10/03/22 -"Energy Crisis 3.0"
Oil, gas and power markets get no respite as the risk of sanctions on the Russian energy sector squeezes an already tight supply. Given the inertia of the energy system, consumers have few alternatives to mitigate the higher prices. Demand destruction will have to come together with additional supplies before prices drop. Western companies are exiting Russia, enacting a fundamental shift in the European energy strategy. Akin to the ‘70s oil shock, the Ukraine-Russia war is the catalyst for a more resilient energy complex.
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