Energy

Why do we think Vladimir Putin will not use “the bomb” when there is so much evidence that he will?

As the best documented major crisis in history, in substantial part because Kennedy secretly taped the deliberations in which he and his closest advisers were weighing choices they knew could lead to a catastrophic war, the Cuban missile crisis has become the canonical case study in nuclear statecraft. Over the decades since, key lessons from the crisis have been adapted and applied by the successors of Kennedy and Khrushchev to inform fateful choices.

Concerns are mounting about the safety of Ukraine’s 15 nuclear reactors and the possibility of an ecological disaster in the midst of the Russian invasion.

“There are contingencies but I doubt that these power plants have prepared for a full-scale invasion,” said Mariana Budjeryn, a Ukrainian research associate with Harvard University’s project on managing the atom. “In the middle of a large scale conflict, there’s a myriad of things that could happen, for which normal, even very robust, safety procedures at a nuclear power plant [would be insufficient].”

1. We must learn from and remember the lessons of the past—while recognizing that Fukushima is not going to “happen again” as future accidents will have their own characteristics; while remembering the past, we must also avail ourselves of advances in seismology, climatology, engineering, etc.

The geopolitical and geo-economic forces wrought by the coronavirus pandemic, as examined previously in this series, are likely to slow the transition to a more sustainable global energy mix. Fortunately, the pandemic has also resulted in governments gaining vastly greater influence over whether this shift stalls or accelerates.

For most people, there was nothing to celebrate when the International Monetary Fund downgraded its outlook for global economic growth in June, anticipating a contraction of 4.9% for 2020. Yet for others, such as the small but persistent group of economists and others known as the “degrowth movement,” the Covid-induced economic slowdown has a silver lining.

The search for silver linings to the coronavirus pandemic has come up woefully short. But one hopeful — and much talked of — prospect is that the disruption will accelerate the global shift to a more sustainable energy future.

As the COVID-19 pandemic devastates the world, nuclear power plants must remain safe and secure to provide electricity for food supply chains, emergency response teams, hospitals, and telecommunications in countries home to more than half of all people. Meanwhile, the Islamic State terror group has already announced its intent to exploit the pandemic, and other violent extremist organizations are also taking pains to use the crisis for their own purposes.

Today’s economic crisis leaves us with an unsettling and perplexing regret. Why weren’t financial portfolios already adjusted for risks that stem from health events such as pandemics? After all, financial portfolios are adjusted for liquidity risks, market risks, credit risks, and even operational and political risks.