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US President Joe Biden called on top G20 energy-producing countries with spare capacity to increase production to ensure a stronger global economic recovery, amid a broad effort to pressure OPEC and its partners to increase oil supplies.
With oil and gas prices soaring, some producing countries like Russia and Saudi Arabia have not boosted production enough to satisfy largely consumers concerned about energy shortages and inflation.
According to Reuters, French President Emmanuel Macron echoed those concerns in an interview with the Financial Times, urging the leaders’ summit to push for better “price visibility and stability” to avoid undermining the global economic recovery. post-pandemic.
Skyrocketing natural gas prices, with the European benchmark index rising nearly 600% this year, have been driven by low inventories and growing demand.
A senior US administration official said after the G20 session that energy-consuming nations had started discussing what they can do if OPEC and its partners don’t do more.
The official told a reporter that “we have to be able to speak privately with partners to think about what tools we have available to deal with this in case OPEC + does not intensify and increase production.”
Russia, a major supplier of natural gas to Europe, and its energy giant Gazprom are being asked to do more to lower prices on the spot market. “This is a delicate time in the global economy, and the important thing is that global energy supplies keep pace with global energy demand,” another senior Biden administration official said before the meeting.
“There are important energy producers that have spare capacity and we are encouraging them to use it to ensure a stronger recovery and sustainable around the world ”.
That official claimed that G20 leaders would not specifically target the Organization of the Petroleum Exporting Countries (OPEC), which includes Saudi Arabia, nor would they set targets for energy production. Russian President Vladimir Putin did not travel to Rome for the summit.
In recent months, both in Europe and in the United States there have been increases in energy, either gasoline or natural gas, a reason that has alerted the main leaders of the world, especially because in many countries the winter season requires that it be guaranteed the supply of energy so that the population does not have shortages.
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