Daily Standup Top Stories
Cyber risk and the big picture
As Bryan Tepper, Hawaii Electric’s CISO and Information Assurance Manager circa 2018, pointed out to me in an interview some years back: “the more advanced the system, the larger the attack surface becomes.” Our grid’s […]
A Buoyant Global Economy Is Starting to Sag
The global economy’s brief run of good luck may be ending. Manufacturing activity is weakening across the world. Europe slid into a mild recession earlier this year. China’s much-anticipated rebound from Covid-19 lockdowns is sputtering. Many emerging markets continue […]
Bank Earnings And Inflation Start Earnings Season With A Bang
Earnings season began last week, with 12 S&P 500 companies reporting. Banks and financial companies were a big part of the mix. Better news on consumer inflation (CPI) boosted stocks while lowering yields and expectations for […]
How California can remove the hurdles delaying the state’s clean energy future
Red tape has become an unwitting accomplice to climate change. Too often, clean energy projects needed to end our carbon dependence and protect our environment become bogged down by permitting and legal quagmires. This must […]
New Mexico energy transition proposal would violate ban on ‘fossil fuel development’
After a long pause, New Mexico’s program to distribute grants under a landmark energy transition law is back on track, according to its lead convener. And an updated proposal from a New Mexico community college still […]
Highlights of the Podcast
00:00 – Intro
03:29 – Cyber Risk in the Big Picture
06:29 – A Buoyant Global Economy is Starting to Sag
09:01 – Bank Earnings and Inflation start Earnings Season with a Bang
11:28 – How can California remove the hurdles delaying the state’s clean energy future
13:55 – New Mexico Energy Transition proposal would ban would violate ban on Fossil Fuel Development
17:25 – Outro
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Video Transcription edited for grammar. We disavow any errors unless they make us look better or smarter.
Stuart Turley: [00:00:07] All right Everybody, Welcome to the Energy News Beat Stand up. My Name is Stuart Turley, President and CEO of the Sandstone Group. Well, today is July 18th, and Michael‘s on assignment again, a little inside baseball, he’s having some fun. [00:00:23][16.1]
Stuart Turley: [00:00:24] All right with that, we’re going to have a really big show today, but let’s start just with a thank you to all of the people that are listening. We are having an absolute blessing for all of the success that the show is having so thank you again. [00:00:40][16.1]
Stuart Turley: [00:00:41] Got some really funny stories today or interesting, I should say, First one coming around the corner is Cyber risk and the Big Picture, what we’re talking about on this is the energy transition EVs and what’s going on with that. [00:01:00][18.4]
Stuart Turley: [00:01:01] We’re also going to talk about A Buoyant Global Economy is starting to Sag, well, there’s a lot of things that go sagging as we get older. But let’s talk about actually how bad is it and how bad is the energy, the Global Economy Sag going to actually hit in of impact energy? [00:01:24][23.3]
Stuart Turley: [00:01:26] Bank Earnings and Inflation start with Earnings Seasons with a Bang, so this could be pretty entertaining as well but let’s take a look at it. How California can remove the hurdles in delaying the state’s Clean Energy Future. [00:01:44][18.5]
Stuart Turley: [00:01:45] I’ll tell you, this is kind of interesting because you take a look at the policies of people that are worried about climate change they’re saying that there is a climate catastrophe, but yet we can’t use oil and gas and now they’re also hampering energy. So you can’t have energy with you got to have some realistic goals for your regulations. [00:02:16][30.9]
Stuart Turley: [00:02:18] And the last one is from New Mexico with the BP Center for Education. New Mexico is bringing up some great points in this we’re going to cover that in just a sec. So with that, Subscribe, Like and again, I am not a YouTuber or anything like that. Never thought I’d be a Podcast Host and having fun. [00:02:43][24.6]
Stuart Turley: [00:02:43] Got a couple of great interviews coming up interviewing the president of Fry Battery on Friday and then also interviewed Brutal Minds. Stanley Ridgley, Ph.D. Doctor. It was a blast we’re going to be releasing that one out. Also interviewing a big Executive that was at VP for 18 years and we’re going to have a lot of fun talking about where the next stages are in the oil and gas and finance world is. [00:03:24][40.8]
Stuart Turley: [00:03:25] So with that, let’s get started on Cyber Risk in the Big Picture. Brian Tepper from Hawaii is a lead electric Cisco and information assurance manager in 2018 pointed it out to them in an interview more advanced the system the larger attack surface becomes. Our grid’s attack surface area has been steadily getting bigger over the last two decades. [00:03:59][34.3]
