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Effective, large-scale storage systems are set to become increasingly important as renewable energy capacity expands.
According to the IEA, investment in battery storage grew by nearly 40% in 2020, reaching $5.5 billion.
Australian Prime Minister Anthony Albanese has said that “the challenge of climate change is also an opportunity going forward that we must seize to, indeed, become a renewable energy superpower.”

Wind turbines in Australia. Earlier this year, a report from Australia’s Clean Energy Council said renewables were responsible for 32.5% of the country’s electricity generation in 2021.
Josh Hawley | Moment | Getty Images

A fund under the management of BlackRock Real Assets is set to acquire Akaysha Energy, an Australian firm that develops battery storage and renewable energy projects.
In an announcement Tuesday, BlackRock said it intended to commit in excess of 1 billion Australian dollars (around $700 million) of capital “to support the build-out” of more than 1 gigawatt of battery storage assets.

Looking ahead, BlackRock said Akaysha had plans to develop energy storage projects in a range of Asia-Pacific markets, including Japan and Taiwan in the near-term.
Effective, large-scale storage systems are set to become increasingly important as renewable energy capacity expands. This is because while sources of energy such as the sun and wind are renewable, they are not constant.
The International Energy Agency has said that a “rapid scale-up of energy storage is critical to meet flexibility needs in a decarbonised electricity system.” According to the IEA, investment in battery storage grew by nearly 40% in 2020, reaching $5.5 billion.

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Figures from the Australian government show that fossil fuels accounted for 76% of total electricity generation in 2020, with coal’s share coming in at 54%, gas at 20% and oil at 2%. Renewables’ share came in at 24%.
In April, Australia’s Department of Industry, Science, Energy and Resources said renewables were responsible for an estimated 77,716 gigawatt hours of electricity generation in the calendar year for 2021. This works out as 29% of total electricity generation.

In a speech last month, the country’s prime minister, Anthony Albanese, said that “the challenge of climate change is also an opportunity going forward that we must seize to, indeed, become a renewable energy superpower.”

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In a statement Tuesday, Charlie Reid, who is APAC co-head of climate infrastructure at BlackRock, said that as Australian renewable energy infrastructure continued to “mature,” investment would be needed in battery storage assets.
This was, he said, required, “to ensure the resilience and reliability of the grid, especially with the continued earlier-than-expected retirement of coal-fired power stations.”
“For our clients, we see tremendous long-term growth potential in the development of advanced battery storage assets across Australia and in other Asia-Pacific markets and look forward to working with Akaysha to ensure an orderly transition to a cleaner and secure energy future,” Reid added.
As major economies around the world lay out plans to ramp up their renewable energy capacity, interest in battery storage looks set to grow.
In July, Norway’s Equinor said it would acquire U.S.-based battery storage developer East Point Energy after signing an agreement to take a 100% stake in the company.
Equinor, a major producer of oil and gas, said Charlottesville-headquartered East Point Energy had a 4.1-gigawatt pipeline of “early to mid-stage battery storage projects focused on the US East Coast.”
The company said battery storage would “play an important role in the energy transition as the world increases its share of intermittent renewable power.”
“Battery storage is key to enabling further penetration of renewables, can contribute to stabilizing power markets and improve the security of supply,” it added. More

The Inflation Reduction Act caps monthly insulin costs for Medicare beneficiaries.
The change will be meaningful for senior patients who struggle with the cost of treatment, but it excludes other patients.
“We’re glad for the victory we have, but there’s more work to be done,” said Dr. Robert Gabbay, chief scientific and medical officer at the American Diabetes Association.

The Good Brigade | Digitalvision | Getty Images

A new legislative package signed into law by President Joe Biden on Tuesday is a big win for Medicare patients who struggle to cover the cost of insulin to manage their diabetes.
But the bill, called the Inflation Reduction Act, falls short of applying those cost controls to the broader patient population who rely on insulin.

The bill limits insulin copays to $35 per month for Medicare Part D beneficiaries starting in 2023. Notably, seniors covered by Medicare also have a $2,000 annual out-of-pocket cap on Part D prescription drugs starting in 2025. Medicare will also now have the ability to negotiate the costs of certain prescription drugs.

