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South Africa's Eskom begins talks on nuclear financing with World Bank and others
Eskom, South Africa's state-owned?power utility, is currently in exploratory talks? with the World Bank about funding a multi-billion dollar nuclear programme which could launch within 12 months. Eskom, the company that runs Africa's sole nuclear power plant near Cape Town is preparing an information request covering up to 5,200 Megawatts in new capacity. South Africa wants more baseload electricity - a steady, constant supply of electricity - and is moving away from coal, which supplies the majority of its electricity. Eskom proposes 4,800 MW of conventional pressurised-water reactors, and 400?MW of small modular reactors. At least half the SMR capacity is earmarked for Eskom's coal-to nuclear strategy. Bheki Nxumalo said, "We're in exploratory discussions with most potential funders... (over) the different ways to finance this," Bheki, Eskom's Group Executive for Generation, said on the sidelines an energy conference in Cape Town. Nxumalo stated that "we are...looking for anyone with ideas. There are different options", referring to the technology which is being opposed by environmental groups and local communities. Nxumalo, Eskom's spokesperson, said that Eskom is cash-strapped and cannot finance new nuclear plants by itself. It needs help from commercial banks and other institutions like the African Development Bank. A World Bank spokesperson stated that "as a policy, we don't comment on potential or exploration discussions with member nations or utilities." The World Bank announced last year that it would return to nuclear financing and support countries who choose this as part of their energy blend. FUNDING OPTIONS The World Bank stated that its engagement is guided by the countries' priorities for development and its policy framework which allows a range of technologies. Nxumalo stated that public-private partnerships, vendor financing and developer funding are all options being considered. Rosatom, a Russian company, is currently doing this at the El Dabaa Project in Egypt. He said: "We have some work to do on our end, but we're hoping to get both technologies (conventional SMR and SMR) to market within the next year." Reporting by Wendell Roelf. Nilutpal Timsina contributed additional reporting. Mark Potter (Editing)
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US power giants bet on AI build-out but power bills may affect their decision
The massive merger between NextEra and Dominion Energy may hinge on the ability of the combined company to keep electricity costs down, even as it rushes in order to supply energy-hungry data centers that are driving up consumer prices. NextEra?said?buying Dominion would allow it to quickly build new generation in areas where others have lagged, and connect proposed data centres waiting to start operations. These companies will have to pass multiple reviews by local, state and national regulatory agencies who will evaluate the consumer impact of rising power bills in certain U.S. areas due to the demand for AI data centers outpacing new generation. Paul Patterson, energy analyst at Glenrock Associates LLC, said that the main issue is to keep rates low and growth affordable. The merger was primarily to serve?data centres. Dominion's territory includes northern Virginia, also known as "Data Center Alley". This area of increasing power demand is located within the 13-state PJM Interconnection where new data hubs and other areas are expanding. According to the U.S. Energy Information Administration, Virginia's electricity demand increased by 3.1% annually between 2019 and 2024. This is more than three times higher than the national average of 0.9%. In some areas of PJM, household power bills have risen by more than 20% in the past two years due to a?demand growth but stagnant supply. As a result of the imbalance between supply and demand, large-scale construction projects have sparked political opposition as well as increased regulatory scrutiny. SCALE, SPEED, AND SCRUTINY Analysts and investors believe that merging NextEra with Dominion, which together has built more power than the 25 next largest utilities combined, could provide the scale necessary to advance data center power transmission and generation projects, both of which have stalled. Dominion’s expertise and relationships will allow NextEra's data center ambitions to be accelerated. "Utilities need to have larger balance sheets and broader generation portfolios as well as faster infrastructure deployment in order to compete with AI," said Alex Torgerson. He is a mergers & acquisitions leader at the business and technology consulting firm West Monroe. Torgerson stated that "the biggest challenge is now for regulators who will be scrutinizing market concentration, grid stability, and whether ratepayers see any meaningful benefits from this size of a deal." In a joint press release, NextEra and Dominion highlighted that the combined company will keep rates down and offered Dominion customers from Virginia, North Carolina and South Carolina bill credits worth $2.25 billion over two years. The research arm of investment banking advisory firm Evercore said in a report that "the regulatory obstacles to closing this deal are the true variables." Consumer advocates have criticized the merger, saying it's unnecessary and will ultimately benefit shareholders and executives of both companies more than utility consumers. According to Dominion’s latest proxy statement, five Dominion executives may?collectively receive? an estimated $66,000,000 in pay and benefits due to the takeover. Dominion CEO Robert Blue was paid an estimated $30.1 million for his change-in control. The Electricity Law Initiative director at Harvard University Law School, Ari Peskoe said, "Utility mergers only benefit shareholders and executives. They do not benefit ratepayers."
