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WHAT’S HAPPENING TODAY: Good afternoon Daily on Energy, readers! It may be Friday the 13th, but we’re hoping luck will still be on Team USA’s side as “Quad God” Ilia Malinin goes for gold in the men’s single figure skating final this afternoon ⛸️🥇.
Electricity prices are still on the rise, more than double the rate of inflation, the latest consumer price index released this morning found ⚡💲. We have the breakdown below on what this looks like electricity, gasoline and energy service prices overall.
In North Carolina, Environmental Protection Agency administrator Lee Zeldin continued to tout the administration’s reversal of the 2009 Endangerment Finding, highlighting the effect on stop-start systems in vehicles 🚗💨. Keep reading to see what he had to say.
Welcome to Daily on Energy, written by Washington Examiner energy and environment writers Callie Patteson (@CalliePatteson) and Maydeen Merino (@MaydeenMerino). Email cpatteson@washingtonexaminer dot com or mmerino@washingtonexaminer dot com for tips, suggestions, calendar items, and anything else. If a friend sent this to you and you’d like to sign up, click here. If signing up doesn’t work, shoot us an email, and we’ll add you to our list.
QUOTE OF THE WEEK: As the Trump administration looks to bolster oil production in Venezuela, it is also considering the region’s supply of critical minerals.
“We want Venezuelan critical minerals to generate revenue for the benefit of the Venezuelan people,” assistant secretary of State for economic, energy, and business affairs Caleb Orr said during a briefing.
“Venezuela holds tremendous economic potential, and ensuring that American and other aligned companies have fair access to the Venezuelan market will help the economy recover from a decade of neglect,” Orr said.
ELECTRICITY PRICES STILL UP, OUTPACING INFLATION: The Bureau of Labor Statistics released the latest update to its consumer price index this morning, and found that electricity prices were still significantly up for the year ending in January.
The details: BLS reported today that electricity prices were up by 6.3% for the year ending in January, more than double the rate of inflation, which fell to 2.4%. There was some small relief seen for electricity prices month-to-month, dropping by just 0.1%, the first drop seen since September.
Energy services overall – which includes electricity and utility gas service – was also up for the year ending in January by 7.2%. Month-over-month it was up 0.2%.
While these costs are up, the CPI report did highlight a win for the Trump administration as energy commodities, including gasoline and fuel oil, were down 7.3% for the year. Gasoline prices dropped 3.2% month over month, and 7.5% for the year ending in January.
Gas prices have steadily dropped over the last several months, in part due to OPEC’s increased output and lower seasonal demand. As of Friday, the national average for gasoline was $2.94 per gallon, down from $3.16 one year ago, according to AAA.
‘STOP-START’ CAR FEATURE IMPACTED BY RESCINDED ENDANGERMENT FINDING: EPA Administrator Lee Zeldin was in North Carolina today, meeting with auto industry stakeholders and touting that yesterday’s termination of tailpipe emissions standards will end regulatory credits for stop-start features in cars.
He said that the repeal of the rules would save consumers money more than $2,400 for every new vehicle.
“It's an act that will result in a lot of savings for American families and more consumer choice,” Zeldin said.
Automakers have been pressed to include the stop-start feature in cars as a way to reach greenhouse gas emission standards. The EPA, specifically, terminated rules created by the Obama administration that allowed automakers to gain credits for “off-cycle” technology like the stop-start feature to meet emissions thresholds.
Zeldin also said that many manufacturers had to produce electric vehicles but consumers were not buying them.
“One of our guiding principles at the EPA is that consumers should be able to purchase the vehicle that they want,” Zeldin said. “Manufacturers should be able to make the vehicles that their customers are asking for and this whole process shouldn't be driven by the demands of politicians and bureaucrats at places like Washington, D.C.”
‘DRILL, BABY, DRILL’ UPDATE: Domestic drilling and production levels remain fairly stable this week, as Baker Hughes reported this afternoon no change in the number of active oil and gas rigs in the U.S.
In its latest rig count report, Baker Hughes found that three gas rigs were added in the last week, while three oil rigs were taken off the count, bringing the total number of new rigs to zero. The total number of active rigs sits at around 551, which is still 37 fewer than the amount active this time last year.
Remember: As rigs have dropped over the last year, that does not necessarily mean oil and gas production has been abandoned at those sites. Operators often use rigs for drilled but uncompleted wells (DUCs), where oil and gas have yet to be extracted. These partially completed wells can later be brought back to market faster at a cheaper rate than newer wells. When the operator is finished using the rig to partially drill the well, though, it may be removed from the active rig count.
OPEC WEIGHS RESUMING PRODUCTION HIKES: OPEC+ is reportedly seriously considering restarting its monthly increases in oil production this spring, in order to prepare for peak summer demand.
The details: Three sources familiar with the matter told Reuters that the oil-producing bloc is weighing resuming oil output hikes from April. It would allow members of OPEC+ to regain market share as Russia and Iran see their own output under strain from sanctions and other Western pressure.
OPEC+ increased production from April through December of last year, raising output by around 2.9 million barrels per day. In an effort to curb supply glut fears amid the lower demand typically seen during winter, the bloc stopped all hikes for January through March.
The production hikes seen last year significantly contributed to domestic and international oil prices falling below $70 per barrel. Any additional increases in output would likely have a similar effect. No decision has been made as members will vote on the matter during their March 1 meeting.
Price reaction: Oil prices fell slightly early this morning on the news, but most market dips stabilized in the afternoon. Just before 3 p.m. EST, West Texas Intermediate was unchanged, selling at $62.84 per barrel, while Brent Crude was up 0.25% and priced at $67.69.
