According to the AA the number of motorists calling them out because they have run out of fuel has increased by 17 per cent so far this year.

The reason for this dramatic spike in the number of motorists running on empty is clear enough, the dramatic increase in the price of petrol and diesel over the past couple of years. Add to that the recession in the Irish economy and the credit crunch (these two things are unrelated by the way, despite what the Government may tell you) and it’s clear that people are simply trying to make their bobs go a bit further.

At the same time that the AA released these figures the Paris motor show was in full flight. One of the most important motor shows in the world it was a sombre affair, particularly for the big American manufacturers who are being crucified by the rocketing price of fuel back home. There was a noticeable absence of new SUVs, sports cars and gas-guzzlers while small cars, hybrids and diesels were the order of the day. With Barack Obama now talking about committing $10 billion a year to developing green energy solutions if he becomes president it seems that even the USA has finally caught this particular dropping penny.

The motivation to move to smaller and cleaner cars isn’t environmental though, as with all major attitude shifts it had to come about for economic reasons. Trevor Sargent advocating that businesses use a pony and trap to deliver their goods was never going to make much of an impact. What does make an impact though is when punters suddenly realise it costs almost as much to fill the car as buy it. For the States in particular another major factor is that of energy security. The country is now crippled with debt and its economy is in serious trouble. There is a very real prospect that the days of the US being the global top-dog are numbered. This is also bound to make them look at the astronomical cost of their foreign policy. The cost of fighting wars in Iraq and Afghanistan is now estimated to have cost the US more than $500 billion and the total expenditure will probably be more than a trillion dollars, this in a country that can’t provide basic health care for all of its citizens.

The US can no longer afford to grab its share of global oil supplies by brute force. The heavy dependence of the US on oil is also ironically making many nations it regards as a direct threat richer and richer. The only answer is to find alternatives and find them quickly and that is exactly what will happen.

Things are moving quickly now when it comes to cars. The Chevrolet Volt will be available within a couple of years, an electric car you will be able to plug in at home and charge over night. The number of hybrids available is increasing rapidly now but this technology is really only a stop-gap before cars go truly electric.

The shift has huge implications for the retail oil business as it seems likely that in the not too distant future there won’t really be a need for petrol stations at all.

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