No one could ever thought that electric cars will one day replace the gasoline cars. It is crucial to note here that over decades, electric power has been in great use due to the changes that are there in technologies. There is decline in the gasoline demand in countries that are relying on tech. Since lots of people are nowadays demanding electric cars, it is an indication that there will be change in long term oil price forecast and you can check it out!
The effect of the ongoing global pandemic gives a clue on long term oil price forecast that in the coming three years the prices will double. However, since by 2025 the demand for electric cars will be high, the prices will be uncertain. The ban that has been issued by the UK government of gasoline cars by 2030 helps in predicting the future price of oil view here!
There are also short term factors that makes the prices to rapid increase such as the economic development, oil supply and political events.
Experts have predicted that electric cars will attain the cost parity by 2025 with gas powered cars. The competition on pricing is high and this is causing tension to most car manufacturing companies. Amazingly, the electric cars are capable to save a lot on cost since they spend less than half cost for the distance covered by the gasoline cars. There are countries where the price of gasoline is quite high and with that concern the demand for electric cars is at the peak. You can view here to find out the impact of electric cars on long term oil price forecast.
Sustainability is well considered here as more cars such as BMW i3 are buying up the idea. The demand for electric cars has increased since these cars are good when it comes to sustainability and also cost effective. This idea of sustainability has influenced oil companies to buy electric charging companies since by years the oil will be extinct.
The global use of electricity by 2040 is believed that will come from renewables, you can check this site. There are countries that use solar power which is cheaper as compared to fossil fuel power. There is need to do research on the cost of production that seems to be reduced as that helps a lot in decision making and price estimations.
The electric cars are encroaching the market and this is a threat to gasoline cars as this will have an impact on the long term oil price forecast that the prices will decline as the global embrace electric cars.