(Natural News) A co-founder of one of the world’s largest investment firms says that the global energy crunch is getting worse and liable to become so bad it will lead to major social unrest.
Blackstone Inc. co-founder Stephen Schwarzman said the world faces a “real shortage of energy” at the fifth edition of the Future Investment Initiative in Riyadh, Saudi Arabia on Tuesday, according to Bloomberg News.
“We’re going to end up with a real shortage of energy,” he said. “And when you have a shortage it’s just going to cost more and it’s probably going to cost a lot more. And when that happens you’re going to get very unhappy people around the world, in the emerging markets in particular.
His warning was repeated by BlackRock Inc. Chairman Larry Fink, head of the world’s largest asset management company, who speculated that oil would once again reach $100 a barrel though many governments are attempting to divest from fossil fuels.
“Inflation, we are in a new regime,” said Fink. “There are many structural reasons for that. Short-term policy related to environmentalism, in terms of restricting supply of hydrocarbons, has created energy inflation and we are going to be living with that for some time.”
Surging energy prices are currently playing out across the globe, with several European countries facing soaring energy bills amid a rise in commodities such as oil, natural gas, and coal.
Gas prices rose by more than 35 percent in September amid lower supplies of natural gas and a surge in demand as pandemic-hit economies around the world reopen, prompting fears that there is simply not enough gas stored up for the winter if temperatures were to be particularly cold in the northern hemisphere.
Lackluster output from Europe’s windmills and solar farms and maintenance work taking nuclear generators and other plans offline have also contributed to the energy price hike.
Under President Donald Trump’s policies, the U.S. became energy independent for the first time in half a century. What’s more, America became a net energy exporter of liquified natural gas, but no sooner than Joe Biden took office and began signing a flurry of executive orders undercutting all of Trump’s progress, the U.S. is facing shortages again as well.
“According to the Energy Information Administration, the level of gas in U.S. storage was 7.4 percent below the five-year average in September and 16.8 percent below the level at the same time last year,” The Epoch Times reported.
Meanwhile, as supplies dwindle, prices are skyrocketing: Average prices at the pump are more than $1 higher than they were this time last year and that is just an average; in some parts of the country, prices are $2-$3 higher, which is essentially nothing more than a new tax that will hit working families the hardest.
Oil is now set to outpace copper by the largest amount since 2002 and is set to have the biggest margin in more than a decade as per Dow Jones Market Data. Similarly, natural gas is also outpacing other commodities.
The persistent rise in crude shows the extent to which traders can expect weak supplies to buoy prices, so they lift fuel costs for consumers and businesses. Energy supply shortages are also slowing factory activities around the world and contributing to the rise in inflation, which has sparked volatility in U.S. stocks in the past weeks.
As much as the Biden regime has bought into the climate change hoax, American consumers can expect to continue paying higher prices for their energy. In fact, the regime wants to begin relying more on unreliable ‘green’ sources like windmills and solar, despite Europe’s failing experiment with those forms of ‘energy.’
And let’s face it: If Americans are hit with energy shortages this winter, there will be unrest.