Navigating through the energy transition

IHS Markit’s Olivier Maronneaud looks at the effects of the energy transition on oil products, petrochemicals and subsequently tank storage companies the last 24 months and the COVID-19 pandemic has been an unprecedent period in many respects. For the first time in decades – except during war times – governments around the world have imposed restrictions or closed borders, limiting domestic and international travel for holidays or business. Fortunately technological improvements have allowed many of us to work from home, avoiding daily commutes on public transportation. Numerous products, markets and companies have been negatively impacted by these major disruptions and crude oil has probably been one of the most severely impacted commodities. With around two third of global demand for crude oil linked to transportation and mobility (as fuel into cars, trucks, planes, or vessels), consumption fell dramatically. According to IHS Markit research, global demand for refined products dropped by around 15% in 2020 compared to 2019, back to a level last seen in 2005/06. Tank storage companies handling bulk liquids were able to navigate relatively well during this period....