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U.S. faces driest March in 131 years as compound drought erodes water supply
By mid-April 2026, the United States experienced its driest March since 1895, with nearly 100% of Oklahoma and 97% of the Southeast in extreme drought. NASA, NOAA, and the U.S. Drought Monitor data indicate a 'Compound Drought' driven by climate change, a La Niña cycle, and a March heat shock. Snowpack levels in the West have collapsed, threatening water supplies for 40 million people, winter wheat harvests, and the Ogallala Aquifer. The event poses severe risks to agriculture, power grids, and AI data centers dependent on water cooling.
Global carbon emissions hit record high despite renewable energy growth
In 2025, global carbon emissions reached a record level even as coal was edged out by renewables, primarily driven by China's solar boom. However, fossil fuel consumption in sectors like transportation remains high. The energy transition faces challenges including a surge in critical mineral mining, such as copper and lithium, and increased AI data center investments. Concurrently, geopolitical tensions and drought conditions persist, while regulatory actions against fossil fuels and pesticides continue.
Report warns Australia's green iron edge is at risk as projects stall
Independent think tank Climate Energy Finance warns Australia risks losing its lead in green iron production as no commercial plant has reached a final investment decision. With 11 proposals across Western Australia, South Australia, and Queensland, the sector faces a critical two-year window. Lead author Matt Pollard and director Tim Buckley urge immediate execution to prevent other nations, such as China and Saudi Arabia, from capturing the market. Without action, Australia risks remaining a raw material exporter rather than a manufacturing leader.
Ordnance Survey analysis identifies flood-vulnerable transport routes across England
New geospatial analysis by Ordnance Survey reveals significant exposure of England's road and rail networks to river and sea flooding. The study identifies 7,564km of roads and 3,003km of rail lines within high-probability flood zones. North Yorkshire faces the highest road exposure, while 36 local authorities risk complete rail isolation. Specific locations including Kirkby-in-Furness, Marlow, and Henley-on-Thames are highlighted as vulnerable to isolation during extreme weather events.
Japan secures petroleum-derived naphtha supplies until 2027
Japan has secured sufficient petroleum-derived naphtha supplies to last until 2027, with imports from non-Middle Eastern countries tripling in May to 1.35 million kiloliters per month. Prime Minister Sanae Takaichi announced the measure to address supply concerns caused by the Iran war disrupting Middle Eastern oil flows. The government is releasing domestic oil stockpiles and urging the public to avoid hoarding naphtha-derived products like paint thinners and adhesives. Crude oil imports bypassing the Strait of Hormuz have also increased, with the government expecting to meet total volume requirements through the end of the year.
UK government confirms removal of Carbon Price Support in 2028
On 16 April 2026, the UK government confirmed its intention to remove the Carbon Price Support (CPS) from April 2028. The CPS, a tax on fossil fuels used in electricity generation introduced in 2013, is deemed no longer fit for purpose. Legislation for the removal will be included in a future Finance Bill. Concurrently, HMRC published a technical consultation on draft secondary legislation for the UK Carbon Border Adjustment Mechanism (CBAM) on 9 April 2026, with the consultation closing on 21 May 2026. Additionally, the UK Emissions Trading Scheme was expanded to cover maritime activities from 1 July 2026.
ASX stocks 1414 Degrees Pathkey.AI Eclipse and European Lithium surge on critical minerals and AI developments
ASX-listed companies 1414 Degrees, Pathkey.AI, Eclipse Metals, and European Lithium were named runners of the week due to significant developments in battery technology, AI acquisitions, and critical mineral resources. 1414 Degrees reported a 50% capacity improvement in drone batteries. Pathkey.AI announced a takeover of Chipforge to expand into semiconductor design. Eclipse Metals upgraded its Greenland rare earths resource by 234%. European Lithium received a $1.2B merger bid from US SPAC Critical Metals Corp for its Greenland and Austrian projects. The moves highlight growing interest in AI infrastructure and critical minerals supply chains.
2025 was hotter than expected due to reduced air pollution and rising emissions
Professor Michael Wysession explains that 2025 was hotter than anticipated primarily because reductions in sulfate aerosol pollution, which previously masked warming, have revealed the full extent of greenhouse gas effects. Despite cooling influences like La Niña and declining solar output, global temperatures reached 1.47 Celsius above the 1850-1900 average. The article highlights that rising energy demand, particularly from AI data centers and air conditioning, continues to drive fossil fuel use. Experts predict 2026 will be similarly hot, with increasing risks of crossing climate tipping points if emissions remain high.
East Africa positioned as strategic mineral frontier for global green energy shift
East Africa is emerging as a critical mineral frontier for the global green energy transition, possessing significant reserves of rare earth elements, graphite, lithium, and nickel. Nations including Tanzania, Malawi, Madagascar, the Democratic Republic of the Congo, Rwanda, and Burundi hold deposits essential for electric vehicles and wind turbines. However, the region faces structural barriers such as the 'Resource Curse', lack of mid-stream processing, and energy reliability issues. Experts recommend regional integration via AfCFTA, value addition through domestic processing, and sustainable mining practices to transform the region from a raw material exporter to a core component of the global green economy by the mid-2030s.
Giuliano Regonesi promotes microalgae as industrial response to Hormuz oil crisis
Giuliano Regonesi, founder of MICROALGAEX As, argues that microalgae cultivation offers an industrial solution to global energy fragility caused by tensions at the Strait of Hormuz. Citing International Energy Agency data on 2025 oil volumes and Reuters reports on April 2026 Brent prices, Regonesi positions algal biofuels and biofertilizers as strategic assets for European energy autonomy and food security. The initiative aims to reduce dependence on unstable fossil fuel routes while transforming CO2 into industrial resources.
