Growth in demand for oil will slow to an annual average of 0.5 percent in the next 20 years, while renewable energy output could expand almost fivefold, according to a study by research firm Wood Mackenzie. Oil companies risk being left behind in the transition to low-carbon energy, as the industry is not investing enough in green technology. Total and Statoil are highlighted as among the leaders in diversification. They were both among 10 oil and gas companies which this month committed to jointly invest $1 billion over the next 10 years on clean energy technology, alongside others including Royal Dutch Shell, BP and Saudi Aramco. The joint effort was seen as a sign of the industry getting more serious about action on climate change, although the absence of ExxonMobil and Chevron highlighted the US majors’ greater caution on the issue. (Financial Times*)
Experts raise alarm over declining effect of antibiotics
Last-line antibiotics against serious pneumonia and bloodstream infections are under real threat in Europe as resistant strains of bacteria emerge, experts are warning. A new report from the European Centre for Disease Prevention and Control (ECDC) reveals that resistance to important antibiotic class of drugs has continued to increase across Europe. Without them, some infectious diseases could become untreatable and some forms of major surgery would again become perilous. “Multidrug resistance is worrying,” said Dr Andrea Ammon, the acting director of the ECDC. “We also have some reports of combined resistance against so-called last line antibiotics… We must try to do the utmost to make the current antibiotics last as long as possible.” (Guardian)
Employees
Two hour commute is reality for 3.7 million UK workers
The number of UK workers who commute daily for two hours or more has increased by a third in five years, according to research by the Trades Union Congress (TUC). The TUC believes the increase is down to people being priced out of areas close to their jobs, as well as a lack of investment in roads and railways. The analysis shows 35 percent more women spending two hours-plus on a commute than five years ago, compared to 29 percent of men. Phil Flaxton, chief executive of Work Wise UK, said: “Long commutes have become a part of the UK’s working culture… Clearly the government, public transport providers and employers must do more in order to address the major negative impact on the UK’s economy and lost productivity.” (Guardian)
Sustainable Development
Indonesian palm oil institute wins smallholder innovation challenge
A research institute based in North Sumatra has been named the winner of Indonesia’s ‘Smallholders Advancing with Technology and Innovation’ challenge. The Indonesian Oil Palm Research Institute (IOPRI) was chosen as the winner of the challenge, judged by organisations including Indonesia’s Bank Mandiri, palm oil plantation company Golden Agri Resources, global agribusiness Cargill and US snack maker Mondelez. IOPRI aims to increase production of sustainable palm oil and reduce the incidence of forest fires by empowering farmers through education. Smallholder farmers in Sumatra face a major problem in certifying seedlings – which can increase their incomes by up to 50 percent. The institute introduced an education program for smallholder farmers in 2010, which has so far reached 3,410 people. (Jakarta Globe:1; 2)
Corporate Reputation
J.P. Morgan settlement lays bare the practice of hiring ‘princelings’
J.P. Morgan has agreed to pay $264 million and admitted it violated the Foreign Corrupt Practices Act through its hiring of so-called “princelings” – relatives of powerful government officials in Asia, hired with the express purpose of winning business. The bank created a separate channel to get unqualified applicants through the hiring process, and later began tracking profits from any subsequent business awarded. In total, J.P. Morgan hired around 100 applicants referred by government officials at Chinese state-owned firms, and earned at least $35 million. Several other banks are also under investigation for similar hiring practices, including Citigroup, Credit Suisse, Deutsche Bank, Goldman Sachs, HSBC, Morgan Stanley and UBS. (Wall Street Journal*)
Image source: People walking by unsplash / Public Domain
COMMENTS