Stuart Turley: [00:04:01] Not only is this going, as he pointed out back then, it’s even extending out to anything that you have, kind of like your stove electric stoves. You know, that’s why you want to keep your gas one and this one’s kind of interesting. Electric cars have been more potential that transform for the world for the better. I might agree with that they provide an environmental advantages it depends jury’s still out. [00:04:33][32.4]
Stuart Turley: [00:04:34] But when you’re talking about they found everything from the possibility of hackers being able to track users with vulnerabilities that may expose home and corporate wide find networks to a breach. All your car in your garage and it may be snooping around the house for your access point and your phone. [00:04:58][24.0]
Stuart Turley: [00:04:59] Elon just tweeted yesterday, phones are not secured missing anything that Elon puts out and is that specific worry. So anyway, and there was an article that just came out in in conjunction that was actually a little ahead of this one from TechCrunch. [00:05:22][22.7]
Stuart Turley: [00:05:25] Taking a look, Hackers could remotely turn off lights don’t mess with Tesla’s infotainment infotainment center. Almost sounds like me when I was in college. So when you take a look at how the hackers can now get in with just a Bluetooth, which is what they used to call a paying personal area network a billion years ago, those they could walk up to the car when you’re in range of Bluetooth. [00:05:53][28.0]
Stuart Turley: [00:05:55] Here’s where it gets a little into this now is that once they get in via Bluetooth, they can hop over into the underlying core of the software. Once you get into the core, it your all bets are off on what you can do. So I’m not sure that I want that much control allowed to a car. So with that, can’t wait till I can get that Tesla as my second car. I’m not ready to have one of the primary yet. [00:06:27][32.1]
Stuart Turley: [00:06:28] A Buoyant Global Economy is Starting to Sag, this one is the Global Economy brief run of good luck may be the ending, and I think that there’s an absolute huge issue going with this. It is China the quote out of this, like the third paragraph down is while prospects are mixed in the near term, the medium-term outlook for the global economy remains bleak, said Kristalina Georgieva, the manager of the International Monetary Fund. [00:07:08][40.0]
Stuart Turley: [00:07:09] I’m not a fan of the WHO, the U.N. International Monetary Fund, because they try to tie everything to the International Monetary Fund ties, everything to renewable rather than what’s best for that area. [00:07:24][15.5]
Stuart Turley: [00:07:27] US Secretary Janet Yellen is among the top officials meeting this week to decide what’s next in China of course, it’s significant to the global economy Yellen said China is very substantial, importer for many countries around the world. So when Chinese growth slows, it has an impact on growth in many countries, and we’re seeing that. [00:07:50][23.6]
Stuart Turley: [00:07:51] So here’s a critical one here, she also said that premature for the Biden administration to consider lifting tariffs on more than 350 billion Chinese exports to the United States. Why was she there? I don’t know wasn’t in the meetings, but let’s take a look and see. [00:08:14][22.5]
Stuart Turley: [00:08:15] So when you take also the shocks will come its in the last paragraph. Poland there is a lot of uncertainty as far as the future is concerned around the shocks. Invasion is not necessarily China is got some serious problems, so China’s budget goes down, so does the world. So should be kind of interesting. I’m going to try to find out what she was doing there and if how that had gone on. [00:08:53][37.7]
Stuart Turley: [00:08:59] So let’s take a look here, Bank Earnings and Inflation start Earnings Season with a Bang. Earnings started this week with 12 of the S&P 500 banks and financial companies were the biggest part of the mix. The S&P soared over 2.4% for the week. In the ten year Treasury yield fell to almost 4.1% to 3.8%. It’s pretty interesting. [00:09:32][33.1]
Stuart Turley: [00:09:32] At the early point in the reporting season, blended earnings with the combined actual estimates of companies yet to report are slightly worse than forecast at the end of the quarter. The consumer discretionary sector is expected to post the highest year over year growth rate at 27.8. This increase is primarily due to the Amazon, which had held the loss in the second quarter of 2022. [00:10:01][28.7]
Stuart Turley: [00:10:02] Big swing if you go from a loss to a. So energy has by far the biggest impact on the industry. So let’s take a look at this. The blending earnings performance has a slightly underperformed at the end of the quarter combining actual reserves with consensus. The estimates for companies yet to report the blended earnings growth rate is at -7.1% year over year, behind the expectations of -6.8 at the end of the quarter. [00:10:45][42.4]