“We’re very excited that seniors are going to see these cost savings,” said Dr. Robert Gabbay, chief scientific and medical officer at the American Diabetes Association.
But the changes fall short of the broader applicability to diabetes patients who are covered by private insurance.
“We’re glad for the victory we have, but there’s more work to be done,” Gabbay said.

Why insulin relief was limited to Medicare patients

Democrats pursued the Inflation Reduction Act through a process called budget reconciliation, or a simple party majority.

In that process, the Senate Parliamentarian ruled broader insulin reform for non-Medicare patients could not be included in the legislation. Senate lawmakers then sought 60 votes in order to keep it in the bill. But they fell short with just 57 votes, as 43 lawmakers opposed it.
The result was a disappointment, Gabbay said. Legislation capping the cost of insulin, or the cost of care to people with diabetes, has already been passed in 23 states and Washington, D.C.
More from Personal Finance:Reconciliation bill includes about $80 billion for the IRSPeople may qualify for thousands in new climate incentivesExpanded health insurance subsidies preserved in new legislation
“We were hoping that now is the time to go national and really have a comprehensive law that would protect all people with diabetes in the U.S.,” Gabbay said.
The American Diabetes Association plans to continue to advocate for relief for more patients, including the INSULIN Act, which calls for capping monthly insulin costs for a broader patient population.
“We hope that that can come to Congress this fall,” Gabbay said.
Senate Majority Leader Chuck Schumer, D-N.Y., also expressed his intention to bring the proposal up for a vote again in the coming months.

What Medicare beneficiaries on insulin can expect

For patients age 65 and up who rely on insulin, the Inflation Reduction Act is a “game changer,” Gabbay said.
More than 8 million people in the U.S. rely on insulin to manage their blood glucose levels, and if they stop taking the medication for a few days, they could die. “It’s deadly serious,” Gabbay said.
Yet as the year progresses, some Medicare patients tend to get nervous about a coverage gap known as a “donut hole” and may try to ration their insulin, he said.

The high costs of insulin result in 14% of patients having “catastrophic” levels of spending on the treatment, according to recent research from Yale University. For Medicare patients on insulin, catastrophic spending affects one in five patients, the research found.
Starting in 2023, the Inflation Reduction Act will cap the cost of insulin for Medicare beneficiaries at $35 per month and will include those who use insulin pumps.
Medicare beneficiaries who pay more than $35 per month after the legislation is initially enacted will be reimbursed, according to the American Diabetes Association.
For patients struggling to cover insulin, the American Diabetes Association provides resources that may help curb those costs at Insulinhelp.org.

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President Joe Biden signed the Inflation Reduction Act into law
The new law passed with majority Democratic support in the Senate and the House.
The more than $430 billion package is expected to reduce the deficit by more than $300 billion over a decade.

After more than a year of debate over costs, taxes, tax credits and regulations, President Joe Biden finally signed his sweeping tax, health and climate bill into law — albeit a significantly reduced version of the $1.75 trillion Build Back Better plan he was pushing for last year.
The president signed the newly renamed Inflation Reduction Act into law flanked by Senate Majority Leader Chuck Schumer, D-N.Y.; Sen. Joe Manchin, D-W. Va.; and Reps. Jim Clyburn, D-S.C. and Kathy Castor, D-Fl.

“With this law, the American people won and the special interests lost,” Biden said in remarks before he signed the bill.
The new law includes a $369 billion investment in climate and energy policies, $64 billion to extend a policy under the Affordable Care Act to reduce health insurance costs, and a 15% corporate minimum tax aimed at companies that earn more than $1 billion a year.
Read more: Biden’s corporate tax hike in the Inflation Reduction Act won’t hurt most U.S. companies, Wall Street analysts say
The $437 billion spending package is expected to raise $737 billion in revenue over the next decade, the biggest share coming from reductions in drug prices for Medicare recipients and tax hikes on corporations. Roughly $124 billion is expected to come from increased IRS enforcement, meaning tougher and more frequent audits for the wealthy. It’s projected to reduce the deficit by more than $300 billion over a decade.
To get a deal done, Biden had to give up some of his favorite pieces of his original Build Back Better bill, including universal child care and tax cuts for the middle class. Manchin, a conservative Democrat, was also a late Democratic holdout until he and Schumer struck a deal moving the bill forward earlier this month.

