I think a part of the inflation is probably due to cutting off Europe from one of the world’s largest gas producers, while simultaneously all high value shipping has to circumnavigate Africa to get to Europe from Asia.
Energy and shipping cost increases are the perfect cover for price gouging
Europe is still buying their gas, but yes oil production is down and that effects inflation. I’ve heard it had more to do with oil losing money in 2020. It was the first time in history it happened and they freaked out, and cut production. The US government did almost everything to push production back up, but outside of government doing the drilling themselves, I don’t think anything will work.
They are, it’s just taking indirect routes which adds a premium, and for natural gas I think they’re stuck replacing that with mostly ~40% American LNG (about as bad as coal in terms of total ghg emissions), which is expensive too.
I think a part of the inflation is probably due to cutting off Europe from one of the world’s largest gas producers, while simultaneously all high value shipping has to circumnavigate Africa to get to Europe from Asia.
Energy and shipping cost increases are the perfect cover for price gouging
Europe is still buying their gas, but yes oil production is down and that effects inflation. I’ve heard it had more to do with oil losing money in 2020. It was the first time in history it happened and they freaked out, and cut production. The US government did almost everything to push production back up, but outside of government doing the drilling themselves, I don’t think anything will work.
They are, it’s just taking indirect routes which adds a premium, and for natural gas I think they’re stuck replacing that with
mostly~40% American LNG (about as bad as coal in terms of total ghg emissions), which is expensive too.