Diversification! Oil prices falling!

[Redman]

selling oil at $150 a barrel atm. cost $30 a barrel approx. LEL. these expert economists in this country yes. i at this time in my life pity ppl with degrees.

So tell us how you doing this....who is buying your oil at 150?
who selling you oil at 30?

[Allergic2BunnyEars]

selling oil at $150 a barrel atm. cost $30 a barrel approx. LEL. these expert economists in this country yes. i at this time in my life pity ppl with degrees.

So tell us how you doing this....who is buying your oil at 150?
who selling you oil at 30?

Doh feed d troll.

[Allergic2BunnyEars]

http://www.trinidadexpress.com/news/Rev ... 89141.html

Revised budget due to lower oil prices

Howai: PM to give details on Thursday


Finance Minister Larry Howai says the Government has “revisited the budget in light of the continuing fall” in global oil prices, but he is leaving the details to be announced by Prime Minister Kamla Persad-Bissessar, who is due to deliver a statement to the nation on the matter on Thursday.

TV6 News last night reported Howai’s comments on the matter which he made in an e-mailed response to questions sent to him yesterday.

The questions were based on international media reports such as those posted on CNBC’s website that the US crude’s prices for February fell to $49.95, down five per cent from Friday’s close, before recovering to US$50.20 per barrel just before noon on Monday, while the Brent crude for February also hit a fresh 5-½-year low, falling as low as $52.66 per barrel before rebounding back above $53.

These rebound prices are still well below the US$80 per barrel West Texas Intermediate or US crude oil price on which the national budget for fiscal 2015 is partly based.

Trinidad and Tobago continues to earn the majority of its revenue from oil and natural gas.

Howai was asked yesterday whether the continuing downward trend in both the Brent Crude and WTI prices will cause the Government to revisit the US$80 per barrel oil price on which the budget is partly based.

TV6 News also asked Howai if the situation were it to continue, would it cause further budget cuts as the Government is now seeking to cut budgetary expenditure by $45 million per ministry and also if budgetary cutbacks in essential services could be avoided if the oil prices do not rebound above the US$80 per barrel mark in the near future.

“The PM is making a statement on the matter on Thursday. It would not be proper for me to pre-empt her statement, but I can confirm that we have revisited the budget in light of the continuing fall in prices,” Howai said in his e-mailed response.

He was also asked if he had any projections as to when there would be any market correction regarding oil prices.

“I should point out that the projections by Standard and Poor’s and the US Energy Information Administration as well as other agencies are for some recovery of prices later this year. We are not pinning our hopes on that recovery in prices and are taking action but I thought that I should mention that,” Howai said.

In June of last year, Brent Crude prices averaged $115 per barrel.

The Government had recently announced it is seeking to cut expenditure in non-essential areas by $45 million per Ministry.

Last week, the Prime Minister sought to allay any fears about the situation as she said it is not a cause for panic and the Government was closely monitoring the situation..

Natural gas prices, meanwhile, averaged just above US$3 per mmbtu.

The national budget is partly based on a natural gas price of US$2.75 per mmbtu.

[EFFECTIC DESIGNS]

Remove the ridiculous subsidy on fuel in this country. If they want to cut something then cut that, besides we might see less muffler bearings reeving their dog sheit box lancer making a set of old noise trying to go over a speed bump, the idiots might actually learn how to drive now and save some gas.

[Allergic2BunnyEars]

Remove the ridiculous subsidy on fuel in this country. If they want to cut something then cut that, besides we might see less muffler bearings reeving their dog sheit box lancer making a set of old noise trying to go over a speed bump, the idiots might actually learn how to drive now and save some gas.

Removing the subsidy without providing alternative well priced fuel will cause more hardship. The population as a whole uses more fuel in traffic than one or two people revving hard to go over a hump. Lots of fuel is wasted sitting in traffic everyday as people go to work.

[Redman]

Remove the ridiculous subsidy on fuel in this country. If they want to cut something then cut that, besides we might see less muffler bearings reeving their dog sheit box lancer making a set of old noise trying to go over a speed bump, the idiots might actually learn how to drive now and save some gas.

The subsidy on transport fuels is the only direct benefit that the entire population enjoys from the oil and gas sector.

I think it should be the last thing to be touched-or not touch it until we have a public trans port network that works.

That said the GORTT should expedite:
a Nat Transport POLICY-with a plan that supersedes political rationale that dominates implementation.

From this policy we develop a public transport network that makes use of what we have.

[GVTrini07]

Remove the ridiculous subsidy on fuel in this country. If they want to cut something then cut that, besides we might see less muffler bearings reeving their dog sheit box lancer making a set of old noise trying to go over a speed bump, the idiots might actually learn how to drive now and save some gas.

Easy to say remove subsidy, but what would be the impact on such? Would the price of everything requiring transport not increase? All goods moving from one location to another will increase due to the increase in cost of transportation? All services which is based wholly or partly on transportation, not increase? What would the average person spending power be like afterwards? Mee'm know nah, I just axeing

[Dizzy28]

Maxi prices raised as of Jan 1st with no increase in fuel costs. Can you imagine what Arima to PoS fare would like with diesel at TT$4/litre? It's $7 currently.

Any fuel subsidy removal has to be done bearing in mind the traveling public would be adversely affected the most and they are in large and part the ones who could ill afford to lose even a few dollars in spending power.

[hustla_ambition101]

Maybe erectile dysfunction wants people to use bicycles and oxen carts

[EFFECTIC DESIGNS]

Easy to say remove subsidy, but what would be the impact on such? Would the price of everything requiring transport not increase? All goods moving from one location to another will increase due to the increase in cost of transportation? All services which is based wholly or partly on transportation, not increase? What would the average person spending power be like afterwards? Mee'm know nah, I just axeing

First off the price of food etc is NOT cheap in this country, and the addition of fuel subsidy has had 0 impact on it. The fact that companies are getting cheap fuel means they get to bank more money.

