With high natural gas prices showing no signs of abating and supplies becoming harder to obtain, cheaper and dirtier alternatives to the fuel are looking increasingly tempting for energy-hungry buyers.
Liquefied natural gas prices in Asia are now at about $50 per million British thermal units. On an energy-equivalent basis, gas was at about double the price of diesel as of early August, with high-sulphur fuel oil and coal cheaper still, according to data from S&P Global Commodity Insights.
IEA’s view was echoed by Damien Courvalin, head of energy research at Goldman Sachs, who expects gas-to-oil switching to account for 1.5 million barrels a day of additional demand this winter, compared to a million barrels a day last year. Demand will come from the power sector as well as industries, he said in a Bloomberg interview.
The shift from gas is a setback in the global push for cleaner energy. Many countries turned to natural gas as part of decarbonisation efforts, as it’s the cleanest fossil fuel. Dirtier alternatives from coal to liquid fuel will make it more difficult for nations to reach their climate goals. “Restarting such plants will depend on just how well they were shut down and then maintained,” FGE’s Sawyer said. “Do not expect such plants to come on overnight.”
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Business Maverick: Stocks pare gains amid China data rate cut: markets wrapInvestors on Monday evaluated a surprise interest-rate cut by China to shore up an economy struggling with a property-sector slowdown and Covid-linked restrictions.
Read more »
Concerns voiced over Sasol Gas' intention to increase prices by 96% - SABC News - Breaking news, special reports, world, business, sport coverage of all South African current events. Africa's news leader.The Industrial Gas Users Association of Southern Africa (IGUA-SA) has voiced concern over Sasol Gas’ intention to increase prices by 96%.
Read more »
Fears grow that sugar industry woes will lead to price hikesThe industry was hit hard by the floods that devastated KwaZulu-Natal last ye
Read more »
SA’s unclaimed millions: BEE beneficiaries owed R167m in dividendsJSE says millions in stock cash unclaimed, with BEE beneficiaries particularly hard hit.
Read more »
Black agencies show cloutWith just 2% of the ad business, they are collaborating to get more of the work.
Read more »
A fan favourite wins the crown: Introducing Miss South Africa 2022 Ndavi Nokeri | ChannelThe newly crowned Miss South Africa, who also won the People's Choice award, will represent South Africa at the world's three most prestigious pageants – Miss World, Miss Universe and Miss Supranational.
Read more »