Today, I read a news report that Saudi Crown prince Mohammed bin Salman has been boasting recently about how the Gulf nations are heading into an enormous era of prosperity over the next five years thanks to oil prices.

It was also reported that the International Energy Agency has predicted global demand for oil will increase this year by 3 million barrels a day while Russian oil production is expected to fall by 1 million barrels a day, creating a shortfall of 4 million barrels a day based on current production.

The International Energy Agency is said to have advised that there is some spare capacity but not enough. Therefore, oil prices are forecast to rise in the second half of 2023.

Global demand for oil increasing by 3 million barrels per day?

Why?

How much of a role does transportation play in the forecast increased demand?

With so many contrasting, if not conflicting, reports about the current status and future trends of renewable energy and fossil fuel use, it's very challenging to get a grip on what's really happening.