Extreme Heat Fast Becoming a Threat to Global Fuel Security
- Hot weather creating ‘huge problems’ for refineries: Trafigura
- Impact is magnified by under-investment and aging facilities
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Searing temperatures from Texas to Tokyo over the summer are the latest reminder of a growing headache for the energy system, as extreme heat becomes a threat to fuel supply.
In addition to causing spikes in electricity demand as people fire up air conditioners, the scorching temperatures have led to a spate of disruptions at oil refineries. That’s helped keep US gasoline prices elevated and saw diesel cost increases easily outpace those for crude. This summer was particularly grueling: July was the world’s hottest month on record, following the hottest June.