What way now?

One of the world's leading authorities on energy supply says the era of cheap oil is over and prices could soon be back up to $100 a barrel. That is the consequence of the OPEP's willpower to reduce its oil production.

 Old rusty derrick in Texas.

The International Energy Agency (IEA), in its World Energy Outlook for 2008, says prices could soar as high as $200 a barrel by 2030. To avoid this situation, the IEA suggest to invest $26 trillion dollars up to the next twenty years to increase the production rates.

Then, we can see that an expensive oil is a good thing for environment, because people consume less and it prompts a fall of the gaz emissions. In France, in August 2008, the consumption of oil and by-products was 12% less than in august 2007 because of the cost of black gold.

We can also ask an issue : as we know that oil is a limited resource, would it be cleaver to invest so much money – 26 trillion dollars amounts in more of 5 times the American GDP – in oil and gas exploration and development ? While it would cost so less to research and develop alternatives solutions. Moreover, that would be a smart choice for future, a long-term vision, a strong sign of change, because according to the new président of the United States : « change, we need »!

Jean-Baptiste Bouché
Vincent Loyce
Pierre Sanchez
for Bbnews, live from Toulouse, France.