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What to know about the Colonial Pipeline cyberattack
Colonial Pipeline,a huge network that supplies eastern states with gasoline, diesel and other products, is shut down thanks to a major ransomware attack disclosed over the weekend.
Why it matters: Colonial is the largest refined products pipeline network in the country, transporting over 100 million gallons per day.
The Colonial Pipeline system. Image courtesy of Colonial Pipeline.
The company provides roughly 45% of the fuel used on the East Coast, per its website and published reports.
- "It’s the most significant, successful attack on energy infrastructure we know of in the United States," veteran energy analyst Amy Myers Jaffe tells Politico.
What's new: The company said Sunday evening that while the main portions of the pipeline remain offline, "smaller lateral lines between terminals and delivery points" are back up.
- Gasoline futures are trading higher, but the ultimate effect on prices will depend on the duration of the shutdown.
- Major price increases are not expected if it only lasts a few days.
The big question: That's how long the pipeline will remain down.
- "[An] extended outage would likely see spot retail price spikes and even product shortages in harder-to-resupply middle and southeastern states, especially if there’s hoarding," Rapidan Energy Group said in a note.
What they're saying: Via Reuters, "While the U.S. government investigation is in the early stages, a former U.S. official and three industry sources said the hackers are suspected to be a professional cybercriminal group called DarkSide."
Where it stands: On Sunday the Transportation Department issued a regional emergency declaration in 17 states that enables increased trucking hours to deliver fuel by road.
- The move is designed to "avoid disruption to supply," the agency said. More broadly, Commerce Secretary Gina Raimondo told CBS' "Face the Nation" there's an "all hands on deck" effort to resume operations.
Armin Laschet elected as leader of Merkel's CDU party in Germany
Armin Laschet, the centrist governor of North Rhine-Westphalia, was elected on Saturday as the new leader of Germany's Christian Democratic Union (CDU), defeating the more conservative Friedrich Merz by a 521-466 margin.
Why it matters: Laschet is now the most likely successor to Chancellor Angela Merkel as the standard bearer of the German center-right heading into September's elections. With Merkel preparing to step down after 16 years in power, Laschet is seen as a continuity candidate.
2021 will demand new kinds of video conferencing
Last year entrenched videoconferencing at the center of our work and private lives — but also showed us the limits and drawbacks of the tools we now depend on.
What's happening: Services like Zoom, Microsoft Teams and WebEx were a lifeline in 2020, channeling everything from work and school to parties and doctor's appointments into our homebound lives.
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