https://www.city-journal.org/ukraine-war-and-the-new-shale-revolution
Elon Musk is back in the news. In a tweet heard ’round the world, he stated a simple truth related to the Ukraine war: “Hate to say it, but we need to increase oil & gas output immediately.” The analogous truth—hate to say it—is that the Biden administration is right: banning and sanctioning Russian oil and gas exports is the wrong answer, even if it becomes politically necessary at some point.
Acknowledging these truths won’t change the tragic course of events unfolding in Ukraine. But naivete about energy realities is what robbed the U.S. and its allies of important “soft power” options and helped finance Russia’s aggression. In the near term, our choices are limited, but continuing down the same energy path is a formula for yet more problems in the future.
The fact is, exhortations aside, the world cannot easily, overnight, walk away from Russian energy. Europe gets 25 percent and 40 percent, respectively, of all its oil and gas from Russia. For Germany, the shares are 35 percent and 70 percent, as well as 50 percent of its coal needs.