Sufficient oil for decades

Publication date: 12 March 2009

Sufficient oil for decades

Adopting a report by Herbert Reul (EPPED, Germany), on 11 March, MEPs note that there is sufficient oil for coming decades. The non-legislative report, effectively a joint EPP and PES resolution, was adopted by 471 votes in favour, 190 against and 16 abstentions.

MEPs also express doubts as to first-generation biofuels being a substitute for oil. They call for increased research into synthetic fuels as well as more financial support from member states for investment in alternative energy. The Reul report further notes that EU dependence on oil imports will reach 95% by 2030, with conventional oil reserves increasingly concentrated in a small number of countries.

Speaking before the plenary, Reul stressed the importance of oil for Europe’s future energy supply. “It is clear that oil will be a very important primary energy source in the EU in the middle and long term,” said Reul. He also pointed to the investments needed in the oil industry, estimated at some US$350 billion per year. There must also be increased technological development and research in order to make the most of known reserves. “We must increase efforts to make non-profitable oil reserves profitable,” said Reul. “That would be a contribution to diversification.” The report also notes the exclusion of oil pipelines from the Trans-European Energy Networks (TEN-E). MEPs call for oil infrastructure to be included in TEN-E, notably the Odessa-Gdansk and Constanta-Trieste oil

pipelines. MEPs want greater monitoring of competition in the oil sector as well as measures to avoid bottlenecks in extraction, transport and refining. Dialogue with producing countries should be stepped up a level.

Source: Europolitics