“EU green energy law added 47 euro cents a barrel to costs for Europe’s refineries, according to European Commission research made public on Monday.”
That’s the headline from this article.
This is a tough pill for the EU to swallow, so their scientific unit is forced to try and temper this with other arguments;
“The cost impact is visible. It’s significant, but there are other factors,” Ruslan Lukach, a scientific policy officer from the Joint Research Centre (JRC), the European Commission’s scientific unit, told a refining industry seminar.
The Commission itself tries to justify;
“Between 2000 and 2012, the Commission has said EU energy costs rose roughly four-fold, compared with a doubling elsewhere in the world, where prices were held back by the rise in shale production.”
… what he means is prices in Europe have rocketed due to EU environmental taxes, a head-long rush into uneconomic renewables needing subsidies to make them viable, a drive to close coal fired power station that produce some of the cheapest energy in the world, and paralysis of the EU shale gas industry due to in-fighting, pressure from lobby groups and vested interests arguing over whether it is safe or not.
But the Oil industry won’t be fooled;
Industry says the impact of regulatory costs in the European Union will become much more marked.
Between 2010 and 2020, it anticipates EU law will generate additional costs of $2.50 to $4 per barrel of oil processed, which could be the difference between a refinery continuing to operate and being forced to close, Murano said.
So the EU claims to be worried about the security of supply of energy and over-reliance on gas from Russia but at the same time continues to drive the European refining industry to the brink of collapse.
Meanwhile, as I reported in my previous post, refiners in places like South Korea are running at near-record highs.
Just another reason why the UK would be #BetterOffOut.