Quote:
Originally Posted by Azure
Energy prices are high because of a lack of supply.
The lack of supply, especially for fossil fuels has to do with government policy trying to be 'green.' Shutting down gas plants, nuclear plants, not allowing for new developments for oil & gas extraction, no new pipelines, prohibiting LNG development, etc, etc.
Now the world is rapidly increasing the amount of coal it burns. China has given their coal miners carte blanche to extract as much coal as possible.
The US is begging other countries for their oil. Everyone thinks solar & wind are great, but they aren't even making a decent in the world's overall need for energy. EVs are amazing, but do they even make up 1% of car sales?
Where do you think carbon emissions are going from here on out?
But hey, at least we're green.
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Prices are due to supply and demand. Supply is low because prices were low and energy companies were going bankrupt and investment in exploration went down. Demand is way up after a pandemic.
As for renewables and EVs
1) renewables share is increasing rapidly (though not fast enough for climate change). In fact, fossil fuel electricity generation it's growing albeit slower than renewables. There's no way to spin green policy as causing the energy crunch. This is classic commodity based supply/demand disruption. Does everyone forget negative priced oil last year???
2) EV sales were 1.6% in 2019. For 2020 they'll be at 7.6% of global light automobile sales. Next year it's expected they climb even faster. They're coming. Faster than anyone seems ready for.