of sanctions on [Russian] oil, and whether it will be able to import oil after May 15?” the president said. He compared the possible effect of sanctions on Serbia to “a nuclear strike.”
Unlike the EU, Serbia has not imposed any sanctions on Moscow. “The Republic of Serbia believes that it’s not in its vital political and economic interests to impose sanctions on any country,” Vucic said, while stressing that he wants to maintain good relations with the European bloc, as well as with Russia.
Belgrade previously said that getting cut off from Russian energy would damage its economy. On Friday, Serbian media outlets quoted its sources in Brussels as saying that Serbia will be exempt from possible sanctions on Russian oil and gas.
At the same time, Blic newspaper quoted EU spokesman Peter Stano as saying that the bloc expects Belgrade to follow its restrictions on Russia or impose its own sanctions on Moscow.
On Thursday, the UN General Assembly voted to suspend Russia from the organization’s human rights panel. Serbia was among the 93 member states that backed the suspension.
The EU banned the imports of Russian coal, but has so far stopped short of banning the imports of oil and gas. European Council President Charles Michel, however, said on Wednesday that the bloc will need sanctions on Russian oil and gas “sooner or later.”
Russia, Iran hold major economic forum to expand ties
Press TV – April 7, 2022
Russia has hosted a major economic forum attended by a large Iranian delegation as the two countries seek to expand their trade and economic cooperation.
Iran’s official IRNA news agency said in a Thursday report that representatives from more than 300 Russian businesses and companies had attended the gathering held earlier in the day at the conference hall of the Chamber of Commerce and Industry of the Russian Federation (TPPRF) in Moscow.
An Iranian economic delegation attended the meeting which authorities said was aimed at studying new capacities for economic and trade cooperation between Iran and Russia, said the report.
It said that more than 53 Iranian private businesses were represented in the forum where TPPRF President Sergey Katyrin highlighted the importance of the close cooperation between Iran and Russia in light of the current political and economic circumstances in the region.
Russia has been facing a raft of economic sanctions from the US and European countries since it started a military operation in Ukraine in February.
The sanctions are much similar to a series of bans imposed on Iran by the United States since 2018 when Washington pulled out of an international deal on Iran’s nuclear program and started a campaign of maximum economic pressure on Tehran.
Iran decided to increase its trade ties with Russia since US sanctions were imposed through signing an agreement with the Russia-led EAEU bloc of Eurasian economies.
Trade ties between Iran and Russia exceeded $4 billion in value terms over the Iranian calendar year to March. However, the two countries have insisted the figure could more than double because of new geopolitical situation in the region.
“The goal of the Islamic Republic of Iran is to increase our trade turnover to at least $10 billion in the short-term,” Iranian deputy trade minister Alireza Peymanpak said on Wednesday while addressing Iranian and Russian delegates in Moscow.
‘US can’t replace Russian coal supplies to Europe’ proposed sanctions fail to pass
Samizdat | April 6, 2022
The US coal mining industry is unable to expand production to replace Russian coal on the European market, the country’s biggest exporter said on Tuesday.
The comment follows a proposal by the European Commission to impose a ban on coal imports from Russia as part of a wider package of sanctions on Moscow over the conflict in Ukraine.
“I don’t see any ability for the industry to expand production. It’s like looking at a sweet dessert that you just can’t reach,” Ernie Thrasher, chief executive officer of Xcoal Energy & Resources LLC., the US’ biggest exporter, told Bloomberg.
The US is among the world’s top five coal exporters, and sells most of its coal to India, Brazil and South Korea.
According to Thrasher, most of the US coal output has already been sold under long-term contracts and there are few spare tons to deliver to Europe. With coal being the dirtiest fossil fuel, there has been little investment in new capacity, he explained, adding that tight labor markets and supply-chain bottlenecks caused by the coronavirus pandemic would also make it difficult to deliver extra tons for export.
According to media reports, potential buyers from some EU countries have already approached Indonesia and Australia, the world’s largest thermal coal exporters. But those countries have limited capacity as well. The EU wants to move away from Russian supplies, which meet 70% of Europe’s demand for thermal coal.
Shares of US coal miners surged after the European Union announced its sanctions plan against Russia on Tuesday. Coal prices in the US have been on the rise, surpassing $100 a ton last week for the first time since 2008.
