Oil prices rose yesterday, 3, to compensate for part of the large losses incurred in the previous session, after the OPEC+ Joint Ministerial Monitoring Committee maintained oil production cuts, which means a continued shortage of supplies amid fears of an imminent decline in the growth of the global economy.
Brent crude futures rose 10 cents to $85.91, while US West Texas Intermediate crude rose 7 cents to $84.29.
Oil prices fell by more than five dollars at settlement amid focus on a gloomier macroeconomic outlook and a decline in demand for fuel, following the meeting of the “OPEC+” alliance committee, which includes the Organization of the Petroleum Exporting Countries (OPEC) and other allies led by Russia.
The committee did not approve any changes to the coalition’s oil production policy, and Saudi Arabia said that it would continue a voluntary reduction of one million barrels per day until the end of 2023, while Russia would maintain a voluntary reduction in exports of 300,000 barrels per day until the end of December.
“We still expect the market to witness shortages in the fourth quarter, and lower prices reduce the likelihood of OPEC easing supply restrictions,” National Australia Bank analysts said in a note.
“Potsdam”: Europe needs $2 trillion to abandon fossil fuels
Europe could ditch fossil fuels and create a self-sustainable energy sector by spending about €2 trillion ($2.1 trillion) on solar, wind and other renewables by 2040, a new study shows.
The study, led by the Potsdam Institute for Climate Impact Research, said the continent would need annual investments worth 140 billion euros until 2030 and then 100 billion annually in the following decade to achieve this.
While the bulk of this amount will need to be directed to expansion of onshore wind farms, solar, hydrogen and geothermal resources will serve as additional pillars of a strategy that will help generate Europe’s electricity needs exclusively from renewable energy sources by 2030.
According to the study seen by Reuters, it will take another decade to convert the entire energy system, including activities such as heating that are currently provided by oil or gas, to renewable energy sources.
The study continued, “These numbers are large, but it is important to remember that estimates indicate that European countries spent an additional 792 billion euros last year alone on the existing system to protect consumers from the repercussions of the energy crisis caused by the Russian conflict in Ukraine.”
2023-10-05 17:03:47
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