I have just picked up on news that Russia has banned the export of diesel. This has been picked up in the Shipping trade press. My initial thoughts are the UK probably isn't buying diesel from Russia any more? But one thing is certain, Russian oil is responsible for making a lot of diesel. It is a heavier oil than North Sea oil and contains a high proportion of the diesel and kerosene fractions. It is likely that the price of both heating oil and diesel will climb on the markets this coming week. Those with oil fired heating will likely have filled their tanks by now, ouch if you haven't!
Of course there could be a spin off making EVs and second hand EVs more attractive. Folks who have been tempted to remain with their fossil fuel cars because electricity seems so expensive might get their fingers burnt this time. Diesel is already more expensive than petrol, let us wonder how much more the differential will grow? And over the last 12 months rail freight operators ditched electric traction for diesel because it was cheaper (they won't be worried about excise duty and VAT) and some older but serviceable electric engines have been sold to Bulgaria. I suspect that there will be a hurry back to electric traction. A diesel engine can consume 25 litres an hour just idling at signals, though it can also haul 2,000 tons of aggregate the equivalent of about 60 lorry loads!
Of course there could be a spin off making EVs and second hand EVs more attractive. Folks who have been tempted to remain with their fossil fuel cars because electricity seems so expensive might get their fingers burnt this time. Diesel is already more expensive than petrol, let us wonder how much more the differential will grow? And over the last 12 months rail freight operators ditched electric traction for diesel because it was cheaper (they won't be worried about excise duty and VAT) and some older but serviceable electric engines have been sold to Bulgaria. I suspect that there will be a hurry back to electric traction. A diesel engine can consume 25 litres an hour just idling at signals, though it can also haul 2,000 tons of aggregate the equivalent of about 60 lorry loads!