CHRIS WRIGHT TEASES SECOND VISIT TO VENEZUELA: Energy Secretary Chris Wright ended his two-day trip to Venezuela last night, telling reporters before flying back to the U.S. that it wouldn’t be his only visit to the South American country.
NBC News reported late yesterday evening that Wright said his trip to the country deepened his relationship with acting president Delcy Rodríguez, a key figure in the Trump administration’s plans to stabilize the country and improve safety conditions for U.S. oil and gas firms to expand existing and new drilling operations.
Wright also said he plans to return to Venezuela, and hinted that other cabinet secretaries plan to visit as well. Additionally, he didn’t rule out President Donald Trump visiting in the next two years.
“I don’t know about that,” Wright said. “But he’s a man of peace and progress, so I certainly wouldn’t rule it out.”
Early this morning, Trump confirmed that he would make a visit to Venezuela but said no decision had yet been made about timing.
CUBA’S INTENSIFYING ENERGY CRISIS: Cuba’s energy crisis is deepening due to a critical fuel shortage linked to restrictions on oil imposed by the U.S. and Mexican governments.
Cuba has been facing major blackouts due to a shortage of fuel. Bloomberg reports that the level of light emitted at night in major eastern cities in Cuba has reduced by 50% compared to the historical average.
Mexico last week confirmed it will not resume sending oil to Cuba following Trump threatening to impose tariffs on any country that does. Mexico had become Cuba’s main source of oil, following the U.S. military operation to capture former Venezuelan dictator Nicolas Maduro, ending exports of Venezuelan oil to Cuba.
The pause in oil shipments to Cuba is part of the Trump administration’s effort to force a regime change in the Cuban government. Still, the fuel shortage is not only causing blackouts but affecting food prices and transportation, raising concerns for a humanitarian crisis.
Last week, Cuba’s President Miguel Diaz-Canel said he was ready to talk to the U.S. “without preconditions and from a position of equals.”
E15 UPDATE: The House’s new E15 task force, also known as the Rural Domestic Energy Council, is slated to release a draft framework on year-round E15 fuel.
E&E News obtained a draft proposal that would allow for year-round sales of E15 fuel and limit economic hardship exemptions for small refineries. It would not reassign exempted volumes to other refineries. The proposal would codify a definition of economic hardships that the EPA would use when granting exemptions.
E&E News reports that House Republican leaders appointed and asked members of the task force to submit recommendations by Sunday. Lawmakers hope to consider a new biofuels bill on the House floor by Feb. 25.
As a reminder: The task force was created after House lawmakers were unable to reach an agreement on whether to allow year-round sales of E15 ethanol. The fuel blend has been restricted due to smog concerns.
Farm groups have supported year-round E15 sales as it would boost demand for corn, one of the main ingredients. However, oil groups have opposed it, citing high costs and reduced demand for unblended gasoline.
GLOBAL EV MARKET DOWN: Global electric vehicle sales dropped last month by 3% compared to January 2025 and 44% compared to December 2025, Benchmark Mineral Intelligence reports.
In North America, EVs were down last month by 33% on the year and 27% month-to-month. China also saw drops in sales. Last month, sales dropped 20% on the year and 55% on the month.
Meanwhile, in Europe sales increased last month by 24% on the year.
In a statement, Benchmark Intelligence data manager Charles Lester said, “Europe’s strong growth is sharply contrasted by North America, with the region’s EV market undergoing a period of readjustment.”
He noted that U.S. manufacturers are adjusting production plans due to the Trump administration’s rollbacks on policies that support EV adoption.
Lester, however, added that Canada looks to “reinvigorate its EV market” as it reached an agreement with China to allow 49,000 Chinese-made EVs into the country with lower tariff rates.
WHAT WE KNOW ABOUT THE POTOMAC SEWAGE SPILL: Late last month, a pipe collapse just northwest of Washington, D.C., caused wastewater to leak into the Potomac River – an accident that is now being considered one of the largest sewage spills in U.S. history.
What happened: On Jan. 19, a section of the Potomac Interceptor sewer line collapsed into the Potomac River just outside Cabin John, Maryland. The incident caused the release of hundreds of millions of gallons of raw sewage to start flowing into the river, which runs around Washington and into the Chesapeake Bay.
Last week, D.C. water initially reported levels of E. coli at 2,420 MPN/100mL, then changed it to the actual level of E. coli present, 242,000 MPN/100mL, which is 9,900% higher than the initial report.
The risk: The size of the sewage spill is immense, with some experts comparing it to the annual level of spillage for a city like Baltimore. Potomac Riverkeeper Network and the University of Maryland each estimated that approximately 300 million gallons of wastewater have overflowed from the spill. The largest wastewater spill on record before the Potomac Interceptor leak stood at 143 million gallons of wastewater, per World Atlas.
Recent low temperatures and ice have reduced the immediate risk to humans, but researchers are growing concerned that, as temperatures get warmer, the bacteria will continue to pose a threat to residents and pets. Drinking water has not been affected.
What comes next: Researchers with the University of Maryland have said they have been testing the contaminated water weekly since the incident, according to WTOP.
DC Water CEO Davis Gadis promised this week to do everything possible to clean and reclaim the river, while remaining transparent with the public.
“Restoring confidence - both in the river’s health and in our stewardship - requires more than repairs,” Gadis said in an open letter. “It requires listening, learning, and continuous improvement.”
RUNDOWN
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