Business
War surges Norway’s oil, gas profit. Now, it’s urged to help

By Mark Lewis in Stavanger
STAVANGER, Norway (AP) — Europe’s frantic search for alternatives to Russian energy has dramatically increased the demand — and price — for Norway’s oil and gas.
As the money pours in, Europe’s second-biggest natural gas supplier is fending off accusations that it’s profiting from the war in Ukraine.
Polish Prime Minister Mateusz Morawiecki, who is looking to the Scandinavian country to replace some of the gas Poland used to get from Russia, said Norway’s “gigantic” oil and gas profits are “indirectly preying on the war.” He urged Norway to use that windfall to support the hardest-hit countries, mainly Ukraine.
The comments last week touched a nerve, even as some Norwegians wonder whether they’re doing enough to combat Russia’s war by increasing economic aid to Ukraine and helping neighboring countries end their dependence on Russian energyto power industry, generate electricity and fuel vehicles.
Taxes on the windfall profits of oil and gas companies have been common in Europe to help people cope with soaring energy bills, now exacerbated by the war. Spain and Italy both approved them, while the United Kingdom’s government plans to introduce one. Morawiecki is asking Norway to go further by sending oil and profits to other nations.
Norway, one of Europe’s richest countries, committed 1.09% of its national income to overseas development — one of the highest percentages worldwide — including more than $200 million in aid to Ukraine. With oil and gas coffers bulging, some would like to see even more money earmarked to ease the effects of the war — and not skimmed from the funding for agencies that support people elsewhere.
“Norway has made dramatic cuts into most of the U.N. institutions and support for human rights projects in order to finance the cost of receiving Ukrainian refugees,” said Berit Lindeman, policy director of human rights group the Norwegian Helsinki Committee.
She helped organize a protest Wednesday outside Parliament in Oslo, criticizing government priorities and saying the Polish remarks had “some merits.”
“It looks really ugly when we know the incomes have skyrocketed this year,” Lindeman said.
Oil and gas prices were already high amid an energy crunch and have spiked because of the war. Natural gas is trading at three to four times what it was at the same time last year. International benchmark Brent crude oil burst through $100 a barrel after the invasion three months ago and has rarely dipped below since.
Norwegian energy giant Equinor, which is majority owned by the state, earned four times more in the first quarter compared with the same period last year.
The bounty led the government to revise its forecast of income from petroleum activities to 933 billion Norwegian kroner ($97 billion) this year — more than three times what it earned in 2021. The vast bulk will be funneled into Norway’s massive sovereign wealth fund — the world’s largest — to support the nation when oil runs dry. The government isn’t considering diverting it elsewhere.
Norway has “contributed substantial support to Ukraine since the first week of the war, and we are preparing to do more,” State Secretary Eivind Vad Petersson said by email.
He said the country has sent financial support, weapons and over 2 billion kroner in humanitarian aid “independently of oil and gas prices.”
European countries, meanwhile, have helped inflate Norwegian energy prices by scrambling to diversify their supply away from Russia. They have been accused of helping fund the war by continuing to pay for Russian fossil fuels.
That energy reliance “provides Russia with a tool to intimidate and to use against us, and that has been clearly demonstrated now,” NATO Secretary-General Jens Stoltenberg, a former prime minister of Norway, told the World Economic Forum meeting in Davos, Switzerland.
Russia has halted natural gas to Finland, Poland and Bulgaria for refusing a demand to pay in rubles.
The 27-nation European Union is aiming to reduce reliance on Russian natural gas by two-thirds by year’s end through conservation, renewable development and alternative supplies.
Europe is pleading with Norway, along with countries like Qatar and Algeria, for help with the shortfall. Norway delivers 20% to 25% of Europe’s natural gas, vs. Russia’s 40% before the war.
It is important for Norway to “be a stable, long-term provider of oil and gas to the European markets,” Deputy Energy Minister Amund Vik said. But companies are selling on volatile energy markets, and “with the high oil and gas prices seen since last fall, the companies have daily produced near maximum of what their fields can deliver,” he said.
Even so, Oslo has responded to European calls for more gas by providing permits to operators to produce more this year. Tax incentives mean the companies are investing in new offshore projects, with a new pipeline to Poland opening this fall.
“We are doing whatever we can to be a reliable supplier of gas and energy to Europe in difficult times. It was a tight market last fall and is even more pressing now,” said Ola Morten Aanestad, a Equinor spokesman.
The situation is a far cry from June 2020, when prices crashed in the wake of the COVID-19 pandemic and Norway’s previous government issued tax incentives for oil companies to spur investment and protect jobs.
Combined with high energy prices, the incentives that run out at the end of the year have prompted companies in Norway to issue a slew of development plans for new oil and gas projects.
Yet those projects will not produce oil and gas until later this decade or even further in the future, when the political situation may be different and many European countries are hoping to have shifted most of their energy use to renewables.
By then, Norway is likely to face the more familiar criticism — that it is contributing to climate change.
___
AP reporter Monika Scislowska in Warsaw, Poland, contributed.
Business
Cost of living: Pepsi and Coca-Cola absent in meeting with federal industry minister

