Record oil profits highlight the long road to renewable energy
Despite global efforts to shift to renewables, U.S. oil producers are raking in record profits thanks to high prices and demand.
Rebecca F. Elliott reports for The New York Times.
In short:
- U.S. oil companies, recovering from the pandemic slump, are now seeing significant profits due to market forces and geopolitical events.
- Many oil companies have shifted strategies, focusing on financial returns by cutting costs and improving efficiency.
- Despite increasing renewable energy adoption, global demand for oil continues to grow, with the U.S. leading in production.
Key quote:
“We’re not going to get out of this business because supply was squeezed, because there’s plenty of it. We’re going to get out of the business because demand went down.”
— Samantha Gross, director at Brookings Institution
Why this matters:
This tug-of-war between old-school energy and the shiny new kids on the block highlights the tough balancing act of transitioning to a cleaner future. For now, Big Oil's got its foot firmly on the gas pedal, leaving us all to wonder how long this joyride can last. Read more: “Code Red” for climate means reducing US oil and gas production.
