French Senate warns of looming oil shock, calls for energy transition[fr][de] 

The combination of supply shortages and surging demand from China, India and the US promises to send the barrel of oil above 150 dollars by 2020, slashing GDP in consuming countries by 2% along its way, warn Senators Laffitte and Saunier in a report to the Parliamentary office for the evaluation of scientific choices (OPECST).

Presenting their report  on 29 June, the two senators also warned of "a real threat of climate change going out of control" with financial consequences which they say are currently vastly underestimated. "From 1% of world GDP at present, the costs of climate change could be brought to 2.5-3%," the senators write.

To tackle this looming crisis, the report calls for an energy transition in which the EU would play a key role. The transition would be financed by specific taxes that would be entirely dedicated to the promotion of renewable energies, buildings insulation, biofuels and other climate-friendly technologies, particularly in the transport sector.

Motorway charges, a carbon-based tax on cars and an increase in petrol taxes are among the ideas put forward to support the scheme, bringing 4 to 5 billion euros added revenue to the state.

"Science and technology allow us to make this transition happen because the substitution options to […] fossil fuels exist or are close to market maturity," the senators write.