CIBC’s former chief economist Jeff Rubin has touted peak oil for years, and his price estimates have been dead on. Lately, he predicted $225 oil by 2012 and rising.
But don’t blame peak oil on the U.S., where Rubin says consumption has peaked, or even China. Once again, blame OPEC.
“Last year OPEC, Mexico, and Russia consumed 14 million barrels a day of oil — two Chinas!” Rubin railed at a recent speech.
“Have you ever filled your tank up in Caracas or Riyadh? If you did, you’ll soon know. It’s 25 cents in Caracas, it’s about 50 cents in Saudi Arabia, but the point is it’s 50 cents whether oil is $20 a barrel or whether oil is $200 a barrel, because that’s just the way things are over there. OPEC is a very disparate place separated by history, religion, geography, but there’s one common denominator: everybody has a God-given right to consume as much cheap fuel as they bloody well feel like it.” (see 10:30)