Oil Industry Fighting Back

Plans to build charging stations across the country are being crushed by groups backed by industry giants like Exxon Mobil and Koch Empire. According to utility commission filings, these groups have challenged electric companies’ across the United States. Electric utilities are seeking approval on building charging networks in locations such as shopping centers and rest stops across the nation. Whereas the petroleum sector, represented by multiple trade associations and industry-funded political groups, and consumer advocates say they should not have to pay for these services. Stating, their customers will have to pay for the investments helping utilities “pad” their balance sheets. Fossil fuel interests control about 90 percent of the transportation fuel market in the U.S. but are feeling more and more pressure from the electric wave.


Utility companies suggest that the cost of charging stations would be marginal for consumers. Stating as people embrace electric vehicles, the cost of building these charging stations will be offset by the demand for more power.

By 2040, electric vehicles could make up as much as 40 percent of the U.S. passenger vehicle fleet and 60 percent of sales, up from 2 percent of sales today, according to Bloomberg New Energy Finance. That would erase demand for more than 3 million barrels of oil a day — or more than 20 percent of current transportation consumption. Electric vehicles are not only affecting the oil sector but also the auto industry. Car dealerships make much of their revenue off servicing gasoline-powered engines. Many issues will remain with the continuing change to electrical vehicles. Will there be enough chargers to fuel the growth? Will the American people be able to afford electric cars? With the doubt of gasoline-powered vehicles holding the market, how will this affect the oil demand across the United States? The battle between Electric and Oil will continue over time. Electric vehicle manufacturing will continue to increase but Oil-based cars will continue to evolve as well.



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