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Spotlight:  tesla

Sixteen states have laws that prevent the sale of Teslas in-state:  Alabama, Arkansas, Connecticut, Iowa, Kansas, Kentucky, Louisiana, Michigan, Montana, Nebraska, New Mexico, North Dakota, Oklahoma, South Carolina, South Dakota, and Texas.  Nine states limit the number of dealerships that Tesla can open:  Colorado (limit: one), North Carolina (one), Virginia (two), Georgia (five), Maryland (four), New Jersey (four), New York (five), Ohio (three), Pennsylvania (five). 
Why have some states prohibited or restricted Tesla dealerships?
  • Business Model:  Tesla operates its own dealerships, rather than offering franchises.  Tesla argues that the company and are are too new to rely on untrained professionals.
  • Protectionism:  State laws typically protect traditional car dealerships - and car dealers generate three times the profit from service as they do from selling new cars.  But an electric car has no engine, transmission, spark plugs, fan belts, air filters, timing belts, cylinder heads ... and never needs oil changes, tuneups, or emissions checks. Brake pads go years without needing replacement because depressing the accelerator slows the car down (and recharges the battery). 
  • Lobbying:  Car dealerships have close relationships with state legislatures.  For instance, Michigan has a law that states: “A manufacturer shall not … sell any new motor vehicle directly to a retail customer other than through its franchised dealers.”  The magic word “its” can refer to “the manufacturer’s franchised dealers,” which means that Tesla should be OK — it has no dealers. However, the Michigan legislature has inserted a new amendment that eliminated the word: “its.”

China's 'polar silk road'

The Arctic is believed to hold up to one‑third of the world’s untapped oil and gas reserves, as well as extensive but as yet unquantified mineral riches.

Geographically Russia already has a huge advantage in the Arctic. If the UN Commission on the Limits of the Continental Shelf decides in Russia’s favor on the Lomonosov Ridge claim, it will increase Russia’s exclusive economic zone by 1.2 million square kilometers. 

The sea ice is disappearing at a greater rate than expected; Arctic-capable shipbuilding technology is advancing in parallel. A South Korean-built Arc7 LNG carrier transited the Northern Sea Route in December 2017 - the first time a shipping vessel made independent passage without the support of an ice-breaker during that time of year.

A crucial part of China's Belt and Road Initiative (BRI) - an integrated and coherent strategic plan that guides China’s ultimate objectives in the international system - is the "Polar Silk Road" in order to ‘facilitate connectivity and sustainable economic and social development of the Arctic’.

Coal plant expansion projections

  • There are currently 1380 coal plants under development in the world.
  • Coal plants will be built in 16 nations that do not currently generate electricity from coal.
  • The projects will add about 672 gigawatts of capacity. 
AES is pleased to provide access to the report on the future of coal.
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