 |
Louisiana Light • 2 days | 86.49 | -0.63 | -0.72% | ||
|
Bonny Light • 23 hours | 88.40 | -0.92 | -1.03% | ||
|
Opec Basket • 2 days | 88.45 | +1.94 | +2.24% | ||
|
Mars US • 174 days | 77.26 | -1.51 | -1.92% | ||
|
Gasoline • 59 mins | 2.769 | +0.011 | +0.41% |
|
Bonny Light • 23 hours | 88.40 | -0.92 | -1.03% | ||
|
Girassol • 23 hours | 89.03 | -0.87 | -0.97% | ||
|
Opec Basket • 2 days | 88.45 | +1.94 | +2.24% |
|
Peace Sour • 22 hours | 76.01 | -0.55 | -0.72% | ||
|
Light Sour Blend • 22 hours | 79.06 | -0.55 | -0.69% | ||
|
Syncrude Sweet Premium • 22 hours | 86.01 | -0.55 | -0.64% | ||
|
Central Alberta • 22 hours | 76.41 | -0.55 | -0.71% |
|
Eagle Ford • 2 days | 79.29 | -0.04 | -0.05% | ||
|
Oklahoma Sweet • 2 days | 79.25 | -0.50 | -0.63% | ||
|
Kansas Common • 23 hours | 73.75 | +0.75 | +1.03% | ||
|
Buena Vista • 2 days | 87.23 | -0.55 | -0.63% |
Breaking News:
Could We Power Flights With Human Waste?
Aviation companies are exploring the…
Oil Moves Higher on Inventory Draw
Crude oil prices ticked higher…
Oil Dependency Climbs As Supply Rises And Prices Fall
(Click to enlarge)
Headlines around electric cars and carbon policy suggest our oil dependency is on a slippery downward slope. Recent data from 2016 suggests the opposite: our worldwide addiction is getting stronger.
Oil consumption versus economic activity (GDP) measures the energy “intensity” or “dependency” of our lifestyles to the wonder-fuel we love to hate. A steepening upward slope implies greater dependency and vice versa.
Before 2000 it took about 550 B/d to lubricate a change of $US 1 billion of global GDP growth. Higher oil prices from ’02 to ’13 lessened our dependency to 240 B/d through efficiency and substitution. Post the 2014 price crash we’re back up to guzzling 360 B/d for every extra billion dollars of petroleum-fuelled economy.
Gasoline demand is up, because people are driving more kilometers. And 50 million new petroleum vehicles (net of retirements) are hitting the road per year; over 30 million in Asia alone. Petrochemical demand is solidly correlated with economy.
Why are we surprised? When a product gets cheaper people use more.
By Peter Tertzakian for Oilprice.com
ADVERTISEMENT
More Top Reads From Oilprice.com:
- Oil Market Gauges Shake-Up In Saudi Royal Succession
- Crude Inventory Draw Offers Sliver Of Hope For Oil Markets
- Why Is Saudi Arabia Desperate For Higher Oil Prices?
Peter Tertzakian
Peter is an economist, investment strategist, author and public speaker on issues vital to the future of energy. He has clocked over 30 years of…
Related posts
-
![]()
Naomi on June 22 2017 said:Shale methods unlocked a trillion bbl of oil locked in stripper wells. The holes are dug. The pipe to refinery is laid. Bring on the frackers and harvest the loot.
Naomi on June 22 2017 said:
Open57.81
Trading Vol.6.96M
Previous Vol.241.7B
