While we work towards a future of clean renewable affordable non polluting energy can we control oil prices?
While we are waiting and working towards a future of renewable non polluting universally afforable energy, can we use global demand side parnerships to bring oil prices down? No one country can have any meaningful effect by itself on oil prices..not on the supply side or the demand side. The U.S. with 5% of the wolrld's population consumes 25% of the world’s daily oil supply and yet it is able to supply only 35% of its own demand through domestic oil. OPEC controls 78% of the world’s oil reserves, Saudi Arabia alone 56% of the world’s reserves. By simple math, collectively the world’s biggest users of oil, China, the U.S. the EU, own considerably less than 22% of the world’s oil reserves even though Canada owns the second largest supply of oil after Saudi Arabia. It seems obvious that no one country has enough power on its own through supply or demand to have any effect at all on OPEC supply and pricing decisions. But can global partnerships among key non-OPEC consumer nations change that from the demand side? One U.S. economist writing a few years ago believed there was more demandside clout than was being explored or utlized. Are global "buyer's cartels" the answer and if so why isn't the U.S. taking the lead in that? Isn't it time to look to international policy not just on oil but on utlization of resources world wide and wouldn't that bring us more quickly toward our goal of clean renewable and universally available energy?