As I don't think that technology can keep the costs of crude at the current levels in the long run, putting also in the long run something similar to a floor under it's price, it will continue to get substituted. Arguably the pace should increase with far stronger competition from alternatives, some of which seem able to continue to benefit from technological progress. Of course how it plays out depends on a lot of variables and the specific dynamics of the demand and supply. Those soft restraints and competition should play a bigger role in the near future than the hard limits, at least in my humble opinion.
The upwards trend of coal is quite interesting after it's consistent fall over more then a decade. Crude is also down, but far less so in percentage terms. NG has been clearly replacing the two other fossil fuels to a good degree. The rise of renewables is indeed very large.
Reply With Quote
Bookmarks