“Urgent operations cancelled as life-saving drug shortages hit hospitals.
“Global shortages of essential medicines are causing alarm across the world, forcing HIV patients to forgo treatment in India, leading to heart surgery cancellations in Vietnam, and causing British patients to endure longer postoperative recovery times.
“Critical therapeutics have not been immune to the disruption hitting energy and food supplies. Experts warned that a difficulty in predicting drug spikes and unforeseen logistical challenges – including delays at ports, stockpiling and Covid lockdowns – are causing patients to suffer dire consequences.”
“Diesel Pinch Looms as World Seeks Relief From Pricey Gas.
“The global diesel market looks set to get even tighter as power generators and industrial users seek relief from surging natural gas prices… global diesel stockpiles remain unusually low at a time inventories are typically expanding in preparation for a boost in consumption over winter.”
https://ca.finance.yahoo.com/news/diesel-pinch-looms-world-seeks-210000986.html
“Biden Administration Urges Fuel-Export Cuts to Restock Northeast…
“The Biden administration is warning refiners that it may take “emergency measures” to address fuel exports as stockpiles of gasoline and diesel fuel remain near historically low levels in the Northeast… The Biden administration is effectively asking refiners to prioritize American consumers over maximizing profits by supplying fuel-starved Europe…”
“Heat or eat? Winter protests loom as energy price crisis sweeps across Europe…
“Whichever route governments choose, the coming winter is set to be plagued by social unrest, warned Naomi Hossain, a professor of development politics at the American University in Washington, DC… When people start complaining en masse about their inability to pay for their basic needs — and must choose between heating or eating — it can overturn governments, she said.”
“United Kingdom energy executives have warned the country faces the prospect of mass civil unrest as a result of people being unable to afford their heating and electricity bills this coming winter…
“One senior industry figure said that when people “realize how bad this is going to get,” they could take their anger to the streets in the form of violent demonstrations.”
“A crisis too far? [UK] Central bank safety net compromised.
“Yet another shock in a seemingly relentless series of economic crises exposes long-held fears over government reliance on central banks for cheap funding, with Britain’s looming winter fuel shock now a critical test case… “We got used to debt rising but debt interest costs falling. This time both will be heading up together.””
“Energy Crisis May Have Bigger Impact on UK Households Than 2008 Crash.
“The crisis could have a bigger impact on households than the 2008 financial crisis, according to consultancy Baringa Partners. The bleak warning comes as bills are set to surge roughly 80% [and potentially nearly doubling again by spring] from October, just as the arrival of colder weather boosts energy demand.”
“Soaring UK rents leave tenants facing eviction and homelessness.
“Eye-watering rent increases across the UK are piling pressure on tenants already grappling with spiralling living costs, driving some from their homes and stoking fears that the market is overheating. Rents are rising at their fastest pace since the financial crisis…”
https://www.ft.com/content/28823d7c-800e-43eb-ac40-01ad9052eb70
“‘Unprecedented levels’ of women report domestic abuse as impact of cost of living crisis emerges [UK].
“The National Domestic Abuse Helpline is seeing record numbers, with one support worker telling us there is regularly a five-hour wait to get through to a call handler. New research by Women’s Aid reveals that 96% of victims say that the cost of living crisis is making their abuse worse…”
“‘People are going to die’: verdict from frontline of Britain’s energy crisis.
““People are going to die,” Brian Thomas, chief executive of Hospitality and Hope warned, as households ration their heating and eating over the winter. “We’re going to see lots of increased health issues and increased sudden deaths, I would suggest, in the elderly. It’s just tragic.” January’s forecast would take average bills to half the average state pension…”
https://www.ft.com/content/8e17a6e2-07e9-4fba-b8c7-ec1cbab6c21c
“Church may have to restrict funerals to when heating is on for other events as energy costs rocket…
“One idea being talked about as Britain moves towards the cold and dark of autumn and winter is so-called ‘heat banks’… Naomi said: “The Church of England would naturally want to be on the frontline of offering this. But the reality facing many churches in old buildings is we just can’t afford to do this.”
“European electricity prices soared to new records on Friday, presaging a bitter winter as Russia’s invasion of Ukraine inflicts economic pain across the continent.
“The year-ahead contract for German electricity reached 995 euros ($995) per megawatt hours while the French equivalent surged past 1,100 euros — a more than tenfold increase in both countries from last year.”
“Listening to European Electricity Traders Is Very, Very Scary. Keeping the lights on in Europe this winter may prove more difficult than governments are currently admitting…
“Here’s a question from last week’s session: “Are you war-gaming possible options for if/when cross-border trading collapses under security of supply pressures this winter?” And another: “Can we have a session where we talk through the emergency arrangements?” Another participant said that the forecast for demand-and-supply electricity balance showed “how bad the winter could be for anyone who can do the maths.””
“Data centres ready back-up generators in case of blackouts. Sites across Europe stockpile diesel to safeguard against winter energy shortages…
“The world’s two biggest data centre operators are stockpiling generator fuel… Equinix, the global market leader with a market capitalisation of $64bn, and its $38bn rival Digital Realty Trust said they were buying extra shipments of diesel to provide back-up power to ensure continuous operation at their European sites.”
https://www.ft.com/content/90f94abe-0bfa-48e8-878d-8d5dd7117188
“Finns urged to take fewer saunas amid energy crunch.
