Green Fleets mean energy security
Support Ohio's economy and curb dependence on imported petroleum with OGF
The economic case for curbing diesel fuel consumption is solid.We all felt the pain when tight oil markets pushed diesel fuel prices to record-high levels in 2008. According to industry experts, we should expect steadily rising prices and periodic price spikes for traditional diesel fuel as supply streams struggle to keep pace with increasing global demand. Even with aggressive exploration and development of domestic oil supplies, an increasing percentage of our oil will have to come from unstable regimes in the Middle East and Africa. The bottom line is that we should plan on oil prices staying high and rising. Currently, the International Energy Agency predicts oil prices rising to $122-$195 per barrel by 2020 ($3.76- $5.62 per gallon).
The U.S. imported an average of 357 million barrels of oil per month in the recession year of 2009. At $100 per barrel, such imports represent $35.7 billion dollars spent on imported oil per month. At $120 per barrel, such imports leak a staggering $42.8 billion dollars out of the U.S. economy every month. Medium and long-term oil price projections come from the International Energy Agency (IEA). Founded during the oil crisis of 1973-74, the IEA is an intergovernmental organization whose sole mission is to conduct energy market research and advise member governments, including the United States, on energy policy. The IEA has conducted extensive oil market research that includes a field-by-field analysis of production decline rates of over 800 of the world’s largest fields.
