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The fact is, Norway drills and exports more oil per capita than Saudi Arabia.[1] Their wealth and ability to buy electric cars at home is largely dependent on
by georgeg23 3y ago
The fact is, Norway drills and exports more oil per capita than Saudi Arabia.[1]
Their wealth and ability to buy electric cars at home is largely dependent on that massive oil income. They don't refine oil locally and would have to buy back gasoline, so electric cars still make economic sense too.
Norway is a beautiful country that the rest of the world often tries to emulate, but their economy is rooted in a darker side.
[1] https://www.nationmaster.com/country-info/stats/Energy/Oil/Production/Per-capita https://www.nationmaster.com/country-info/stats/Energy/Oil/P...
- ubercore 3y agoBest I can find is about 17% of GDP in Norway is from Oil and Gas. While that per capita number is high, it's not Saudi Arabia levels.
- dmoy 3y ago> Best I can find is about 17% of GDP in Norway is from Oil and Gas. While that per capita number is high, it's not Saudi Arabia levels. Per capita doesn't mean % of GDP though. It means relative to the population. Norway exports like $50B / yr of petroleum (and another $120B of natural gas). Saudi Arabia exports like $170B / yr of petroleum. Saudi Arabia population is like 7x larger, so per Capita oil and gas is larger in Norway even if you subtract out all the natural gas.
- ubercore 3y agoRight I'm just suggesting per capita isn't necessarily the best way to talk about how important oil is to Norway's economony.
- swexbe 3y ago1. Make $100 from selling oil. 2. Use the money to buy other local services. There, now your GDP is just 50% oil.
- magicalhippo 3y agoWhich is why we don't do that[1]. [1]: https://www.regjeringen.no/no/tema/okonomi-og-budsjett/norsk_okonomi/bruk-av-oljepenger-/handlingsregelen-/id444338/ https://www.regjeringen.no/no/tema/okonomi-og-budsjett/norsk...
- JumpCrisscross 3y ago> Norway is a beautiful country that the rest of the world often tries to emulate, but their economy is rooted in a darker side Would the world be better off if Norway drilled no oil and ran its energy like everyone else?
- epups 3y agoIt would arguably be less warm at least.
- goodoldneon 3y agoYes, because the price of oil would go up and there'd be more incentive to reduce oil consumption
- jstanley 3y agoDoes that necessarily make the world better off overall though?
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- georgeg23 3y agoConsider the opposite, if every person produced oil at the rate of a Norwegian, then global oil production would be 50x higher than today. In that world we'd be lighting barrels of oil on fire for fun.
- JumpCrisscross 3y ago> if every person produced oil at the rate of a Norwegian, than global oil production would be 50x higher than today But if every person travelled like a Norwegian, oil demand would be down. Extrapolating per capita mechanics of a small country like this doesn't make sense.
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- NicoJuicy 3y agoNorway is one of the least dense considering population per km2 and with 80% of them living around big cities together with their resources, not many countries would be able to replicate similar statistics. Perhaps check Siberia per population as a fair reference.
- sbt 3y agoCost of production is much higher in Norway than in Saudi.
- rlkf 3y ago> They don't refine oil locally and would have to buy back gasoline There is a refinery at Mongstad capable of processing 10 mill. tons of crude oil per year. It could have provided all the gasoline used in Norway, but probably not all the diesel. More relevant is probably that there is a significant hydroelectric production, so there is no need to use petroleum to generate the electricity for the cars.