Europe's roads have recently been covered by snow and ice and consequently grit and rock salt. Windscreens have been smeared and misted, and there have been thousands of minor crashes and collisions.
One driver, calling my local radio station, said that he had hit a lamp standard only yards after starting his journey because of the greed of the oil companies.
He reasoned that his windscreen washer wasn't working because it was frozen so he couldn't see where he was going. He couldn't afford expensive windscreen washer fluid because it contained antifreeze material made by the oil companies, and he wasn't going to add to their already overflowing coffers.
What was just as surprising was that several callers agreed with him.
The fact is that in most of Europe the oil companies are seen as villains. But what can the industry do about it? The upstream and downstream trade associations throughout Europe recently joined to prepare a document for consumers in Europe that showed the benefits of the industry.
The benefits
The document spells out that the European upstream industry:
- Supplies two thirds of energy now being used in Europe.
- The industry makes substantial tax contributions to every nation in Europe.
- Countries such as Norway and Scotland depend on the oil industry for the majority of their skilled jobs.
- Industry supports education initiatives in schools, colleges, and universities.
- Charitable donations from the industry run into millions of dollars each year.
The document also points out that the downstream industry provides the materials for the majority of consumer goods that are taken for granted and that in some countries the downstream sector is the biggest employer when associated businesses such as gasoline stations are taken into account.
Employment, taxes
The figures show that 1.9 million people in Europe work directly in the oil industry, 200,000 in exploration and production, 750,000 in services and supply, and 950,000 in refining and marketing. The indirect jobs involved are estimated to be over 1 million. In addition, the industry employs more college graduates in Europe than any other sector and supports large parts of the information technology and advanced materials industries.
Each year taxes on fuels in Europe yield revenues of $150 billion for governments, and oil and gas production taxes add another $10 billion/year to the tax take. Of the cost of fuel to the consumer, taxes total 75% on average in Europe.
Maybe if that driver had been hurt when he hit the lamp standard he would have been taken to a hospital-one probably largely paid for by taxes from the oil industry. There, his injuries could have been diagnosed by new x-ray techniques first developed in the oil exploration sector, and the drugs used to treat him could have been developed by a subsidiary of a petrochemical company.
His attitude to the industry might then be different-but probably not.