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The top cases in the US Supreme Court docket
During its current term, the U.S. Supreme Court will decide a number of important cases involving voting rights, presidential power, tariffs and birthright citizenship. Other issues include race, transgender sportspeople, campaign finance laws, LGBT "conversion therapies" and federal agency authority. The term began in October, and will run through June. Separately, the court has also acted in emergency cases in several cases that challenge President Donald Trump's policy. VOTING RIGHTS ACT On April 29, the court gutted a crucial provision of the Voting Right Act, making it harder for minorities who want to challenge electoral maps under the landmark civil right law as racially biased. The court blocked a map that would have given Louisiana a U.S. Congress district with primarily Black constituents. The court's ruling undermined Section 2 the Voting Rights Act which Congress passed to prevent electoral maps from diluting minority votes. The ruling opened the door for Republican-led Southern States to demolish Democratic-held districts with majority-Black or majority-Latino voters ahead of November's midterm elections. After the Supreme Court gutted another part of the Voting rights Act in 2013, Section 2 became a more important bulwark to combat racial bias in voting. Black and Latinos tend to vote for Democratic candidates. Birthright Citizenship The court expressed skepticism about the legality of Trump’s directive on April 1, to restrict birthright citizenship within the United States. Justices asked questions to the administration's lawyer about Trump's executive orders and their practical implications. The lower court blocked Trump’s order which instructed U.S. agencies to not recognize citizenship for children born in the U.S. when neither parent was an American citizen, or a legal permanent resident (also called "green card") holder. The court found that Trump's policy was in violation of the 14th Amendment to the U.S. Constitution and federal law codifying "birthright citizenship" rights. The Supreme Court will likely rule by June's end. TRUMP'S TARIFS The Supreme Court ruled on February 20, 2018 that Trump's tariffs were illegal because they were imposed under a law intended to be used in emergencies. This ruling has major implications for global economics. The ruling, which was 6-3 in favor of the lower court decision, confirmed that Trump had exceeded his legal authority by using this 1977 law. The court ruled that Trump's claim to have the authority to impose tariffs was not supported by the law in question, the International Emergency Economic Powers Act (IEEPA). Congress has the power to impose taxes and tariffs, not the President, according to the U.S. Constitution. Tariffs are at the heart of a global trade conflict that Trump started after he entered his second term in office. This war has alienated trading partner, affected financial markets, and created global economic uncertainty. TRUMP'S FIRE OF FED OFFICIAL Justices expressed skepticism about Trump's attempt to fire Federal Reserve governor Lisa Cook, a move that could threaten the independence of the central bank. The justices said they would not grant Trump's request for a judge to overturn a decision that prevented him from firing Cook immediately while her legal case is being resolved. Congress created the Fed by passing a law, the Federal Reserve Act, that contained provisions designed to protect the central bank against political interference. The law stipulated that governors could only be removed "for cause" by the president, though it does not define this term or establish procedures for removal. Trump claimed that Cook's firing was due to unproven allegations of mortgage fraud, which she has denied. Cook, who is still in her position for now, said that the allegations were a pretext used to fire Cook over differences of monetary policy, as Trump pressures the Fed to reduce interest rates. The ruling is expected to be made by the end June. IMMIGRANTS WITH PROTECTED STATUS The Justices heard arguments April 29 on the Trump administration's move to strip humanitarian benefits from hundreds of thousands Haitian and Syrian migrants, as part of Trump's signature immigration crackdown. The Trump administration appealed two federal judge's rulings that halted its efforts to "terminate" Temporary Protected Status (TPS), which the U.S. Government had previously granted to over 350,000 Haitians and 6,100 Syrians. Some conservative justices seemed to agree with the administration that courts could not second-guess the decision of the government to end TPS. Some justices questioned also the challengers' claim that the administration didn't follow mandatory protocols when making decisions in accordance with the law governing TPS. The ruling is expected to be made by the end June. FEDERAL COMMISSION FIREING The conservative justices of the court have signaled that they will uphold Trump's legality in firing a Federal Trade Commission Member and also give a historical boost to president power, while also putting at risk a 90-year old legal precedent. The court heard arguments in December regarding the Justice Department’s appeal against a lower-court decision that said the Republican president had exceeded his authority by dismissing Democratic FTC member Rebecca Slaughter before the term of her appointment was due to end. The conservative justices seemed sympathetic to the Trump