‘EU fails to agree new Russia sanctions’
EU policy makers failed to agree Wednesday on a new package of sanctions against Moscow, including a ban on Russian coal imports, Reuters reports, citing its sources. The latest round of economic restrictions was proposed by the European Commission earlier this week.
Persons familiar with the matter explained the fiasco citing “technical issues” that needed to be resolved, including on whether a coal import ban would affect existing contracts.
The sources noted that it was not clear yet how the issues will be resolved, but the EU hopes to reach a compromise at a meeting on Thursday.
Can Australian Green Hydrogen Replace Russian Gas?
By Paul Homewood | Not A Lot Of People Know That | April 5, 2022
According to Ambrose Evans-Pritchard:
“Look at the deal just reached between Andy Fortescue and EON to ship green hydrogen (as ammonia) from his 200 GW planned solar and wind zone in Australia to Germany. Simply amazing. This is where the world is going”
The first thing to point out is that there is no deal to ship anything. It is simply a commitment to a research and study partnership. In particular, there is no obligation at all for Fortescue to spend a penny beyond this research. [Fortescue Future Industries, FFI, is, by the way the company. Andy Forrest is its Chairman – “Andy Fortescue” does not exist!]
But is green hydrogen really the breakthrough AEP thinks?
The first thing to note is that hydrogen does not grow on trees! FFI plan to use wind and solar power in Australia to produce hydrogen via electrolysis, an expensive process which also wastes some of the energy input.
The hydrogen is then combined with nitrogen in another expensive process to produce ammonia, which is more energy dense, and thus cheaper to ship. The ammonia then has to be cracked in another expensive process to split the hydrogen out again.
It therefore goes without saying that in energy terms hydrogen is much more expensive than the electricity used in the first place.
Solar power, of course, will be relatively cheap in the deserts of Australia. The IEA carried out a detailed study on hydrogen a couple of years ago, and reckoned that green hydrogen there would cost around $2.20 per kg.
That translates to $72.60/MWh, say £55/MWh. But on top of that we need to add all of the other costs.
The current, extremely high wholesale price of gas is about 270p/therm, or £92/MWh. Even now, green hydrogen is unlikely to offer any significant savings, once all of the other costs are added in.
But there is no reason why natural gas costs should stay as high as they are now. Historically, market prices, which have reflected the “real” costs of extraction, have been around £14/MWh.
Allowed to function freely, markets will quickly correct the current imbalance of supply and demand, and prices will fall accordingly. It clearly makes no sense at all to spend literally hundreds of millions developing a green hydrogen alternative.
Indeed if we go down this route, we are locking in the current unaffordably high prices of gas for the long term.
So why are FFI and E.ON getting into bed on this one? The answer is simple – subsidy hunting.
There is no question from a technical point of view that green hydrogen can be produced and shipped in bulk in this way. But neither FFI or E.ON, nor for that matter their bankers, are going to invest big money just in the hope that the Ukraine crisis goes on forever.
There is only one way this project will get off the ground. They will be wholly dependent on subsidies from the EU or German government. This is most likely to be in the form of Contracts for Difference, already being mooted for hydrogen production in the UK.
Such a scheme would offer a guaranteed price to FFI and E.ON, with the cost passed on to consumers.
Finally, let’s put the production numbers into perspective.
The deal talks about 5 million tonnes of hydrogen a year. That equates to 165 TWh. In comparison, the UK consumes 855 TWh a year. Europe as a whole uses close to 6000 TWh annually.
Clearly this FFI project will make no more than a dent in the overall gas market.
Finally, one last number. The FT talk of a 200 GW wind and solar zone in Australia to make this happen.
Currently the global capacity of solar power is only 707 GW, and in Australia it is a tiny 17 GW.
It seems like we will need an awful lot of solar panels, simply to replace a tiny amount of gas!
Washington nudges Moscow toward default
Samizdat | April 5, 2022
The US authorities have stopped the Russian government from paying holders of its sovereign debt more than $600 million from reserves frozen in American bank accounts.
“Russia must choose between draining remaining valuable dollar reserves or new revenue coming in, or default,” a US Treasury spokesperson said on Monday as the largest of the payments came due, including a $552.4 million principal payment on a maturing bond.
