218 - Gasoline prices set to surge

Energy Week

Worst London air pollution in six years as home fires burnhttps://www.theguardian.com/environment/2023/jan/27/worst-london-air-pollution-in-six-years-as-home-fires-burn

- wood is a really dirty burning fuel

- its expensive to pay for heating, people turning to fires, but this is actually a really high emission fuel

Natural Gas Shortages Hit China as Temperatures Plungehttps://www.nytimes.com/2023/01/25/business/china-natural-gas-shortages.html

- gas shortages mean that people only get a few hours of heat a day because the utilities just turn it off

- this happens in the US too! People don't realize that don't have a guarantee of service despite paying their bills

- propane tank/generators can be a backup

Why gas prices are surging this monthhttps://www.cnn.com/2023/01/27/business/gas-prices-increase-inflation/index.html

- "Colorado’s sole refinery, the Suncor refinery outside of Denver, was disrupted by freezing temperatures. When the refinery tried to restart, it suffered a fire and equipment got damaged."

- Only having 1 refirey is a problem

- no longer receiving massive injections of emergency oil from the Strategic Petroleum Reserve.

- inventories for winter are low

- EU doesn't have good inventories and this will hurt Northeast because they usually get a lot of products from Europe.

- $4 gasoline could come by March instead of May.

- Will consumers continue to spend or will they pull back with gasoline prices high?

- but how much would demand actually be impacted by recession?

New York Gasoline Shortage Brews on Fallout From EU’s Russia Banhttps://www.bnnbloomberg.ca/new-york-gasoline-shortage-brews-on-fallout-from-eu-s-russia-ban-1.1876743German industry to pay 40% more for energy than pre-crisis - study sayshttps://www.reuters.com/business/energy/german-industry-pay-40-more-energy-than-pre-crisis-study-says-2023-01-30/- "German industry is set to pay about 40% more for energy in 2023 than in 2021, before the energy crisis triggered by Russia's invasion of Ukraine, a study by Allianz Trade"- The price increases will hit corporate profits across Europe by 1-1.5% and lead to lower investment- who is suffering more due to the Russia/Ukraine war - average consumer-wise. Are consumers in Russia or in the US suffering more inflationary impacts from the war?Analysis: India's rapid take-up of electric vehicles prompts rethink about long-term fuel needshttps://www.reuters.com/world/india/indias-ev-dawn-fans-expectations-fuel-demand-may-peak-early-2023-01-27/- question whether a rapid uptake in EVs initially is going to persist and going to translate to lower petroleum demand- also, the petroleum products tax - where will India get that revenue is everyone converts to EVs? will they transition it to power? how will they satisfy the demand for electricity.

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