“Finns are being urged to turn down their thermostats this winter, take shorter showers and spend less time in their beloved saunas, as Europe faces an energy crunch following Russia’s war in Ukraine. The nationwide power saving campaign was announced this week…”
https://www.france24.com/en/live-news/20220826-finns-urged-to-take-fewer-saunas-amid-energy-crunch
“Only major Estonian hospitals prepared for prolonged power outages.
“In the event of a power outage, Estonia’s larger hospitals have the capacity to remain operational for several days. However, some of the country’s smaller hospitals would only be able to continue functioning for a period of less than 24 hours.”
https://news.err.ee/1608694933/only-major-estonian-hospitals-prepared-for-prolonged-power-outages
“The energy crisis and high inflation have pushed German consumer sentiment to a record low, research firm GfK said Friday.
“Gfk’s consumer barometer saw a surprising drop of 5.6 points in July to -36.5 [below 50 denotes negative]. The barometer, from a survey of 2,000 German consumers, has not registered such a low figure since it was created in 1991.”
“Olaf Scholz told to prepare for autumn of rage…
“Intelligence officials are now warning the prime minister to prepare for a “fall of rage.” …intelligence officials are concerned that extremists on both the left and the right, particularly in East Germany, will band together to launch a widespread uprising against the system.”
“Russian gas-reliant Swiss brace for power shortages in winter…
“While other European countries are also feeling the sting, the situation is particularly precarious in Switzerland, which lacks its own gas storage installations… Compounding the problem, neighboring France has been forced to halt production at half of its reactors, mainly due to corrosion problems.”
“The government of North Macedonia on Thursday declared a nationwide state of crisis in electricity supply, set to come into force on Sept. 1.
“The government said in a press release that the state of emergency will last for 30 days, due to the lack of electricity and the situation of the electricity markets. The government also announced a state of crisis for the supply of heating energy in the capital city Skopje…”
https://english.news.cn/20220826/0ddb0f7304f64cd193d581bbe9e23fce/c.html
“A Corner of Europe Starts Living With Blackouts Again.
“Every six hours the power goes off in Kosovo. It’s the first country on the continent to suffer rolling outages as the energy crisis escalates… the start of the continent’s first rolling blackouts this month could turn out to be a prelude for richer parts of Europe.”
“Russia halted a natural gas shipment to Asia over payment issues, threatening blackouts in some countries.
“…Sakhalin Energy withheld a cargo of LNG to an Asian buyer on the grounds of payment and a delay in signing a revised contract, according to Bloomberg. The revisions ask LNG buyers to pay with currencies other than the US dollar if western sanctions result in payment issues.”
https://uk.finance.yahoo.com/news/russia-halted-natural-gas-shipment-142609019.html
“Strong Dollar Bringing Emerging Nations To Edge.
“The possibility of defaults occurring among emerging market nations is very real and only grows with the continued strength of the U.S. dollar… “Emerging markets are burning through stockpiles of U.S. dollars and other foreign currency at the fastest rate since 2008, raising the risk of a wave of defaults across the world’s most fragile economies.””
https://seekingalpha.com/article/4537122-strong-dollar-bringing-emerging-nations-to-edge
“Huawei founder warns of painful global slowdown and tells company to brace for ‘survival’…
“In a leaked email intended only for company staff, CEO Ren Zhengfei warned that there will be “no bright spot in the world” for three to five years—a “very painful historical period” as the global economy declines.”
https://fortune.com/2022/08/25/huawei-ceo-economy-warning-china-no-bright-spot/
“Food, fuel shortages hit Tunisian shops.
“Some Tunisian shops are rationing goods including cooking oil, sugar and butter, while big queues have hit petrol stations amid a fuel shortage as the government navigates a looming crisis in public finances…
“”The situation gets more difficult day by day and we don’t know what we’re going to do,” said Khadija.”
https://www.reuters.com/world/africa/food-fuel-shortages-hit-tunisian-shops-2022-08-26/
“Many Tunisians Are Dying in Attempt to Illegally Reach Italy, Authorities Reveal…
“In the upcoming months, the attempts to illegally enter the European zone will increase, as the small Italian island of Lampedusa, which is the destination for many migrants, is just 140 kilometres away from the east coast of Tunisia.”
“South Africa Seeks to Curb Immigration, Plans Policy Revamp.
“South Africa plans to end most special permits for foreigners as it revamps its immigration policies to manage an influx of economic migrants… South Africa is grappling with a 33.9% unemployment rate — the highest on a list of 82 nations monitored by Bloomberg — and its economy is stuck in its longest downward cycle since World War II.”
You can read the previous “Economic” thread here. I’ll be back on Monday with a “Climate” thread.
If you found value in this content, please help me continue this work by becoming a patron of my work via Patreon. And if you are already a subscriber or have donated – thank you! It is an enormous help as the cost of living crisis ratchets up here in the UK.
JFC. Moving into full swing collapse now….
Jim, it certainly feels that way. The UK has the same inflation rate as Brazil (arguably hyperinflation in energy prices) and they were burning their electricity bills in Glasgow at the weekend, just as they were in Pakistan.
The government is needing to borrow more just as borrowing costs are being forced upwards and it daren’t support consumers too vigorously for fear of tanking the £. Societal collapse has morphed from a theoretical likelihood to a tangible and looming reality, at least on these shores.
Hope you are well btw. You are like the musicians on the Titanic, playing soothing tunes as the ship goes down!