An $84 million coupon payment was due on the same day on a 2042 sovereign dollar bond.
JPMorgan, which had been processing payments as a correspondent bank heretofore, was stopped by the US regulator, according to a source familiar with the issue, as cited by Reuters. Now Russia has a 30-day grace period to make the payment.
Russia’s foreign currency reserves held by the country’s central bank at US financial institutions had been previously frozen as part of Western sanctions imposed on Moscow over its military operation in Ukraine.
However, the country was allowed to use the funds to make coupon payments on dollar-denominated sovereign debt on a case-by-case basis. Since February 24, when the operation was launched, Russia managed to make as many as five bond payments, having averted the default that was predicted by international rating agencies.
Moscow was last allowed to make a $447 million coupon payment on a 2030 sovereign dollar bond on March 31.
The sanctions-hit country has a total of 15 international bonds outstanding with a face value of around $40 billion.
UK plans to designate Yemen’s Houthis as terrorists risk disaster warns aid agencies
MEMO | April 3, 2022
The British government’s plans to designate Yemen’s Houthi movement as a terrorist group risk worsening the humanitarian crisis in the country, leading aid agencies have warned in a letter to cabinet ministers.
According to a report yesterday by The Guardian, 11 British aid agencies, including Save the Children, Care, the International Rescue Committee and Islamic Relief sent the letter upon being informed that Home Secretary Priti Patel was pushing for the designation under the Terrorism Act as part of a review of British policy in Yemen.
There are fears that the move, described as a “blunt tool” could hamper aid efforts in the country, already on the brink of famine, as international banks and companies that import food, medicines and fuel could be impacted by terrorism laws, especially as the Houthi-led, de-facto government based in Sanaa control the most densely populated areas in the north.
“The likely ‘chilling effect’ on banks and other commercial actors could prove catastrophic for the millions of Yemenis already at risk from hunger, conflict and disease,” the letter stated.
“Grain importers and banks told humanitarian agencies they are unsure if they will be able to continue supplying Yemen if the UK proceeds with proscription of Ansar Allah,” the aid agencies explained, referring to the formal name of the Houthi group.
“[If] banks were to refuse transfers because of UK proscription, this would likely have a serious impact on remittances, which are a lifeline for 500,000 Yemeni families. Up to one in 10 Yemenis rely on remittances to meet their essential needs. They are the biggest source of foreign exchange into the country, making up 20% of the country’s GDP. More than 100,000 Yemenis living in the UK would no longer be able to support their loved ones.”
However, the plans have received the support of some of the Gulf states, especially Saudi Arabia and the UAE who have been hit by cross-border attacks by the Houthis. Both are joint-leaders of the Arab coalition which militarily intervened in the country in 2015 at the request of the internationally-recognised Yemeni government following the fall of Sanaa to the Houthi forces and their military allies the year before.
Last year the Houthis were listed as a Foreign Terrorist Organisation towards the end of former US President Donald Trump’s administration, which was condemned by human rights groups at the time who warned it could further exacerbate the humanitarian crisis. However, President Joe Biden formally delisted the movement amid announcements that the US would end its support for the Saudi-led war. Earlier this year, Biden said he would consider relisting the Houthis as a terrorist group and it has become a source of tensions between Washington and its Gulf allies, Saudi and the UAE.
European energy crisis looms amid Russia-Ukraine tensions
Global Times | April 3, 2022
With Russia’s ruble payment for natural gas taking effect on Friday, the clock is ticking for Europe to grapple with the looming gas cutoff threat which would not only make the bloc face an unprecedented full-blown energy crisis but could also create a ripple effect throughout its manufacturing, logistics, and other services sectors, undercutting European GDP by about 1 to 2 percent and even lead to a political crisis, analysts predicted.
Moscow said gas will continue flowing with payments for supply from April 1 due to be paid by the end of the month or early May, giving respite to Europe whose leaders insist they will not comply with the ruble payment decree by Russian President Vladimir Putin. Analysts said the choices left for the bloc are limited, as the alternative LNG shipment from the US cannot cover demand in the short term and Europe is also severely lacking in LNG-receptive infrastructures.