Stuart Turley: [00:10:46] So. That doesn’t sound good, Inflation is actually very high, even though what the administration is actually trying to say. So this was a Forbes article that was picked up in our news feed go take a look at EnergyNewsBeat.com we’d love to hear your feedback on that as well. [00:11:09][22.6]
Stuart Turley: [00:11:10] Now, California is one of my biggest fan, I’m a big fan of California. Don’t live there, Don’t plan on it and if you come to Texas, please leave your voting policies there. How can California remove the hurdles delaying the state’s clean energy future. Have the highest energy for the consumers in the U.S. there with the East Coast area, and it’s due to their energy policies. We’ve talked about Texas they’ve got an all in and they’re about half of what California is. [00:11:54][44.2]
Stuart Turley: [00:11:56] Governor Newsom signed several infrastructure streamlining bills out of a package he’d measures had proposed in May to fast track water, transportation and clean energy projects. By introducing his measures, the Budget Trailer Bill. Newsom criticized drew criticism from environmental organizations and legislators who argued he was abusing the budget process. [00:12:23][26.9]
Stuart Turley: [00:12:24] Now, remember, several months ago we had talked about how California was actually using their budget process as they would have a bill introduced by like one paragraph saying, oh, this is going to be for climate change, this is going to be for energy, this is going to be banning oil and then they would fill it in as the session goes that’s not what elections are for. [00:12:51][26.7]
Stuart Turley: [00:12:52] And this falls into that, but I think I got really tickled when it came down to it. But to remodel our energy future, we need to first remodel our thinking with this sense of urgency and creativity that is needed to take action before it’s too late. What they’re referring to is the Regulations that are all tied in to these bills. [00:13:19][27.1]
Stuart Turley: [00:13:21] So not only are Regulations bad for the Oil and Gas Industry, Regulations are also being tied into the Wind, Solar, everything else. So you can have too much Regulations even if you are on the climate side or the oil side. So the bottom line is get out of the way and let the energy companies do their job. [00:13:46][24.7]
Stuart Turley: [00:13:47] So with that, we will step into one of our last stories here, New Mexico Energy Transition proposal would ban would violate ban on Fossil Fuel Development. Here’s where I found this one kind of interesting. One of the biggest problems facing both the renewable and the oil and gas space is education, how does this fit into this one? [00:14:19][32.0]
Stuart Turley: [00:14:21] There’s not a whole generation of students wanting to go work in the oil and gas space. They’re not wanting to work in the Nuclear Space, they’re not wanting to work as lineman they’re not wanting to help work or support the grid this is a significant problem. [00:14:38][17.4]
Stuart Turley: [00:14:39] New Mexico just passed the Energy Transition Act that’s called the ETA in 2019 support to transition those of workers needing new jobs following the closure of coal fired plants and coal mines near Farmington, New Mexico and as it moves away from fossil fuel production. The grant proposals can ask for funds from three state agencies in order to get this done. [00:15:08][29.2]
Stuart Turley: [00:15:10] Part of this is when you sit back and go, Let me find this paragraph in here. It’s got a picture of a dinosaur in here I think it’s kind of funny. I’m not sure if the author was actually thinking that this was like oil and development as the dinosaur from a pterodactyl, so I thought that was kind of fun. [00:15:34][24.0]
Stuart Turley: [00:15:35] But when you talk about education, nearly 20% of the four acre parking lot at the San Juan College School of Energy is given over to a collection of an uncommonly clean and tidy oilfield equipment for training in the hallways the black and white photos show gushing wells from the start and century they’re not getting the students that they need. [00:16:02][27.0]
Stuart Turley: [00:16:04] So when you’re talking about that, Michael Tanner, my partner and co-host, has got his degrees both his master’s in his undergraduate from the School of Mines. School mines is a phenomenal school, but it trains students to actually go out and find real jobs. [00:16:23][19.6]
Stuart Turley: [00:16:25] I just interviewed Brutal Mines, as I was saying, Stanley Ridgley, Ph.D and this fits right into this key problem. What the universities are turning out are not being suited for the real world and real work. Hang on and definitely keep an eye when this one, this podcast drops out. [00:16:51][26.1]
Stuart Turley: [00:16:51] So with that, please Subscribe, Like, let me know anything that you would like to know on the podcast. Energy is critical, Renewable Energy, Sustainable Renewable Energy is very, very important. I only know a few companies out there that can do it right. So anyway, with that, have fun and we’ll see you tomorrow. [00:16:51][0.0]
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