On ration?
There is a threat of a greater shortage of diesel, partly because of declining supplies from Russia to the West. That is what the CEO of oil trader Vitol says The Financial Times†According to him, it is possible that Europe will have to use diesel on a ration.
It is still possible with the already high fuel prices: there is a threat of an increased shortage of diesel. Vitol CEO Russell Hardy warns about this. According to Hardy, a “systematic decline” in diesel supplies from Russia is being anticipated as a result of the sanctions imposed on the country after the invasion of Ukraine.
Europe relies heavily on Russia for off-the-shelf diesel: “Europe imports half of its diesel from Russia and half from the Middle East,” said Hardy. That does not mean that Russian diesel also accounts for half of total diesel consumption, because that is only about 15 percent. After all, a lot of crude oil is also imported from which diesel is made here in Europe. Still, the 15 percent at risk is cause for concern, according to Hardy. Increasing production by refineries may have a soothing effect, but he believes there is a real chance that Europe will have to use rationed diesel.
There is a good chance that the price for diesel will rise even further as a result, and then a new scenario will emerge. Namely that the diesel price here in the Netherlands exceeds that of petrol for the first time. It was warned about this earlier this month.
– Thanks for information from Autoweek.nl