Wednesday, 23 April 2008

Could there be an oil crisis?

This report suggests that commercial consumers of fuel are already feeling the pinch from the strike at Grangemouth. With industry on this scale a single closure can always cause huge problems down the supply chain.

After 2000, the Government has built up some fuel stocks to try to help the country in a time of emergency and these may well be called upon. However, a rush for petrol by concerned consumers could well start a panic and in fact cause a petrol shortage of sorts.

This time the government could not blame the haulage industry, which paid a heavy price after the last fuel protests as the government stood back and let European operators hammer our domestic ones.

Instead no doubt the Scots in our cabinet will blame the Scots in their government's cabinet. A political solution will have to be found.

A longer-term key issue is at what price point oil causes a recession. Now the real price of oil is at $120, way above historic averages, we are at a time when a tipping point may be reached.

The Government has bailed out the banks, bailed out the 10p tax rate 'victims'...when will the bail out be for the motorists?


Bill Quango MP said...

Imagine if oil was bought and sold in Euros not $??

Fuel duty is just another example of the great difficulties the government has got itself into.

Diesel duty is nearly double the EU average of around .25p
There is Vat on top.. a tax on a tax.
High fuel duty is massively inflationary, never more so than at $120 a barrel and rising.

Bean & Badger know it and can do nothing about it as we know spending commitments far outstrip revenue.

Man in a Shed said...

There is the short term problem of the Grangemouth refinery. ( If the UK cannot operate with the unplanned outage of 1 refinery then I would suggest someone in government has very much been asleep on the job).

But the wider problem is told by the oil price.

Opec say they don't want to increase production (never stopped them before - remember all the quota cheating of the past). The truth may be that they can't increase production.

There are quite respectable technical arguments made, for example to say that Saudi Arabia's oil production will soon go into decline.

No wonder the Americans want to stay on in Iraq .... Gordon Brown's attacks on the North Sea oil industry must now look as good as his selling of gold at the bottom of the market.

CityUnslicker said...

BQ - Quite, taxes on taxes. But the extra revenue generation is huge; sickening that it is all spent already as you say.

MS- I have seen those articles too about the lack of real Saudi Reserves, but as ND said here a few days ago, with such high oil prices reserves are actually enormous. Access to them is far more difficult. I think there may be a short crisis, though I am no expert like my colleague Nick Drew.

Schadenfreude said...

Yes, when will the next bail-out be?

The government has already committed itself to £150bn of extra debt to bail out the banks and we aren't really in a crisis yet. That's £7500 of debt per household.

Seems to me that Gordon has set out his plans for the next two years. Bail out every problem and just slap the expense on the already huge national debt. All in the hope of getting re-elected. Hundreds of billions of pounds spent on Gordon's ego trip while the rest of the Labour MPs cheer him on.

Anonymous said...

A bit off the current topic, but why can’t petrol stations who are experiencing something like a rush on the pumps put their prices up by 20p or so? Surely this would reduce demand?

Mark Wadsworth said...

What Dr Ed says.

CityUnslicker said...

media pressure I guess Dr Ed. They would be accused of proiteering and then the Gov would salp more taxes on as a punishment....

Anonymous said...

They could promise to use the extra money raised to hire a hit man to take out Mugabe. Or maybe just to give it to charity/dying paraplegic babies.

I’d fill my tank.

CityUnslicker said...

more likely to fill the huge holes in the spending plans, sadly!

Bill Quango MP said...

The fuel companies need to make it clear what is going on. I mean why take the flak for HMG if you are Shell or Sainsburys?

Those big price boards on filling stations and on the pump displays too need some proper price pointing.

Diesel £.59p litre [ Before taxes]
Diesel £1.21p litre incl tax

Old BE said...

I agree with BQ

In the States they show clearly how much tax you are paying on *everything* - we should start doing that here.

monoi said...

Can someone explain why oil price is rising, when there is apparently a recession starting which would reduce demand.

Where is all this oil going ?

