The oil crisis is entering an interesting stage.
It seems inevitable that the country will enter into a fuel crunch in about three weeks time as the ripple effect of the Iranian war fans out. We are currently still receiving tankers that were launched some time ago but their frequency will lessen. This appears to be inevitable and the only variable will be how long this will last for.
The Government has been missing. They keep pretending that things are ok and that we don’t have to worry. But their faith is misplaced.
It keeps making me wonder how Jacinda Ardern would handle it.
Her starting points would be that we have to look after each other and be kind to each other and make sure that no one was left behind.
She was on many occasions a centrist politician but her emotial responses to crises were always spot on.
But we have a right wing Government in power.
Their priorities and their thought processes are different.
Nicola Willis recently gave it away by describing an active Government as being “communist”. At the post Cabinet Press Conference she said:
The idea of communism in which the Government divides up the goods isn’t something that appeals to me, which is why I’m pretty determined to avoid us getting to phases three and four.”
Clearly she would prefer to leave it up to the market to fix matters. Sky high petrol prices will solve the issue seems to be what she believes.
But her optimism, that the market will see us through, is severely misplaced.
Trump’s war has resulted in about 10% of the world’s oil supply being disrupted. And the chances of this increasing as the State of Hormuz becomes more unstable are pretty high.
The current Government’s response is really underwhelming. Their lack of urgency is jarring.
And you get the feeling that they are going to be forced to eat humble pie.
Because during the last fuel related crisis, caused by the Ukraine war and exacerbated by Covid, they insisted blaming Labour for inflation, even though it was clearly caused by international events.
In 2022 Nicola Willis claimed that the Government “can’t simply blame these issues on overseas factors. It needs to front up and do its bit”.
And David Seymour is going to have to do the same. Back then he said:
The government has tried every avoidance measure in the book. They said ‘there’s no crisis,’ ‘there is a crisis but it’s happening to other countries too,’ ‘it’s happening to other countries and it’s transient.’ We clearly have a permanent and to some extent domestic inflationary problem”.
Meanwhile Labour Governments in other nations are highlighting how dire the situation is.
In Australia Anthony Albanese has addressed the Nation and he said this:
Now, it’s the Australian way that people want to do their bit – and there are simple ways that you can. You should go about your business and your life as normal. Enjoy your Easter. If you’re hitting the road, don’t take more fuel than you need – just fill up like you normally would. Think of others in your community, in the bush and in critical industries.
And over the coming weeks, if you can switch to catching the train, bus or tram to work, do so. That builds our reserves, and it saves fuel for people who have no choice but to drive. Farmers and miners and tradies who need diesel, every single day. And all those shift workers and nurses, who do so much for our country.
The months ahead may not be easy. I want to be upfront about that.
No government can promise to eliminate the pressures that this war is causing. I can promise we will do everything we can to protect Australia from the worst of it.
The Australian Government has announced that fuel excise duty would be halved for the next three months.
And in the United Kingdom Keir Starmer has said this:
The conflict in the Middle East has now entered a second month.
And while we are working at pace for de-escalation and peace, it is now clear that the impact of this war will affect the future of our country.
So today, I want to reassure the British people that no matter how fierce this storm [is] we are well-placed to weather it and that we have a long-term plan to emerge from it a stronger and more secure nation.
He then said this:
We have a five-point plan for the immediate crisis.
We’re cutting energy bills by over £100 per household today.
We’ve extended the cut in fuel duty until September, and we are monitoring that situation daily.
We’re supporting people exposed to heating oil rises – setting aside £53 million for that.
We’re taking back control of our energy security, by investing in clean British energy.
Because that is the only way we get your bills off the rollercoaster that is controlled by Putin and the Iranian regime.
And frankly, I am sick and tired of your energy bills fluctuating up and down because we are on the International Market…
…when if we took control of our energy and had home grown renewables, we could stabilise your bills.
And finally as I say, we continue to push for de-escalation in the Middle East.
Meanwhile Christopher Luxon is missing. No addressing of the nation, no policies to decrease fuel consumption and only limited assistance for working families and none for those relying on benefits.
There is no sense of crisis. The Government look like deer caught in the headlights. And their reluctance to do anything is going to cause them and the country a whole lot of angst in the near future.
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