Saudi official warns of possible further hike in oil prices
The world could cope within "two to three years" another spike in oil prices similar to that observed in 2008, Oil Minister of Saudi Arabia Ali al-Naimi said on Monday. Al-Naimi said a meeting of Group of Eight ministers in Rome that the high price scenario was likely unless the investment in new capacity expansion are made. "
The Oil Minister of Saudi Arabia, the world's top oil exporter, made the remarks in a speech during an afternoon session at the Rome meeting on Energy Security and Investment for Sustainable Development.
He said once the world recovers from the current economic crisis, "the combination of a growing world population and the desire Pent prosperity of developing economies, growth willdrive the need for energy supply in coming decades" .
Despite efforts to find alternative energy sources, many of them still depend on fossil fuels, said Al-Naimi.
The Rome meeting of two days ending on Monday is to bring together representatives of G8-United States, Japan, Germany, France, United Kingdom, Italy, Canada and Russia.
Monday was also attended by energy officials are emerging economies such as Brazil, China, Egypt, India, Saudi Arabia and South Africa.
Monday preceding the meeting participants said a senior official of the International Monetary Fund that the recent rise in oil prices signal the feeling that the longer period of global economic decline is over. "
Oil prices in recent weeks have risen to about $ 60 a barrel "which reflects an overall improvement, including the growth of China" can pick up, "IMF First Deputy Managing Director John Lipsky said.
He said the price rise was built "on expectations that the contraction in oil demand in May down very soon."
Lipsky urged policymakers to find ways to reduce the volatility of oil prices and their impact on the global economy.
"The rapid evolution of oil prices are bad for global growth and the global economy and financial stability," he said. Policy makers must "address the major factors behind the large swings in oil prices."
The need to safeguard global energy security, as a tool to promote global economic recovery has reached the Rome meeting on the agenda, along with discussions onnew clean technologies to improve energy efficiency and reduce greenhouse gas emissions greenhouse.
On Sunday, participants heard estimates of the International Energy Agency (IEA) estimates that global electricity consumption is expected to contract by 3.5 percent in 2008, the first decrease since records began after the Second World War.
[Source]
The Oil Minister of Saudi Arabia, the world's top oil exporter, made the remarks in a speech during an afternoon session at the Rome meeting on Energy Security and Investment for Sustainable Development.
He said once the world recovers from the current economic crisis, "the combination of a growing world population and the desire Pent prosperity of developing economies, growth willdrive the need for energy supply in coming decades" .
Despite efforts to find alternative energy sources, many of them still depend on fossil fuels, said Al-Naimi.
The Rome meeting of two days ending on Monday is to bring together representatives of G8-United States, Japan, Germany, France, United Kingdom, Italy, Canada and Russia.
Monday was also attended by energy officials are emerging economies such as Brazil, China, Egypt, India, Saudi Arabia and South Africa.
Monday preceding the meeting participants said a senior official of the International Monetary Fund that the recent rise in oil prices signal the feeling that the longer period of global economic decline is over. "
Oil prices in recent weeks have risen to about $ 60 a barrel "which reflects an overall improvement, including the growth of China" can pick up, "IMF First Deputy Managing Director John Lipsky said.
He said the price rise was built "on expectations that the contraction in oil demand in May down very soon."
Lipsky urged policymakers to find ways to reduce the volatility of oil prices and their impact on the global economy.
"The rapid evolution of oil prices are bad for global growth and the global economy and financial stability," he said. Policy makers must "address the major factors behind the large swings in oil prices."
The need to safeguard global energy security, as a tool to promote global economic recovery has reached the Rome meeting on the agenda, along with discussions onnew clean technologies to improve energy efficiency and reduce greenhouse gas emissions greenhouse.
On Sunday, participants heard estimates of the International Energy Agency (IEA) estimates that global electricity consumption is expected to contract by 3.5 percent in 2008, the first decrease since records began after the Second World War.
[Source]
