03-29-2017, 10:40 PM
This narrative made sense, the rise of EVs spearheaded by Tesla, increasingly stringent environmental policies, sluggish global economy and persistently high oil prices finally did oil in, except for a minor fact, none of these stories were true. After the dust settled and the IEA did its tally of oil demand, we notice that no actual collapse in oil demand has taken place, if anything, oil demand growth has accelerated materially since the crisis
The EV Myth – Electric Car Threat To Oil Is Wildly Overstated | OilPrice.com
In April 2011, the International Monetary Fund published a 20-year oil price elasticity study, which concluded that a 10 percent increase (or decrease) in oil prices yields a 0.019 percent change in oil consumption over the short term, and 0.072 percent change over the long term.
The EV Myth – Electric Car Threat To Oil Is Wildly Overstated | OilPrice.com
According to BP’s long term energy outlook, the introduction of 100m electric cars on the road by 2035 will only reduce global oil demand growth by 1.2 million barrels. This is a miniscule number when applied over the entire forecast period. This is not to mention achieving the 100 million EV cars goal by the 2030s is highly uncertain, with both the U.S. and China reducing and eliminating EV subsidies, the former due to a forthcoming change of policy and the latter due to rampant green subsidy fraud, this goal is ever less certain.
The EV Myth – Electric Car Threat To Oil Is Wildly Overstated | OilPrice.com