timbop
Well-Known Member
- First Name
- Tim
- Joined
- Jan 3, 2020
- Threads
- 63
- Messages
- 6,741
- Reaction score
- 13,783
- Location
- New Jersey
- Vehicles
- Solar powered 2021 MME ER RWD & 2022 Corsair PHEV
- Occupation
- Software Engineer
Over the next 5 years BEVs will not make a dent, so gas prices will at the least go back to where they were. In the long run, of course that will change and there will be disruption in the oil industry. The infrastructure, development projects, and overhead aren't going to decrease despite demand. In fact, now that the fracking industry is collapsing and smaller players being bought up, the bigger companies will have more of a monopoly. All of the infrastructure cost amortized over fewer customers combined with collusion/monopolistic behaviors at the top will ensure prices do not drop significantly. Just like new industries have to reach a critical mass before prices suddenly drop due to economies of scale, the reverse is also true. As gas stations close and new drilling projects get cancelled/go unfunded, the supply will decline more quickly than the demand.
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