The growth of solar energy and electric vehicles is reducing the need for oil as a source of energy. China is producing fleets of electric buses that will be used domestically and available for export. Transport trucks can be retrofitted to run on LNG. This use of alternate energy will result in an oil glut, and oil that is expensive to produce, such as Canada’s oilsands and heavy oil, will be the first to feel the pinch.
Meanwhile, the cost of production of a barrel of crude in Saudi Arabia is about $9, and they have access to a world market.
Which raises the question: Will Canada even be able to ship enough oil to pay for the pipeline to the west coast?
https://thestarphoenix.com/opinion/columnists/cuthand-the-future-lies-beyond-oil-and-gas-dependence