As the number of failed British electricity suppliers continues to rise, two of the world’s largest oil and gas giants are feeling the ripple effect.
Russian President Vladimir Putin said on Wednesday (13 October) that the reason for the energy price spike is the shortage of electricity as a result of increased use of renewable energy.
Oil in New York surged past $81 a barrel after the International Energy Agency became the latest to say natural gas shortages are boosting demand for crude.
Oil’s stability relative to natural gas and coal underscore that OPEC+ is doing a good job balancing supply and demand.
Russian Deputy Prime Minister Alexander Novak believes that oil prices could reach $100 per barrel under certain conditions, but Russia hopes to balance the situation, he told reporters on Wednesday.
The White House has been consulting with the oil industry to seek a remedy for rising gasoline prices as surging inflation threatens to tarnish the economic recovery.
The American Petroleum Institute (API) on Tuesday reported another week of crude oil inventory builds.
The recovery in global oil demand is slightly slower than expected.
Russian President Vladimir Putin considers the oil price at $100 per barrel “quite possible.”
Israel will no longer issue permits for onshore oil exploration, Energy Minister Karine Elharrar said on Wednesday at a committee hearing of the Israeli Parliament, the Jerusalem Post reported.