‘Toothless’ sanctions
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Environmental, social and governance (ESG) risks are becoming increasingly important to judging the credit worthiness of electric utilities, especially as climate change makes their work more challenging.
On this episode of the Columbia Energy Exchange, host Bill Loveless talks to Jim Hempstead, a managing director in Moody’s Global Project and Infrastructure Finance Group. In his role at Moody’s, one of the largest credit ratings firms in the world, Jim helps oversee the North American Regulated Utility and Power Team. He also heads Moody’s working group in charge of ESG issues in the Americas.
In the conversation with Bill, Jim makes clear that defining ESG standards is still very much a work in progress for the credit rating firms and the companies they assess for credit worthiness. Nevertheless, ESG metrics are an important means of evaluating the utility sector where shifts are occurring not only due to climate change but also from public policies, market forces, and public attitudes about how electricity is produced and used.
Jim and Bill also talk about the relevance of government policy and regulation as it relates to ESG and the power sector, including recent developments in Washington D.C. and the enactment of an historic climate law in California.
The Federal Energy Regulatory Commission (FERC) regulates the United States’ energy transmission, pipeline networks, and wholesale rates for electricity. For much of its history, FERC was a little-known...
Around the globe, and here in the United States, energy markets face huge uncertainties. They include everything from rising geopolitical tensions to a wave of new liquefied natural...
Elected officials face huge challenges when it comes to energy policymaking. They have very little time to learn complicated, nuanced issues. They're bombarded by information — some of...
The ten years since the Paris Agreement was signed at the UN Climate Change Conference, COP 21, have been the ten hottest years on record. And the outcome...
Last month, the Trump administration imposed fresh sanctions on Russia’s two largest oil companies, Rosneft and Lukoil, signaling a renewed desire to drive Moscow to the negotiating table in its war against Ukraine. But although these measures have the potential to harm the Russian economy, just how much damage they inflict will depend largely on one actor: Beijing. China bought almost half the oil Russia exported in 2024, evading Washington’s existing restrictions in the process. And new sanctions alone will do little to push China into significantly reducing its purchases.
Connecticut needs an honest debate, and fresh thinking, to shape a climate strategy fit for today, not 2022.
President Donald Trump’s impulsive, go-it-alone approach is uniquely ill-suited to the long-term and cross-cutting nature of the challenge that China poses.