These dire consequences seem to be very ironic, as Washington stands to pocket huge profits from the Russia-Ukraine conflict, while the interests of its European allies are compromised or even sacrificed, observers said, pointing out that Europe could become one of the biggest victims of the US advancing its global hegemony.
Putin announced that the ruble payment for natural gas purchases for “unfriendly” countries took effect on Friday. Under the new rule, foreign buyers will need to open special ruble and foreign currency accounts with Russia’s Gazprombank JSC to handle payments.
If account payments are not made, Russia will consider it a default on the part of buyers, and halt supply, Reuters reported.
European leaders have rejected paying with the ruble, which they said violates existing contracts. While Baltic country Lithuania said on Saturday that it has fully abandoned Russian gas imports, other European countries have yet to make clear what their stance or back-up plans are.
According to a Bloomberg report, European buyers are “looking for clarity on how the new system will work.” The German government was reportedly studying details, Denmark condemned the move, and French Ecology Minister Barbara Pompili said she didn’t see the request as a breach of contract as companies would still be able to pay in euros.
While the political wrestling would linger and European leaders may align to bolster their hard political stance against Russia, analysts predicted that there may be some easement on actual practices.
For example, some European countries may apply for exemptions via the EU mechanism, or there may be “some difference” between governments’ tough stance and how EU energy firms handle the payment, Cui Hongjian, director of the Department of European Studies at the China Institute of International Studies, told the Global Times on Sunday.
Looming energy crisis
Russia accounts for over 40 percent of Europe’s total natural gas supply and 50 percent of the coal supply used in Europe. The European natural gas price reportedly jumped 34 percent after the ruble payment decree.
Analysts warned that a further hike in natural gas prices could drive up living costs for ordinary Europeans, further heaping up inflation pressure and even intensifying political crises.
According to Investec Bank, the UK’s cap on energy prices could spike by another 50 percent in October to more than 3,000 pounds per household, driven by fears about disruptions to the European gas supply.
EU economic heavyweight Germany, which relies heavily on Russian energy imports, has seen its March energy price rise 129.5 percent than that of February. In March, German consumers’ spending for household energy and fuels grew by 22.5 percent year-on-year, according to data released by the Federal Statistical Office of Germany.
Germany declared an early warning in its national gas emergency plan on Wednesday, urging its people to cut their energy consumption. The country’s energy-intensive sectors including steelmaking, papermaking, and logistics have reportedly felt the pinch. Some operations have had to be suspended as they cannot afford the skyrocketing energy price.
According to media reports, there are three stages in Germany’s emergency plan, and the final stage is only activated when “there is exceptionally high demand for gas or significant disruption to gas supply, with all market-based measures implemented and supply still insufficient.”
“When the final stage is triggered as energy crisis snowballs, energy consumption will prioritize civilian use, and supply for industrial use could be totally halted in that case, exerting a devastating effect not only on Germany but also the European economy – which has been battered by the pandemic,” Cui warned, while estimating that such energy crises could erase Europe’s GDP expansion by around 1 to 2 percentage points.
It is projected that the EU economy will grow by 4 percent in 2022, according to a report issued by European Commission on February 10, before signs of an energy crisis manifested.
Cui said a curb on industrial production also weighs on fiscal government income, which matters to social welfare, resulting in a vicious circle that may even threaten the European bloc’s political stability.
No way out
A possible alternative to Russia’s natural gas is to import LNG from the US. Lin Boqiang, director of the China Center for Energy Economics Research at Xiamen University, told the Global Times on Sunday that US LNG shipment is not “an immediate solution” as the plan cannot be implemented within the next few months due to soaring gas price and limited facilities to accommodate shipment.
In March, the US and Europe struck a major LNG deal, under which the US will provide the EU with at least 15 billion additional cubic meters of LNG by the end of the year. “From a realistic point of view, US LNG shipments are also unable to fully cover the gap left by Russia’s natural gas imports, not to mention higher logistical costs,” Lin said.
US exporters have shipped record volumes of LNG to Europe for three consecutive months, as prices increased10 times more than a year ago, another Reuters report said.
According to a study by energy research institute Aurora Energy Research, it would cost between 60 and 100 billion euros filling up gas shortage from non-Russian sources.