Freshman Sen. Kyrsten Sinema, D-Ariz., held up passage in the evenly divided Senate at the last minute over a provision that would have closed the so-called carried interest loophole that allows private equity managers and hedge fund executives to pay significantly lower tax rates than most taxpayers.
While introducing the president, Schumer thanked Manchin along with House Speaker Nancy Pelosi, D-Calif., and the White House staff “who gave it their all to finishing this bill.”
The bill narrowly passed the U.S. Senate 51-50 on Aug. 7 with no Republican votes. Vice President Kamala Harris cast the tiebreaking vote, giving Democrats a win.
The U.S. House passed the bill Friday by a 220-207 margin.
In remarks, Biden noted that every Republican in Congress voted against the measure.
“Let’s be clear. In this historic moment, Democrats sided with the American people and every single Republican in the Congress sided with a special interest in this vote,” he said. “Every single one.”

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The first electrified vehicle for Stellantis’ Dodge brand will be a plug-in hybrid crossover called the Hornet
The Hornet is a resurrected named most recently used for a 1970s station wagon.
The Hornet isn’t one of Dodge’s signature muscle cars, but an important vehicle for the brand’s electrification strategy.

2023 Dodge Hornet GT

DETROIT – The first electrified vehicle for the Dodge brand under Stellantis will be a plug-in hybrid crossover called the Hornet, a resurrected name most recently used for a 1970s station wagon.
The compact crossover will be Dodge’s new entry-level vehicle, with a starting price of less than $30,000 for a Hornet GT model with a 2.0-liter turbo four-cylinder engine. The plug-in hybrid model, which Dodge is calling the Hornet R/T, will start at about $40,000.

While the Hornet isn’t one of Dodge’s signature muscle cars, it’s an important vehicle for the brand’s sales and electrification strategy. It marks a return to the lower-priced mainstream market following the discontinuation of the Dart sedan and Journey crossover in 2016 and 2020, respectively.
“We think the potential is huge with the growth of this segment,” Dodge CEO Tim Kuniskis said during a media briefing. He declined to discuss sales expectations for the vehicle, which was unveiled Tuesday night at an event in Pontiac, Michigan.

2023 Dodge Hornet GT 

The compact crossover segment is one of the largest segments in the industry, but Kuniskis said Dodge will position the Hornet differently than competitors.
Dodge says the Hornet will have the top performance in the segment and offer unique aspects, including a “Power Shot” mode for the plug-in hybrid that instantaneously provides 25 more horsepower to the vehicle.
The Hornet R/T PHEV will have more than 285 horsepower and 383 foot-pounds of torque, according to Dodge. It will be able to travel more than 30 miles before a 1.3-liter turbocharged internal combustion engine turns on to power the vehicle. Dodge says the GT model will have at least 265 horsepower and 295 foot-pounds of torque.

The Hornet GT is expected to arrive in U.S. showrooms late this year, followed by the plug-in model next spring. The vehicles will be produced at a plant in Italy alongside the Alfa Romeo Tonale, which has a shared a platform and components but different design characteristics.

2023 Dodge Hornet GT GLH Concept

Dodge also showed a concept vehicle called Hornet GT GLH (Goes Like Hell) – another resurrected name from the Dodge Omni GLH in the mid-1980s – that could be built using aftermarket parts or go into production at a later date, offering additional performance to the vehicle lineup.
The unveiling of the Hornet comes a day after the company confirmed it would discontinue the Dodge Charger and Challenger muscle cars at the end of next year. They are expected to be replaced by at least one new electric performance car starting in 2024.

