Falling oil demand from the world’s developed nations (OECD nations) has terrified the organisation of Petroleum Exporting Countries (OPEC). They’ve just maintained previous oil production restrictions.FTAlphaville: The Organisation of Petroleum Exporting Countries meeting in Luanda, Angola, agreed on Tuesday to leave oil output curbs unchanged, while calling for greater compliance with existing output targets.
OPEC: The Conference observed with great concern that, whilst the worst of the recession appears to be over, the world economy remains confronted with the deepest, most wide-spread contraction since the 1940’s. For the first time since the early 1980’s, world oil demand has declined for the second, successive year.
This chart, via FTAlphaville, shows exactly what keeps OPEC up at night. One benefit of the past crisis and high oil prices is that the developing world has beeen spurred to use oil more efficiently and seek alternative forms of energy.
[image url="http://static.businessinsider.com/image/4b31054e000000000065edf0/image.jpg" link="lightbox" caption="" source="" alt="Demand" align="left" size="xlarge" nocrop="true" clear="true"]
Meanwhile, OPEC’s only hope is this chart below. Which makes it clear why OPEC attended the recent Copenhagen conference. Emissions control for developing nations could destroy oil demand’s final growth driver.
[image url="http://static.businessinsider.com/image/4b31055900000000008c64ea/image.jpg" link="lightbox" caption="" source="" alt="Demand" align="left" size="xlarge" nocrop="true" clear="true"]
Leadership Nigeria: According to Algeria’s Minister of Mines and Energy, Chakib Khelil, the carbon taxes discriminate against energy producing countries. Khelil said that the cartel was united in opposing the taxes.
He said carbon taxes would cut into the revenues of energy producers and make energy imports more expensive for developing countries.
“The producers will be penalised. “This tax is discriminatory with regard to gas and oil and is not in the interests of producing countries and is also not in the interest of developing countries,” said Khelil, a former OPEC president.