Downstream Interviews Upstream

Energy Transition: oil has a future, but not within fuels

oil-and-gas-summit-gmec-consulting-gonzalo-monroy-energy-capital

Oil has a future, but not within fuels. Energy Transition is at the forefront. Experts expressed it at the Energy Oil & Gas Summit, along with other topics on the impact of oil prices on consumers and citizens’ pockets.

oil-and-gas-summit-ihm-erick-sanchez-energy-capital
oil-and-gas-summit-ihm-erick-sanchez-energy-capital

Experts from IHS Markit and GMEC Consulting agreed that producers and consumers must be responsible for the environment, even beyond costs in the face of an energy transition situation.

In that sense, oil companies should diversify their production and address the possibilities for cleaner energy.

Covid-19 and the transition

The panelists said that the Covid-19 pandemic had improved the energy transition given all the low-emission mobility alternatives the market offers consumers.

Whether to safely distance themselves or stay away from mass transit, people are becoming familiar with cleaner and healthier mobility solutions from bicycles to electric scooters.

Likewise, corporate bankruptcy and the economic recession have led to different energy dynamics and divergent consumption trends.

Gradual steps in the transition

The gradual preference for lighter oil is destroying demand in some sectors on the one hand and increasing distinctive markets around the world on the other. Participants said that long-term forecasts expect lower oil price trends for longer in the coming years.

Also, the preference for a lighter oil has to do with strategic use, conscience, and reputation. Today, companies must maintain a cleaner and friendlier image with their customers.

So will falling oil prices affect your pocket? What can you do to protect your money?

Although the forecasts predict lower trends for longer concerning oil prices, experts said final inputs like gasoline could maintain their costs beyond crude dynamics. This situation responds to international supply, domestic demand, and market allocation.

In that regard, the participants encouraged consumers to gradually take care of hybrid and electric solutions and envision them in future optimization.

Although the current costs of cleaner alternatives are considerable, the leaders invited the audience to convert from consumers to prosumers and explore future global requirements.

Related posts

Renewable energy in coal-producing states: on the rise in 2020

editor

OPEC sees no need for more oil supply, despite U.S. call

editor

Air Products Canada ; new member with the CHFCA

editor

Leave a Comment