Administration's argument that tenure protections granted by Congress to heads of independent agencies illegally infringed on presidential powers under the U.S. Constitution. Trump was allowed to remove Slaughter until the case concluded. The court is expected to make a decision by the end June. TRANSGENDER SPORTS PARTIcipation The conservative justices seemed ready to uphold the state laws that ban transgender athletes to female sports teams, amid an escalating nationwide effort to restrict transgender rights. On January 13, the court heard arguments in appeals filed by Idaho and West Virginia regarding decisions of lower courts siding transgender students in their challenge to the bans imposed in both states for violating the U.S. Constitution as well as a federal antidiscrimination act. 25 other states also have laws similar to Idaho's. The conservative justices expressed concerns over imposing a uniform law on the whole country, amid a sharp disagreement and uncertainty about whether medications such as puberty-blocking hormones or gender affirming hormones remove male physiological advantages in sport. The ruling is expected to be made by the end June. LGBT 'CONVERSION THERAPEUTY' On March 31, the court rejected a Democratic-backed Colorado Law that prohibited psychotherapists from using “conversion” talk therapy to change a LGBT minor's gender identity or sexual orientation. The 8-1 decision sided with the Christian licensed counselor and deemed the ban as an intrusion into free speech rights. The court rejected Colorado’s argument that the law only protected speech, but regulated professional conduct. The court reversed a lower-court decision which had upheld a law brought by Kaley Chiles who argued it violated First Amendment protections from government abridgment. HAWAII GUNS LAW The conservatives expressed skepticism about a Hawaii gun law which restricts handguns from being carried on public property, such as businesses. They appeared ready to expand the right to own a firearm again. On January 20, the court heard arguments in an appeal filed by opponents of the law, backed by Trump's administration. The challengers were appealing a judicial decision that Hawaii's Democratic-backed measures likely comply with the U.S. Constitution’s Second Amendment right. Hawaii's law demands that a property owner "expressly authorize" the bringing of a handgun on to a private property. Four other states in the United States have laws similar to Hawaii's. The ruling is expected to be made by the end June. Drug Users and Guns On March 2, the justices heard arguments in a case in which a dual American/Pakistani national in Texas was defending a federal gun law that prohibits users of illegal drugs to own guns. Hunter Biden, son of former president Joe Biden, was charged under this law in 2023. The Justice Department appealed a ruling by a lower court that the gun restrictions were in violation of the Second Amendment rights to "keep and carry arms" guaranteed under the U.S. Constitution. Gun Control Act 1968 included a prohibition against gun ownership by illegal drug users. The decision is expected to be made by the end June. CAMPAIGN-FINANCE On December 9, the court heard arguments in a Republican led bid to overturn federal spending limits by political parties coordinated with candidates. The case involved Vice President JDVance. The conservative justices seemed to be sympathetic towards the challenge. However, the three liberal members of the court appeared inclined to maintain the spending limits. The debate centers around whether federal limits on campaign spending coordinated with candidates' input violate First Amendment protections against government abridgment. Vance and Republican challengers have appealed the ruling of a lower court that ruled on restrictions on how much money can be spent on campaigns by parties with input from candidates who support them, a type political expenditure called coordinated party expenses. The ruling is expected to be made by the end June. MAIL-IN BALLOTS Conservative justices expressed skepticism in a March 23 case against a Mississippi law that allowed a five-day period of grace for mail-in votes received after Election Day. This could lead to tighter voting laws across the country. The Trump administration supported the challenge against Mississippi's law that allows mail-in votes sent by certain voters be counted as long as they are postmarked before Election Day and received within five business days of a federal election. In Mississippi, absentee voting is only available to certain categories of voters. These include the elderly, disabled and those who live away from home. A lower court ruled that the law was unconstitutional. The court is expected to rule by the end of June. U.S. ASYLUM - PROCESSING: The court seemed likely to rule for the Trump administration's defense of its authority to reject asylum seekers when officials deem U.S. - Mexico border crossings to be too overburdened to process additional claims. On March 24, the court heard arguments in a dispute over a policy known as "metering," which Biden's administration dropped in 2021. The Republican president may want to reinstate it. It allowed U.S. immigration officers to stop asylum seekers and refuse to process their applications indefinitely. The decision is expected to be made by the end June. WEEDKILLER CAUSES CANCER The court seemed divided on Bayer AG’s attempt to close down thousands of lawsuits alleging the German company failed to warn