Could We Survive Without Oil? Saudi Prince Thinks It's Possible!
As cabinet approves sweeping economic reforms, prince Mohammed bin Salman says they will reduce reliance on hydrocarbons.
“I think by 2020, if oil stops, we can survive,” he said in an interview on national television. “We need it, we need it, but I think in 2020 we can live without oil.”
In its submission to the UN climate deal signed in New York last Friday, the Gulf state said its economic diversification plans would cut 130 million tons of CO2 equivalent a year by 2030. Under the proposal, the Middle Eastern kingdom will float part of national oil firm Saudi Aramco on the stock exchange and diversify its investments.
“The world’s reliance on OPEC oil, especially the production of Saudi Arabia, is in a clear and continuous decline,” he wrote on his Twitter site.
“Our country is facing a threat with the continuation of its near-complete reliance on oil, especially as 92% of the budget for this year depends on oil. It is necessary to diversify sources of revenue, establish a clear vision for that and start implementing it immediately.”
The Prince also called on King Abdullah to increase investments in renewable energies and reduce domestic demand for oil.
Saudi Arabia is the world’s second biggest oil producer, filling 12.5 million barrels a day that account for 12.9% of global production.
“They realise their strength is always going to be in their oil production,” said Browning Rockwell, executive director for the Saudi Arabia Solar Industry Association called Saudi Arabia.
“They also realise that as their domestic economy grows and their population grows, more and more of that oil is being consumed domestically [rather than exported]. Renewables makes sense.”
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