How Circular Plastics Economy is impacting long term oil demand growth?

摘要

FOR LONG term growth,the oil industry is shifting towards petrochemicals,as vehicle efficiencies and electrification made transportation a declining market. However,petrochemicals mostly means’plastics',which are now in the sustainability spotlight. Not only does the Oil & Gas industry see the Petrochemicals industry as an increasingly important source of demand,but as a path for its own diversification efforts. The public,environmentalists,brand owners,institutions and now governments are taking steps to this growing wave of negative perception of plastics caused mainly by their improper disposal after use. The reaction to their environmental impact has been to increase efforts to reduce,ban plastics and/or increase reuse and recycling. How does that impact the potential for chemicals to be the vehicle of long-term oil demand growth? Issue with Plastics: It is a big challenge to resolve this increasingly sensitive and complex issue. The initial point to understandingthe implications for natural resources and the environmental consequences of shifting away from plastics must be: what can replace Plastic? It is necessary to review the entire supply chain,in order to solve the issue of environmental impact. Plastics are the first choice for many as they are cost effective and efficient,as well as searching a replacement for their many uses is going to be problematic,complicated and expensive requiring a commitment from the brand owners,public and governments. But this will take time.