users of the dangers of the active ingredient of its Roundup weedkiller. On April 27, the court heard arguments in Bayer’s appeal of a Missouri state court jury verdict awarding $1.25million to a man called John Durnell, who claimed he had been diagnosed with non-Hodgkin's lymphoma following years of exposure to Roundup glyphosate. The lower court rejected Bayer’s argument that U.S. pesticide law bars lawsuits based on claims made under state laws. The ruling is expected to be made by the end June. Human Rights Abuses Around the World The court heard arguments in April 28 on a case that has broad implications for American human rights litigation. Members of the Falun-Gong spiritual movement have accused Cisco Systems, of facilitating religious persecusion in China. Cisco appealed the 2023 ruling of a lower court that gave new life to the 2011 lawsuit brought under the Alien Tort Statute of 1789 that accused the company of developing technology that enabled China's government to monitor and persecute Falun-Gong members. Cisco asked the court to limit the scope the Alien Tort Statute which allows non-U.S. Citizens to sue in American courts over violations of international laws. The court is expected to make a ruling by the end June. SEC'S DISGORGEMENT POWER The Justices appeared to be inclined to support the U.S. Securities and Exchange Commission (SEC) in a case that tested the limits of one of its key powers. A financial remedy known as disgorgement, it seeks the recovery of profits from illegal activities. On April 20, the majority of justices seemed to be receptive of a defense put forth by the Trump Administration of the SEC’s broad disgorgement powers. The ruling is expected to be made by the end June. FCC fines wireless carriers Justices seemed to be inclined to maintain the Federal Communications Commission system for levying fines, despite a challenge from major wireless carriers against the agency's regulatory powers. During the April 21st arguments, the majority of justices appeared skeptical about the claims made by Verizon Communications and AT&T's lawyers that the Federal Communications Commission's internal proceedings deprived them of their constitutional right to a trial by jury. The ruling is expected to be made by the end June. 'GEOFENCE" WARRANTS On April 27, the court heard arguments in a Virginia case over whether law enforcement using a "geofence warrant" to identify?potential criminal suspects by using data from mobile phones near crime scenes is in violation of the Fourth Amendment's bar against unreasonable searches. Geofence warrants approved by the court compel companies, such as Alphabet’s Google in this instance, to search for mobile devices near crime scenes. In this case, a defendant pleaded conditionally guilty to robbing an institution of higher learning while reserving the right to argue against evidence obtained from what he believes was an illegal search. The ruling is expected to be made by the end June. CRISIS PREGNANCY COUNTER The court sided on April 29, with the operator in New Jersey of Christian faith-based "crisis pregnancies centers" that are anti-abortion and trying to obstruct a state investigation as to whether these facilities engage in misleading practices. First Choice Women's Resource Centers brought a lawsuit against a subpoena issued by the state attorney general in 2023, which sought information about the organization's doctors and donors. The lawsuit had been thrown out by a lower court. First Choice's facilities are designed to discourage women from getting abortions. RASTAFARIAN INMAT The conservative justices seemed inclined to reject the Rastafarian inmate's attempt to sue Louisiana state prison officials after they shaved his head in violation of religious beliefs. On November 10, the case was brought before a federal statute protecting prisoners from religious discrimination. Plaintiff Damon Landor's religion requires that he let his hair grow. He appealed the decision of a lower court to dismiss his lawsuit, because they found that he could not sue officials individually for monetary damages. The ruling is expected to be made by the end June. DEATH ROW INMATE The court heard arguments in December in an attempt by Alabama officials in order to pursue the execution for an inmate who was convicted of a murder in 1997 after a lower judge found him intellectually disabled, and therefore ineligible to receive the death penalty. The Republican-led state has appealed a lower court ruling that Joseph Clifton Smith was intellectually disabled based upon his intelligence quotient (IQ), test scores, and expert testimony. In a 2002 Supreme Court decision, the court ruled that executing a person intellectually challenged violates the Eighth Amendment of the U.S. Constitution prohibiting cruel and unusual punishment. The ruling is expected to be made by the end June. COX COPYRIGHT DISSENSION On March 25, the court ruled that Cox Communications could not be held responsible for piracy of songs by subscribers to its internet service. These include Sony Music, Warner Music Group, Universal Music Group, and other labels. This ended their multi-billion dollar music copyright suit. The ruling of 9-0 overturned the decision by a lower court to order a trial to determine the amount the internet service provider was liable for the record labels under a form liability known as contributory copyright violation. Cox said that a retrial would have resulted in a verdict of up to $1.5 billion against the Atlanta ISP.
