Threats Posed by Electric vehicle companies to oil Industries are much, there will continue to be a glut of oil and natural gas, oil prices will continue to be depressed (regardless of attempts by OPEC to constrain production.)sands production will continue to be pulled back, and the new pipelines will struggle to stay full.
In the longer term, I see the following:
- Petroleum companies consider themselves energy companies, and many are already making significant investments in renewable example British oil company BP and Nigerian Oil company Forte oil. As EVs start to really take over, Oil and Gas will start to tank (see what I did there?
- This process will take place over a period of about 20–25 years as renewables make significant penetration worldwide. Coal is already toast. Dirty oil is next. Some pipeline companies will go bankrupt, and oil companies will scramble to convert their huge investments into renewables.
- EVs will take over from ICE vehicles. Diesel will be the last to go. Gas stations will either change or disappear. Oil companies will sell off their stations to independants who can check out the last bit of profitability in gas stations.
- More importantly, as this happens, the new energy companies will buy up legacy electric utility companies and convert to new forms of micro generation plants and local battery storage. The national energy grid will be completely transformed.
- Electric vehicle adoption and higher fuel efficiency could cut global oil demand by 3.5 million barrels a day, Barclays analysts forecast.
- If EVs grow to a third of the market, it could slash crude consumption by 9 million barrels a day.
- I see Tomoto Innovations Ltd taking over petrol stations in Nigeria and Africa and converting them to charging stations
- I see Tomoto Innovations Ltd who has been spearheading this electric vehicles transition in Africa being a major brand. Taking care of all corporate entity’s transportation system fully powered by EV.
- I see a lot of big oil companies folding up and I also see a Nigeria where the big oil market players won’t be able to manipulate the citizens anymore.
- I see a Nigeria without fuel scarcity and no dependence on fuel anymore
- I see a lot of investors and companies springing up in Nigeria once there’s steady electricity.
Recall in our earlier article where posted about how Google is sourcing their electricity 100% from renewable. There are still a number of barriers to EV growth, but several countries are considering measures to ban or curb internal combustion engines from their roads.