Read more about electric vehicles from CNBC Pro

Stellantis was formed by the merger automaker of Fiat Chrysler and France-based Groupe PSA. It has 14 auto brands including Alfa Romeo, Chrysler, Dodge, Fiat, Jeep and Peugeot. The company is investing $35.5 billion in vehicle electrification and supporting technologies through 2025.
The Hornet name was first used for a car produced in the 1950s by Hudson Motor, made popular in recent years by Disney’s “Cars” franchise. It was then used by American Motors in the 1970s, followed by Chrysler, now known as Stellantis, for a concept car that never made it into production in 2006.

2023 Dodge Hornet GT GLH concept

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Monday – Friday, 6:00 – 7:00 PM ET

It’s that time again! “Mad Money” host Jim Cramer rings the lightning round bell, which means he’s giving his answers to callers’ stock questions at rapid speed.

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LKQ Corp: “You haven’t missed the boat. It’s only at 14 times earnings.”
Disclosure: Cramer’s Charitable Trust owns shars of Devon.

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CNBC’s Jim Cramer on Tuesday told investors to sell their speculative stocks to fund purchases of more stable stocks.
“It’s time to take profits on the most speculative stocks in your portfolio and move that money into something more resilient,” the “Mad Money” host said.

CNBC’s Jim Cramer on Tuesday told investors to sell their speculative stocks to fund purchases of more stable stocks.
“It’s time to take profits on the most speculative stocks in your portfolio and move that money into something more resilient,” the “Mad Money” host said. “A mild recession is still a recession. You need to be in quality, not the fanciful,” he added.

Stocks have rallied in recent months after spiraling during the first half of the year as skyrocketing inflation, the Federal Reserve’s interest rate hikes and Russia’s invasion of Ukraine led investors to flee the market.
The Dow Jones Industrial Average is up 15% from its lows in mid-June, the benchmark S&P 500 is up more than 18% and the tech-heavy Nasdaq Composite has jumped 24%.
Among the downtrodden stocks seeing gains are speculative names such as Bed Bath & Beyond, which closed up 29% on Tuesday after Reddit traders jumped on the stock. Shares shot up more than 70% in intraday trading. 
Cramer warned that investors should ditch such risky plays for more boring, stable stocks — especially considering that it’s unclear whether the Federal Reserve will continue its aggressive stance against inflation.
“The more the stock market rallies, the more likely it is that [Fed Chair] Jay Powell will have to lower the boom on us again,” Cramer said.

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Economists expect July’s retail sales report to show that consumers increased spending just 0.1% in the month.
Retail sales data is released Wednesday at 8:30 a.m. ET, and it should show the impact of rising inflation and high gasoline prices on the consumer.
Online sales are expected to have improved due to Amazon’s Prime Day July 12 and 13 and rival sales at other retailers.

People shop in a supermarket as inflation affected consumer prices in New York City, June 10, 2022.
Andrew Kelly | Reuters

Consumers are expected to have spent just slightly more in July, but they may have boosted what they spent online in a big way.
U.S. retail sales will be reported Wednesday at 8:30 a.m. ET. They are expected to show an increase of 0.1% in July, down from a 1% monthly gain in June, according to Dow Jones. Excluding autos, spending was expected to have been flat.

That data will provide an important piece of the economic picture as economists — and investors — attempt to get a clearer view after a blast of mixed statistics. For instance, jobs data has been very strong, even with rising claims for unemployment benefits. Some manufacturing data has been weak, while Tuesday’s report of industrial production showed a surprisingly strong increase in output.
Consumers are responsible for about two-thirds of the U.S. economy, so any insight into spending is important. Retail sales data is also affected by rising inflation, and the sales figure should reflect the impact of higher prices.
“It will be important because we have been getting these cross currents when it comes to economic data,” said Michelle Meyer, chief economist, U.S. at Mastercard. She said negative gross domestic product in both the first and second quarter sparked recession fears, but strong jobs data contrasted with that.
Meyer said the Mastercard SpendingPulse data she monitors was strong for July. “Spending was robust,” she said. “Our retail spending, excluding autos, was up 11.2% year-over-year in July.”
Mastercard SpendingPulse data measures in store and online spending for all forms of payment.