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Am I out? US farmers are suffering from drought and the rising cost of the war in Iran
Scott Irlbeck crouched in a field of stunted plants of wheat in a parched stretch in West Texas, and put his hand in a crack large enough to swallow it. Irlbeck had planted a crop last autumn that barely grew due to the lack of rain. Now he hopes that his insurance adjuster declares it a complete loss, so he won't have to spend money on expensive fuel next month in order to harvest the crop. The Iran war has led to a rise in fuel prices and the cost of commercial fertilizer. This is making it harder for farmers across the U.S. Plains States of Texas, Kansas and Oklahoma. Farmers were already struggling before the war with a resurgent dry spell, high input costs and the fallout of President Donald Trump's policies on trade, which hampered export markets and lowered prices for their crops. Kentucky Farm Bureau, in a prepared statement to a U.S. Senate Agriculture Committee hearing earlier this month, said that the price of farm diesel had risen 72% since the Strait of Hormuz was closed in late February. The price of urea, a major fertilizer produced in the Gulf, was up by 55%. Prices for another nitrogen-based fertiliser were also up 33%. Farmers are facing the prospect of lower harvests due to the drought. Irlbeck said that he did not purchase fertilizer supplies in advance to plant a sorghum harvest this month. He will not likely use any because of the soaring price and the pernicious dry spell that is reducing yields. Irlbeck listed his challenges: "There is fuel, there is drought, and there is fertilizer." "I have three strikes." "Am I out?" Drought ravages wheat Texas is the second-largest state for wheat production in the United States, followed by sorghum. It ranks first for cotton. Irlbeck's farm near Tulia was awash with wind that blew across brown, dry fields, dotted with dirty cotton clumps and brittle sorghum stems from previous harvests. According to the U.S. Department of Agriculture, U.S. Farmers are expected to produce the smallest harvest of hard red wheat used for bread since 1957. Irlbeck stated, "I am just waiting for the thing to die." According to the latest U.S. Drought Monitor government report, more than 60% of continental United States - an area of 153 million people - is experiencing drought. This is up from 43% in 2026, and 33% one year ago. Amanda De Oliveira?Silva of Oklahoma State University, an agronomist said that it might be too late to save wheat in Oklahoma's hardest-hit areas. Rain can help to preserve what's left but it won't undo the damage that's already been done. Clarence Winter, South Dakota State University Extension Agronomist, explained that farmers in South Dakota were reconsidering their plans to fertilize the wheat they had planted last autumn due to high prices. The U.S. Department of Agriculture responded in a press release when asked to comment on the cost of fertilizer. It said that the Trump administration is focused on increasing domestic production of affordable fertiliser. WAR RAISES COSTS For farmers such as Tommy Salisbury who cultivates wheat, sorghum, and soybeans in Tulsa County (Oklahoma), higher input prices have wiped out any benefits received by individual operators from the $12 billion aid package offered by the Trump administration to offset tariffs. He said, "We pay input prices for 2026 and get grain and crop prices from the 1970s and 1980s." USDA Secretary Brooke Rollins acknowledged that farmers are facing hardship. She said at a press conference on Tuesday that "we are experiencing significant price increases?at a period when our farm economy struggles." She said in a blog post last month that 80% of U.S. Farmers had secured supplies well before the beginning of the war. A survey conducted by the American Farm Bureau Federation (the leading U.S. farming lobby) found that many farmers couldn't afford to buy all the fertilizer needed for the current growing season. The Farm Bureau reported that the rates of pre-purchases varied greatly by region. The Midwest had the most pre-ordered fertilizer, but the Northeast and the South did not. Farm Bureau says that advance buying is more common among farmers in the Midwest, where they rotate between planting corn and soybeans and make their purchases well before planting. The group stated that many farmers in the South do not have fertilizer storage facilities. When asked for comment, USDA stated that it continues to evaluate data on fertilizer use. Kody Carson, a farmer in the West Texas city Olton, has said that he didn't buy fertilizer ahead of time and may not purchase any for his 2,400 acre cotton farm. He said that the drought had decimated his winter wheat yields to 18-20 bushels on an acre as opposed