WTI retreats below $102.50 amid stronger US Dollar and Middle East tensions
West Texas Intermediate (WTI) crude oil prices fell to approximately $102.40 during early European trading on Friday, driven by a stronger US Dollar following the Federal Reserve's decision to hold interest rates steady. Despite the decline, prices faced a floor due to renewed geopolitical tensions in the Middle East, specifically the closure of the Strait of Hormuz and the United Arab Emirates' exit from OPEC. Reports indicate potential US military strikes on Iran, which could disrupt global oil supplies and limit further price drops.
Oil prices ease as market digests UAE exit from OPEC
Oil prices fell slightly on Wednesday as investors assessed the UAE's decision to leave OPEC, which suggests a stronger future supply outlook. However, prices remain supported by ongoing supply disruptions from the stalemated conflict between the US and Iran, specifically the blockade of the Strait of Hormuz. US President Donald Trump has directed aides to prepare for an extended blockade of Iranian ports. Meanwhile, US crude oil inventories dropped by 1.79 million barrels for the week ended April 24.
UAE exits OPEC potentially reshaping global oil supply and pricing dynamics
ICICI Securities reports that the United Arab Emirates' decision to exit OPEC marks a significant shift in global energy markets, ending a 65-year production alignment. While immediate impacts are limited by Strait of Hormuz disruptions, the move may weaken OPEC's supply management and soften long-term crude prices. The report forecasts prices around USD 85/bbl for 9-12 months, with potential moderation benefiting downstream players like India's oil marketing companies despite near-term import cost pressures.
Netherlands exports more electricity despite domestic connection queues
Netherlands exported 14 TWh of electricity to neighbours in 2024, tripling the previous year's volume, while domestic connection queues and a July stoppage in Utrecht persist. TenneT reports generation capacity is sufficient, with producers curbing output due to low prices or grid constraints. However, grid congestion during evening peaks and the rise of electric vehicle charging drive high wholesale prices and increased CO2 emissions from gas and coal plants.
Nigerian petrol marketers raise prices amid global crude oil spike
Nigerian petrol marketers have increased fuel prices following a momentary rise in global crude oil prices driven by US-Iran conflict tensions. Brent crude briefly reached $126.41 per barrel before retreating. Olatide Jeremiah of Petroleumprice.ng warned that higher crude costs make depot price hikes unavoidable for Premium Motor Spirit, Automotive Gas Oil, and Aviation Turbine Kerosene. Vanguard checks confirmed PMS prices rose to N1,300 per litre in Lagos. Mazi Colman Obasi of OGSPAN stated global instability will continue impacting the domestic market until the conflict ends.
Trump administration pays firms to exit US offshore wind leases
The Trump administration has agreed to reimburse Bluepoint Wind and Golden State Wind nearly $900 million to exit their offshore wind leases. These projects, located off New Jersey, New York, and California, will redirect capital toward fossil fuel infrastructure. The Interior Department confirmed the agreements, citing that previous investments relied on subsidies. This follows a March deal with TotalEnergies. Senate Minority Leader Chuck Schumer criticized the move as reckless, while Interior Secretary Doug Burgum defended it as ending reliance on expensive renewable energy. The Bureau of Ocean Energy Management has rescinded designated wind energy areas in federal waters.
UAE oil exit from OPEC tests cartel discipline
Abu Dhabi's decision to leave OPEC and the OPEC+ framework on 1 May 2026 introduces a new fault line in global oil diplomacy. The move ends nearly six decades of UAE participation, removing a major Gulf producer from the quota system. While immediate price reactions are contained due to existing supply tightness, the longer-term implications are complex. The departure weakens OPEC+'s claim to broad Gulf cohesion and reduces its room for manoeuvre when demand weakens. Abu Dhabi aims to expand capacity towards 5 million barrels per day, potentially raising output beyond negotiated limits and testing cartel discipline.
Global crude oil prices hold firm above $111 while India maintains frozen petrol rates
Global crude oil prices remained stable on May 1, with Brent trading at $111.11 per barrel, driven by geopolitical tensions in West Asia involving Israel, the United States, and Iran. Despite the global rally, India kept retail fuel prices unchanged for nearly four years. State-run oil marketing companies in India are facing potential daily losses of up to ₹2,400 crore due to the disparity between rising input costs and static retail pricing. Analysts warn that market volatility is expected to persist in the coming weeks.
Scottish wind farms face grid constraints despite investment incentives
Tom Glover, country head of RWE, stated that building more wind capacity in Scotland makes no sense due to 68% grid constraints. Industry leaders including Ørsted and Engie UK called for sharper locational price signals via TNUoS charges to direct investment to England where power can be used. Current TNUoS charges are deemed ineffective, with some Scottish projects losing hundreds of millions in net present value. Ofgem is seeking input on the issue by 26 May.
Singapore to expand hydrogen-ready power plants capacity by 2032
The Energy Market Authority (EMA) in Singapore has issued a request for proposals to build up to three additional hydrogen-compatible natural gas power plants by 2032. The initiative aims to address projected electricity demand growth driven by semiconductors and data centres, ensuring energy security and supporting decarbonisation. Bidders must demonstrate financial capability to develop facilities with at least 600MW capacity and 30% hydrogen blending capability, with strict emissions thresholds. No revenue support mechanisms are provided under the tender.