A global backlash against nuclear power in the wake of the Fukushima crisis would lead to higher prices, less energy security and higher carbon emissions, according to Fatih Birol, chief economist at the International Energy Agency.
Birol was speaking as part of the FT’s weekly energy podcast, and told us that if countries around the world scaled back their nuclear ambitions, it would be highly damaging.
Yesterday I blogged about the growing consensus among analysts that the price of oil was heading in only one direction: upwards. Barclays Capital, in fact, forecast it would hit $100/barrel this year, with Opec only taking action to increase production after a price spike.
Now the IEA has fired a warning shot across Opec’s bows with a stark warning from its chief economist, Fatih Birol. As Birol told the FT:
It is a very telling story. 2010 rang the first alarm bells and 2011 price levels could bring us to the same financial crisis times that we saw in 2008.