to his expectations of 80 bushels. How can I be prudent financially and buy this expensive fertilizer when I have no idea if I will make a harvest? Carson said. Leaning on Religion Tom Gregory in Petersburg, Texas also didn't buy fertilizer ahead of time. By April, he reported that he faced costs of $558 per tonne, up from $402 per tonne in February. Gregory said he was going to continue spring plantings because farming is a tradition and his livelihood. He said that he would apply fertilizer sparingly. Gregory stated that he tried to offset rising input costs in recent years by increasing crop yields. He said that his hopes for this strategy eventually faded, first due to the drought, and now due to higher fertilizer costs. Gregory said that he relied on his family, faith and physical exercise to get through. He said, "I hope that the good Lord will take care of us." Reporting by Tom Polansek from Tulia in Texas and Julie Ingwersen from Chicago. (Editing by Emily Schmall, Suzanne Goldenberg and Suzanne Goldenberg).
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EU signs MoUs with Ukraine to pave the way for payment in mid-June
The European Commission has signed a Memorandum of Understanding with Ukraine regarding a macro-financial?assistance?programme. This paves way for a disbursement of 3.2 billion euros in mid-June after it is ratified by the Ukrainian Parliament. The EU has a 90 billion euro scheme to finance Kyiv throughout 2026 and into 2027, as it fights Russia's invasion. "We have completed?our discussions with Ukraine regarding the memorandum?of understanding that underpins our macro financial?assistance?program, as part of the Ukraine Support Loan," European Economic Commissar Valdis Dombrovskis stated. He told reporters, "I signed the agreement this morning. Now it is up to the Ukrainian side to sign it, and it also needs to be approved by Rada in Ukraine. Dombrovskis stated that the agreement for the 90 billion euro loan could be signed within a few days. From the 90 billion euro total loan, 45 billion euros will be paid out this year and another 45 in 2027. The money that will be coming in this year is split between 28,3 billion for military spending and 16,7 billion for general budget support. The general budget cash is split in two between macro-financial support and the Ukraine facility, which is dedicated to Ukraine’s recovery, reconstruction, and modernization. Dombrovskis stated that the macro-financial aid money was?conditional upon Ukraine implementing reforms, with a strong focus on fiscal matters, in order to boost domestic revenue mobilization, public spending efficiency, and public financial management systems. Dombrovskis added: "We have also coordinated closely with the International Monetary Fund to ensure that conditions are consistent, and if necessary, additional or complementary to IMF's program." (Reporting Jan Strupczewski).
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Japan's oil refiners are expecting to have enough Middle East crude to replace it for the summer.
The 'head of a 'industry association' said on Wednesday that Japanese oil re-finers would be able to obtain enough?substitute petroleum products and crude to replace Middle Eastern supply?throughout the summer. Shunichi Kito is the president of the Petroleum Association of Japan. He said that U.S. Crude has become the main replacement while efforts are made to obtain crude from Saudi Arabia, the UAE, via routes that bypass the Strait of Hormuz. Some Japanese companies source crude oil from Latin America including Mexico, Ecuador, Venezuela and Alaska, as well from Russia's Sakhalin-2 and Alaska. Kito explained that "we are responding by a combination drawing down of national reserves and sourcing alternate supplies." We expect no problems with procurement during the summer peak demand season. Kito noted that VLCCs cannot travel through the Panama Canal with U.S. crude. This forces some shipments to travel by the Cape of Good Hope. The journey takes about 55 days, which is more than twice the time of the Middle East route. He said that the longer route would "significantly increase costs" and leave refiners little choice but pass these on to their customers. Japan relied on the Middle East to import about 95% its crude oil before the U.S. and Israel fought the 'war' against Iran. Kito says that Japan will have to reduce its dependence on Middle East crude oil over the long-term. Refiners are currently analysing properties of alternative crude grade, adjusting blend ratios, and refining within the existing equipment constraints. He said that Japan will need to improve its crisis preparedness in the future. This can be done by diversifying fuel sources, improving refineries, and expanding the use of biofuels. (Reporting and editing by Yuka Suzuki, Hina Obayashi)
