fbpx

Why Is Elon Musk, Owner of Tesla, Asking for More Gas and Oil?

Elon Musk, owner of the company that sells the most electric cars in the world, is calling for more oil and gas exploitation.

Elon Musk

Photo: IG-elonmusk.ab

LatinAmerican Post | David García Pedraza

Escucha este artículo


Leer en español: ¿Por qué Elon Musk, dueño de Tesla, pide más gas y petróleo?

It has caused global interest to know why Elon Musk asks for more gas and oil, since, in theory, it does not represent any benefit for the interests of the CEO of Tesla and founder of SpaceX. However, by carefully analyzing this opinion, an adequate explanation can be found for Musk's reasons for issuing this warning about the need to increase production in these areas.

There are some arguments why Elon Musk has talked about increasing oil and gas production levels.

The war in Ukraine and Russia's dependence on energy

When Elon Musk refers to the current extraordinary times, he is referring to the difficult situations that the world is experiencing right now, such as the war in Ukraine and the energy and hydrocarbon dependence that many regions have, including Europe with Russia. Every time the number of countries that establish a policy of not doing business with Russia is greater, both the prices of gas and oil derivatives will increase considerably.

You can also read: Why Is There a Fear of a New Real Estate Bubble?

Some experts have insisted that US oil producers implement measures to increase their production. However, at present they have to battle against the limited availability of workers and necessary equipment. For this reason, there is not much probability that they will be able to cover that deficiency.

Transition from Gas and Oil to Renewable Energies

Elon Musk's position is quite surprising, since he is one of the most important figures in the field of sustainable energy. However, he has recognized that this transition process may take several decades to complete.

Musk added that it will not be a simple task to adjust the functioning of economies to renewable energy. In other words, the full use of electric car technology will not be achieved immediately, but will be achieved gradually.

By December 2021, the global market share of electric vehicles was 9%. Although it should be taken into consideration that there is a marked imbalance in the penetration of electric mobility in different regions.

Europe, China, and the United States have achieved a notable increase in sales of electric cars. But in other regions, which are developing, the adoption of this type of mobility is still minimal.

In any case, the tycoon's projects are progressing progressively, even a Tesla mega factory has already been inaugurated. For him, this transition to renewable energy and a sustainable economy is one of the greatest challenges facing humanity right now.

Gas Requirements for the Company SpaceX

It cannot be said that oil and gas do not have any importance in Musk's plans. Especially when it was reported last year how SpaceX wanted to start drilling for natural gas on land, in the vicinity of its Starship facility in Texas. The most compelling reason is that electrical energy is not capable of making Musk's rockets take off.

Elon Musk and Fossil Fuels

In the past, Musk has taken critical stances against energy from oil and gas. It has even gone so far as to call on the public to carry out a revolution in order to counter the huge propaganda campaign put forth by the fossil fuel industry.

Therefore, seeing Musk change his position in this regard and now ask for more gas and oil is noteworthy. He continues in his hard work to continue building electric cars and solar panels to achieve a greener future. His ambiguous attitude provides a sign of how serious the current situation can become.