The Rich Are Taking the Poor to the Cleaners on ‘Green’ Energy in Countries That Can Least Afford It
By Vijay Jayaraj | The Western Journal | March 30, 2022
Approximately 1.3 billion Indians have been informed that their cooking gas price will go up by 65 cents per liter. In a country like India, higher fuel prices can have quick and dangerous repercussions, resulting in greater morbidity and mortality.
The situation is similar in other developing countries and the poor economies of the African continent. Unfortunately, the establishment media does not sufficiently report on how hostility toward fossil fuels has contributed to the current energy crunch.
The populations of developing countries have been ill-served by leaders who waste precious resources on “green energy” infrastructure when they could have easily used those funds to improve the production and importation of coal, oil and natural gas.
Consider India and Vietnam, two fast-growing Asian economies that have been undone by the “green” distraction that has squandered their domestic energy security in the name of climate wokeism.
Despite the acceleration of coal production, India finds itself in an energy mess thanks to billions of dollars invested in poorly performing renewable energy technologies. Between 2014 and 2019, India’s renewable energy industry received $64.4 billion in investments.
The country instead could have directed money to reliable and affordable coal power plants that would have cost only a fraction of the “green” boondoggles. In 2016, India’s renewable energy investment was equivalent to the construction costs of 11 coal power plants. Likewise, several small-scale oil refineries could have been commissioned and made operational in the last 10 years, reducing the need to import refined fuel at higher prices.
Many argue that a country like India is already using too much fossil fuel. But this argument falls flat when the nation raises fuel prices for those who can least afford it. There are 230 million people in India who earn less than $5 per day. For these people, and millions of middle-class households, the hike in fuel prices means an increase in commodity and transportation costs and an overall stagnation of economic development.
Another rapidly growing Asian economy is Vietnam, where leaders appear committed to increasing the share of “green” technologies in the energy market. This ignores problems created by the country’s move away from fossil fuels.
During the past many weeks of volatile oil prices, analysts have rued Vietnam’s missed opportunity to strengthen its domestic oil and gas infrastructure. Since February, gas retailers have faced severe shortages, with more than 300 petrol and oil retailers across the country stopping sales.
Situations like these could have been minimized had the country not been apathetic about energy security. A key reason for high gas prices is decreased production at Nghi Son Oil Refinery, which did not receive enough government support to avoid financial difficulties and a 90 percent reduction in output in January. The refinery serves 35 to 40 percent of the domestic petrol market.
Economist Dinh Trong Thinh says, “When the plant’s production is unstable or has a problem, it will affect the Vietnamese petroleum market because the market share of Nghi Son refinery is large. The risk of a factory shutdown is an important issue for the petroleum sector in particular and the economy in general, which urgently needs the intervention of state management agencies.”
However, this urgency is not reflected in government actions to retain an environmental tax that boosts fuel prices and continued investing in renewable energy projects that do nothing to improve energy security.
It is time that developing economies stop experimenting with proven failures like wind and solar and start developing infrastructure that can address international price volatility.
Vijay Jayaraj is a contributing writer to the CO2 Coalition and holds a master’s degree in environmental sciences from the University of East Anglia, England. He resides in Bengaluru, India.
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UAE tortured, killed journalist for opposing Israel normalization
The Cradle | October 31, 2026
UAE security officers detained, tortured, and killed Emirati poet and news editor Habib al-Sayegh in August 2019, shortly after he published a column opposing UAE normalization with Israel, according to a newly published book.
“Princes and Thieves,” a book by investigative journalist Matthew Cole published on 25 October, alleges that UAE security officers raided Sayegh’s Abu Dhabi home shortly after the publication of the column, hooded him in front of his wife and took him to a detention facility where he was tortured to death.
His interrogators reportedly pulled out several of his teeth with pliers and beat him repeatedly with a sharp metal object.
On 11 August 2019, Sayegh criticized the UAE’s plan to normalize relations with Israel as part of the Abraham Accords in his weekly column for Khaleej newspaper. The column was titled “Israel Is Our Real Enemy and A Dangerous Project.”
Sayegh described Israel as “a real and natural enemy” while questioning “who authorized the normalizers to speak on behalf of everyone?”
Nine days after the column was published, Emirati state media announced his death, without stating a cause. … continue
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