The once insatiable global demand for gasoline is unlikely to return to pre-pandemic levels, according to a relationship of the International Energy Agency.
Gasoline consumption has literally plummeted during the pandemic. Cities went into lockdown and many people started working from home, a trend that will likely continue even as the COVID-19 crisis eases. Many governments have also pushed for low-carbon alternatives, the UK one above all.
What about oil?
The demand for oil always says the IEA, should continue to grow (for me not even that) driven by developing countries and their growing populations. However, it is not expected to return to pre-pandemic levels until 2023.
Gasoline demand is unlikely to recover. Very unlikely. Increased demand in developing countries will be offset by consumers switching to electric vehicles, manufacturers improving fuel efficiency and companies increasing smart working.
Meanwhile, prices are rising everywhere
Meanwhile, i gasoline prices are increased. Italians pay about 5% more per liter than in February and 20% more than in February a year ago, source the newborn MITE, Ministry of Ecological Transition.
A mini peak that explains a few things for the present, and many more for the future. It was caused in part by storms in Texas that knocked out power to millions of residents and knocked out several oil refineries. The price of gasoline, as a result, was also boosted by oil prices rising alongside expectations of economic recovery as coronavirus vaccines are distributed.
