Ethanol Has OPEC Publicly Concerned

OPEC is caught between a rock and hard place. On the one hand, if they keep prices high like they have become accustomed to, the rest of the world will continue its quest for alternative sources. Should they ramp up production to bring prices down in an attempt to make biofuel’s cost prohibitive, their wallets suffer. What to do?

I think if anything, this is proof positive that oil production is currently at a peak level. If OPEC could, it would flush the world with oil, dampen its desire for alternative sources and make them less profitable. The fact that they haven’t means they can’t.

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