Higher prices

Tom Simons, economist at Jefferies, said he is expecting a much stronger than consensus gain of 0.8% in the July retail sales report, in large part because of the strength of wage gains and the resilient labor market. Last month, the economy added 528,000 jobs, easily beating expectations.
Simons noted retail sales declined 1.1% last July, so the year-over-year number could be large. “If you add in our number, you’re going to get a pretty strong acceleration of close to 10% year-over-year,” he said. He noted sales were up 8.4% annually in June.
Meyer said some categories in the SpendingPulse data for July show a clear increase from inflation while others did not. Grocery sales, for instance, increased 16.8% as food prices rose.
Gasoline prices were much higher than last year, but prices at the pump fell all during the month of July from the mid-June peak of $5.01 per gallon of unleaded, according to AAA. In the consumer price index, the gasoline index fell 7.7% in July, offsetting gains in food and shelter. The drop in gasoline helped bring headline inflation down to an 8.5% annual pace in July, from 9.1% in June.
“Given that gasoline stations represent 10.3% of this series and there is no inflation adjustment applied, the pullback in fuel costs evident in CPI implies tomorrow’s print will have a downward bias for this reason alone, hence the +0.1% consensus,” said Ian Lyngen, head of U.S. rates strategy at BMO Capital Markets. “The more relevant question becomes the degree to which less onerous gas prices free up consumption for other goods and services.”
According to SpendingPulse, fuel and convenience spending rose 32.3% year-over-year in July, but the growth rate was lower than June’s 42.1% increase.

A jump in online spending

Online shopping might lift retail sales results, thanks to Amazon.
“The biggest twist was e-commerce … It was up 11.7%, and in June, it was up in low single digits,” said Meyer. The category in the SpendingPulse data had not been up by double digits since the holiday shopping season in December.
Meyer said Amazon’s Prime Day sale July 12 and 13 and rival sales at other retailers in that period were likely behind the jump in online spending.
“The inflation story is really important,” said Meyer. “The inflation tax the consumer is dealing with is starting to ease. That’s going to be really interesting to see how that plays out.”
July spending includes expenses tied to summer vacations.
SpendingPulse data showed on year-over-year basis, airline spending rose 13.3%. Lodging was up 29.6%, and restaurant spending rose 9.5%.
There were also back-to-school purchases, with department store sales up 14% year over year. Home improvement sales lagged, up just 2.9%. Luxury, excluding jewelry, fell 3.7%.
“The consumer is still out spending. The consumer is obviously trying to navigate this economic environment. That means there are shifts in how they are spending,” said Meyer.

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Monday – Friday, 6:00 – 7:00 PM ET

CNBC’s Jim Cramer on Tuesday warned investors not to assume that the Federal Reserve will engineer a soft landing for the economy.
“Fair-weather bulls, who all believed we were headed for a severe recession two months ago … are now rushing to declare a soft landing way too soon,” the “Mad Money” host said.

CNBC’s Jim Cramer on Tuesday warned investors not to assume that the Federal Reserve will engineer a soft landing for the economy.
“Fair-weather bulls, who all believed we were headed for a severe recession two months ago … are now rushing to declare a soft landing way too soon,” the “Mad Money” host said. “Listen, I believe in the possibility of a soft landing, but the Fed still has a lot of work to do.”

Stocks have recovered slowly in the second half of the year after soaring inflation, the Fed’s interest rate hikes and Russia’s invasion of Ukraine roiled markets in the first six months.
Cramer has credited oil prices with helping spur the market to its bottom in June. More recently, softer-than-expected consumer price index and producer price index readings for July signaled that inflation might be peaking, helping to further boost stocks.
The turning point in the market has led some investors to believe that the Fed will be able to tamp down inflation without triggering a recession or, at most, create a mild one.
However, Cramer warned that these previously bearish investors who chose to flee the market at its worst should be careful about betting on a soft landing now that stocks are rallying — especially considering that employment rates are still strong.
He added that markets tend to lose money once investors start chasing rallies, underlining a need for caution.

“The bandwagon’s usually perilous for a bit when you jump on a month late, once so many medium- and small-sized companies have already turned up,” he said.

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