Anonymous said...

aaaa片, 免費聊天, 咆哮小老鼠影片分享區, 金瓶梅影片, av女優王國, 78論壇, 女同聊天室, 熟女貼圖, 1069壞朋友論壇gay, 淫蕩少女總部, 日本情色派, 平水相逢, 黑澀會美眉無名, 網路小說免費看, 999東洋成人, 免費視訊聊天, 情色電影分享區, 9k躺伯虎聊天室, 傑克論壇, 日本女星杉本彩寫真, 自拍電影免費下載, a片論壇, 情色短片試看, 素人自拍寫真, 免費成人影音, 彩虹自拍, 小魔女貼影片, 自拍裸體寫真, 禿頭俱樂部, 環球av影音城, 學生色情聊天室, 視訊美女, 辣妹情色圖, 性感卡通美女圖片, 影音, 情色照片 做愛, hilive tv , 忘年之交聊天室, 制服美女, 性感辣妹, ut 女同聊天室, 淫蕩自拍, 處女貼圖貼片區, 聊天ukiss tw, 亞亞成人館, 777成人, 秋瓷炫裸體寫真, 淫蕩天使貼圖, 十八禁成人影音, 禁地論壇, 洪爺淫蕩自拍, 秘書自拍圖片,

做愛的漫畫圖片, 情色電影分享區, 做愛ㄉ影片, 丁字褲美女寫真, 色美眉, 自拍俱樂部首頁, 日本偷自拍圖片, 色情做愛影片, 情色貼圖區, 八國聯軍情色網, 免費線上a片, 淫蕩女孩自拍, 美國a片, 都都成人站, 色情自拍, 本土自拍照片, 熊貓貼圖區, 色情影片, 5278影片網, 脫星寫真圖片, 粉喵聊天室, 金瓶梅18, sex888影片分享區, 1007視訊, 雙贏論壇, 爆爆爽a片免費看, 天堂私服論壇, 情色電影下載, 成人短片, 麗的線上情色小遊戲, 情色動畫免費下載, 日本女優, 小說論壇, 777成人區, showlive影音聊天網, 聊天室尋夢園, 義大利女星寫真集, 韓國a片, 熟女人妻援交, 0204成人, 性感內衣模特兒, 影片, 情色卡通, 85cc免費影城85cc, 本土自拍照片, 成人漫畫區, 18禁, 情人節阿性,

Anonymous said...

情色電影, aio交友愛情館, 言情小說, 愛情小說, 色情A片, 情色論壇, 色情影片, 視訊聊天室, 免費視訊聊天, 免費視訊, 視訊美女, 視訊交友, ut聊天室, 視訊聊天, 免費視訊聊天室, a片下載, av片, A漫, av dvd, av成人網, 聊天室, 成人論壇, 本土自拍, 自拍, A片, 愛情公寓, 情色, 舊情人, 情色貼圖, 情色文學, 情色交友, 色情聊天室, 色情小說, 一葉情貼圖片區, 情色小說, 色情, 色情遊戲, 情色視訊, 情色電影, aio交友愛情館, 色情a片, 一夜情, 辣妹視訊, 視訊聊天室, 免費視訊聊天, 免費視訊, 視訊, 視訊美女, 美女視訊, 視訊交友, 視訊聊天, 免費視訊聊天室, 情人視訊網, 影音視訊聊天室, 視訊交友90739, 成人影片, 成人交友,

免費A片, 本土自拍, AV女優, 美女視訊, 情色交友, 免費AV, 色情網站, 辣妹視訊, 美女交友, 色情影片, 成人影片, 成人網站, A片,H漫, 18成人, 成人圖片, 成人漫畫, 情色網, 日本A片, 免費A片下載, 性愛, 成人交友, 嘟嘟成人網, 成人電影, 成人, 成人貼圖, 成人小說, 成人文章, 成人圖片區, 免費成人影片, 成人遊戲, 微風成人, 愛情公寓, 情色, 情色貼圖, 情色文學, 做愛, 色情聊天室, 色情小說, 一葉情貼圖片區, 情色小說, 色情, 寄情築園小遊戲, 色情遊戲, 情色視訊,