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Opinion / #electric vehicles
While tensions around the Strait of Hormuz are rattling global oil markets, energy security is no longer defined solely by access to fossil fuels. What China has understood, and Europe has not, is that security now depends on electricity systems that can deliver low-cost power at scale and support heavy industry.
Energy shocks expose Asia Pacific's gas gamble, as plunging battery costs and flexible demand tools emerge as cheaper, more secure alternatives to ‘transition fuel’ liquified natural gas.
A system built on renewables introduces new risks, as critical bottlenecks shift to refining, processing, and mineral-supply chains.
If the current war creates a prolonged oil crisis, there will be more downward pressure on oil use – and an equal acceleration in China of electric car production at home, with an associated surge in exports.
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