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Poland arrests three Poles accused of spying for Russia
Authorities said that on Wednesday, Poland had detained three citizens who were suspected of spying, planning sabotage, and spreading disinformation for Russia. Poland claims that its role as a 'hub' for military and other supplies to Ukraine makes it a target of Russian spies who are trying to gather intelligence on Kyiv’s efforts to repel Russia’s invasion as well as commit acts of sabotage. Officers from the (Internal Security Agency ABW )?detained three persons suspected of espionage on behalf of Russian Federation. "The?detainees? are Polish men between the ages of 48 and 62," Polish Special Service Minister Tomasz Siemoniak posted on social media. They are accused of spying activities, including reconnaissance of NATO forces deployed on the territory of the Republic of Poland as well as the production and dissemination of 'propaganda materials and disinformation. He added that a court had ordered their temporary detention for three months. In a press release, the ABW stated that the arrest took place on 12 May. It said that the men were also accused of producing and sharing disinformation and propaganda materials, planning sabotage, subversion and promoting symbols in support of?Russian aggression against Ukraine' and publically praising war. "The detainees, commissioned by an identified Russian citizen associated with the ?Federal Security Service of the Russian Federation, also carried out intelligence-gathering activities, ?including identifying ?the location of NATO troops stationed in Poland," it said. The group was trained in firearms and battlefield tactics to carry out subversive acts. The?Russian embassy in Poland has yet to respond to a comment request. Poland is one of many 'European' countries that have arrested individuals suspected of spying, cyber-attacks or planning sabotage. They say this is part of a hybrid warfare waged by Moscow against them for supporting Ukraine's fight to stop Russia's invasion.
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Lithuania closes airport and issues an 'air-danger' warning over drone fears
Lithuania issued an "air danger" alert on Wednesday, asking people to take cover and suspending traffic at the airport in the capital amid fears that drones could violate Lithuania's airspace. Lithuanian army sent a message to the people of the capital saying, "Immediately seek shelter in a secure place. Take care of those you love and wait for new recommendations." The extent of the distribution was not immediately apparent. The Vilnius Parliament building was also issued with a warning. An announcement was made on the intercom of the parliament. The Lithuanian national crisis management center earlier said it had issued an alarm in response to a?neighboring Belarus drone that was seen flying toward Lithuania. NATO jets shot down a suspected Ukrainian drone over Estonia on Tuesday, according to the Baltic nation. This is the latest of a series?of airspace violations in the region amid frequent Ukrainian attacks against neighbouring Russia. (Reporting and writing by Andrius Sytas; editing by Gwladys Fouche).
Reliance boosts Indian shares but caution about Iran continues
The rupee fell to another record low on Wednesday as the Iran war-driven rise in global borrowing costs weighed on sentiment.
Fears of a protracted Middle East conflict has prompted a sell-off in U.S. Treasuries. This has impacted riskier assets around the world.
The higher yields of U.S. government bonds have made Indian stocks less attractive to overseas investors. They've sold more than $23 billion worth of Indian shares in 2026. This is a record-breaking outflow.
The Nifty 50 index rose 0.17% on Wednesday to 23,659 while the BSE Sensex increased 0.16% to $75,318.39. Since the Iran War broke out at the end of Feburary, the indexes are down 6% and 7.3% respectively.
11 of the 16 major sectors gained. Small-caps were flat, while mid-caps rose 0.5%.
U.R. Bhat, cofounder of Alphaniti Fintech, a firm that provides advisory services.
Indian equity investors are most concerned about oil price. The markets could react positively if there's a 'pullback in oil prices.
Reliance shares jumped by 2.8% on their best day in over three weeks. Stocks had fallen 9.6% in the last 10 sessions.
Aluminium manufacturer Hindalco gained 3.5% and was the top gainer on the Nifty 50 after its U.S. based?subsidiary Novelis announced higher operating profits and that its?New Jersey facility will restart in the coming weeks.
Brent Crude prices fell 1.9% but remained elevated at $109 per barrel. India imports 90% of its crude oil needs.
Shipping data shows that two Chinese oil tankers loaded with oil left the Strait of Hormuz.
(source: Reuters)