G7 communique urges greater energy conservation

Since the oil price started moving past $30 a barrel in earnest almost two years ago, policy makers from the seven leading industrialised economies have been calling on producing countries to step up output.

At the weekend, spurred by concerns that soaring oil prices might soon start to retard growth, they also put forward a plan to slow the rise in energy demand.

“The communique has correctly identified the problems but many of the solutions do not lie in their control,” says Michael Lewis, head of commodities research at Deutsche Bank. The ministers identified seven moves necessary to bring prices under control:

Financial Times