Innovation, Science and Industry Minister Francois-Philippe Champagne speaks to reporters in the foyer of the House of Commons on Parliament Hill in Ottawa on Tuesday, Sept. 19, 2023. Canada’s industry minister made a point of calling out Pepsi and Coca-Cola for not sending representatives to a meeting he convened on Monday with manufacturing companies to discuss stabilizing grocery prices. THE CANADIAN PRESS/Sean Kilpatrick
Canada’s industry minister made a point of calling out Pepsi and Coca-Cola for not sending representatives to a meeting he convened on Monday with manufacturing companies to discuss stabilizing grocery prices.
François-Philippe Champagne singled out the two companies when asked by a journalist what the consequences would be if major industry players did not succeed in stopping high inflation.
“This morning, (their CEOs) did not attend the meeting,” Champagne said of beverage giants Pepsi and Coca-Cola.
“I intend to call on them and I will continue to do so. … I don’t stop,” he told reporters.
The Canadian leaders of seven international manufacturing companies, including Nestlé and Kraft Heinz, met with Champagne.
He summoned them to answer to Prime Minister Justin Trudeau’s call earlier this month for Canadian grocers to come up with a plan to stabilize prices by Thanksgiving.
If major grocers fail to deliver ideas, Champagne said, “the consequence is for all 40 million Canadians because we will be able to see who is taking action and who is not.”
A government source told The Canadian Press that the CEOs of Pepsi and Coca-Cola responded to the federal government summons by stating they were not available Monday. The source was granted anonymity because they were not allowed to speak publicly about the matter.
It’s unclear, however, whether another meeting between major food companies and the government will take place.
Monday’s meeting brought together top Canadian executives from McCain, Unilever, Nestlé, Lactalis, Lassonde, Kraft Heinz, and Smucker Foods.
All avoided speaking with journalists. The CEO of the Food, Health & Consumer Products of Canada association, Michael Graydon, attended the meeting and agreed to answer questions on their behalf.
Graydon called the meeting “very productive.”
”We’re very much about co-operation and support, collaboration,” he said. “It’s an industry that needs to align and work collectively to find a solution.”
He said manufacturers want to collaborate with other players in the supply chain, such as major retailers like Loblaw and Costco, whose leaders Champagne met with one week earlier.
In a statement, Pepsi said it is open to meeting with Champagne.
“We are pleased that our industry association, FHCP, led a productive conversation with the government and representatives from industry today,” it said.
“We were not able to attend today’s meeting, but we offered to meet with the minister. We are committed to collaborating with the government to identify solutions during this challenging time for Canadians.”
Trudeau has said that if the government isn’t satisfied with what major grocers come up with to stabilize prices, he would intervene, including with tax measures.
Graydon said it remains to be seen how detailed the plans will be by the government’s Thanksgiving deadline.
”We’ll have to see whether, you know, the detail of how much completeness can be done by that time. But I think everybody’s working very hard to achieve that,” Graydon said.
Champagne said he is happy Graydon “wants to do something,” because “it’s a gain for Canadians.”
“It’s clear that what’s important is that we have timelines, work plans, and obviously concrete actions,” the minister said.
This report by The Canadian Press was first published Sept. 25, 2023.
Business
Moneris confirms credit and debit card processing outage, but offers few details

Toronto
The Canadian payment processing firm Moneris confirmed Saturday that credit and debit card transactions were interrupted by a network outage earlier in the day.
The Toronto-based technology company issued a statement saying there was nothing to suggest the outage was related to a cyber attack.
Complaints about outages started rolling in to the Downdetector.ca website before noon eastern time, but Moneris did not say when the outage started.
About three hours later, Moneris posted a message on X — the social media site formerly known as Twitter — saying it had resolved the network problem.
It remains unclear how many businesses and transactions were affected, but data provided by Downdetector.ca indicated complaints had come in from across the country.
In a statement provided to The Canadian Press, the company said the outage lasted about 90 minutes.
“We have resolved the network outage and returned transaction processing to normal,” the statement said. “We continue to investigate the root cause of the issue. There are no indications this appears to be cyber-attack related and all transaction systems are functioning normally again.”
The company, a joint venture between Royal Bank and BMO Bank of Montreal, said transaction processing could be slow as its systems catch up with the backlog.
Moneris says it supports more than 325,000 merchant locations across Canada.
This report by The Canadian Press was first published Sept. 23, 2024.
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