Oil Producers vs. Oil Users

1439 WordsNov 3, 20116 Pages
Oil producers vs. Oil consumers The oil industry has very clear players, there are countries that consume the most of the oil production and there are countries that produce almost all oil. On the side of the biggest oil consumers are the US and Europe and on the side of the greatest Oil producers are countries like Saudi Arabia, Iran, Iraq, the United Arab Emirates and others. The Oil producers saw an opportunity to have major power and influence the price of oil by establishing an organization, so they unite and created the OPEC (Organization of the Petroleum Exporting Countries). As a counter measure Oil Consumers decided to create also an organization, called International Energy Agency to represent their interests. Today the…show more content…
Having a good economic and political relationship with them avoids disputes with Oil producers and lessens the possibility of them to want to damage EU economics. In my opinion the EU saw, before the US, the coming of a future energy crisis, accepted that it is too dependent on oil and preferred to change its status to continue obtaining oil in the future. Approaches to bio-fuel There is also a huge difference between EU and the US approaches to bio-fuel and other energies. The EU has seen that Oil is finishing off and that in the future there will have to be other sources of energy, so it has been promoting them. It has been working very hard to develop in their countries alternative energies such as wind, solar, nuclear energy. For example, Germany has extended recently the use of nuclear power plants to run for 10-15 more years to reduce the dependence on oil and is today the world largest producer of photovoltaic cells. On the contrary the US has not done anything yet, there has not placed a priority on promoting domestic and regional oil and gas production, neither promoting other energy resources. The Car industry Just the fact that worldwide Oil is running out has changed already the way the car business has been working for the last 70 years. The car
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