If we never had a fuel subsidy in the first place the prices would be the same today regardless.

The greedy businessmen would obviously raise the prices on everything if the subsidy was removed tomorrow, its up to the public to boycott and show the power of the consumer.

Because in reality the market is what sets the price. This is Economics 101

[EFFECTIC DESIGNS]

Maybe erectile dysfunction wants people to use bicycles and oxen carts

Don't know about Oxen carts

But bicycles are a healthy and clean form of transport, its common in first world countries with those, you know... who actually care about things other than themselves?

There is also Public transport available in Trinidad. Removal of subsidy will also force people to use public transport, shift towards motorcycles or bicycles etc and hence reduce the traffic we see.

[nervewrecker]

G.A.T.E. go get eeet.

TD27 can run on propane ent?

[EFFECTIC DESIGNS]

^ you are right I can see GATE getting some sort of cut.

The question is would they eliminate it all-together or cut it for newcomers and finance those who are already in a program?

At the very least Public schools should be offered GATE. Those who can afford $30,000 TT in pounds for exam fees with British universities can therefore afford their own tuition.

[nervewrecker]

^ you are right I can see GATE getting some sort of cut.

The question is would they eliminate it all-together or cut it for newcomers and finance those who are already in a program?

At the very least Public schools should be offered GATE. Those who can afford $30,000 TT in pounds for exam fees with British universities can therefore afford their own tuition.

So if I work my skunt off for a few years doing dog wuck to make up that $30k I must be able to pay for it while another lazy muthaskunt can just rock back and have his tuition paid for?

Bring back dollar for dollar.

[pete]

Fuel prices not going to go up before elections. For the next budget though, brace yuhself (whoever's in power)

[GVTrini07]

Easy to say remove subsidy, but what would be the impact on such? Would the price of everything requiring transport not increase? All goods moving from one location to another will increase due to the increase in cost of transportation? All services which is based wholly or partly on transportation, not increase? What would the average person spending power be like afterwards? Mee'm know nah, I just axeing

First off the price of food etc is NOT cheap in this country, and the addition of fuel subsidy has had 0 impact on it. The fact that companies are getting cheap fuel means they get to bank more money.

If we never had a fuel subsidy in the first place the prices would be the same today regardless.

The greedy businessmen would obviously raise the prices on everything if the subsidy was removed tomorrow, its up to the public to boycott and show the power of the consumer.

Because in reality the market is what sets the price. This is Economics 101

Ok sunshine, if you say so.

buh buh buh...
what if I producing bodi and it costing me more to get meh final product, guess who getting shaft. Not me nah, is the consumer. Just saying, me eh no bout no economics.

But as you say, Economics 101 Price of said bodi unaffected.

[tr1ad]

Fuel prices not going to go up before elections. For the next budget though, brace yuhself (whoever's in power)

^^ +1

[EFFECTIC DESIGNS]

So if I work my skunt off for a few years doing dog wuck to make up that $30k I must be able to pay for it while another lazy muthaskunt can just rock back and have his tuition paid for?

Bring back dollar for dollar.

Well what I did was save up money to survive off for a few years back when I too was doing an sufferer wuk in the Airport. And I use that to go to school fulltime.

And no you cannot be Lazy in public school because public schools have GPA that you must meet, if you GPA drops below 2.0 you are denied GATE funding.

FYI I went to SAM for some years and their British system is immune to GATE, there is no GPA there you can barely pass each subject with the lowest grades and still get GATE you can even fail as much as you want since each year is a different certification.

You are actually required to work harder in public schools and there are consequences for failure I can assure you, the most fatal. So yes they should keep GATE for public schools.

[EFFECTIC DESIGNS]

Ok sunshine, if you say so.

buh buh buh...
what if I producing bodi and it costing me more to get meh final product, guess who getting shaft. Not me nah, is the consumer. Just saying, me eh no bout no economics.

But as you say, Economics 101 Price of said bodi unaffected.

You are wrong, first off we go about farming the wrong way.

In America farmers are heavily subsidized like up to 90% in some cases. Farmers do not need fuel subsidy what farmers need is subsidy on chemicals for their crops. This is how it is done in the United States and why food there is so cheap yet they pay the same exact price of fuel as anyone else.

Trinis have a gimme gimme attitude that here since PNM time, there are many ways around the whole issue of increased transportation costs and food etc. Do you know how many people go to the malls etc and leave the car with the AC running and they sometimes spend hours in the mall and all this set of assness? for each gallon of gas they waste its a gallon that cost us tax payers and a gallon that could have been sold abroad, a gallon more towards our carbon footprint. Remove the subsidy and see how much of that assness will cut out in this country.

As for transportation costs, the money the government would save from removing subsidy on fuel they could invest in 200 new Volvo Buses for PTSC and open new routes, this would benefit the general public far greater even if we pay a little extra for some items the money we would save from public transport would cover that and more.

I rather use a Bus for work and get there in a short space of time than have car and sit in 4 hours of traffic everyday and increasing my carbon footprint for no reason.

[GVTrini07]

Ok sunshine, if you say so.

buh buh buh...
what if I producing bodi and it costing me more to get meh final product, guess who getting shaft. Not me nah, is the consumer. Just saying, me eh no bout no economics.

But as you say, Economics 101 Price of said bodi unaffected.

You are wrong, first off we go about farming the wrong way.

In America farmers are heavily subsidized like up to 90% in some cases. Farmers do not need fuel subsidy what farmers need is subsidy on chemicals for their crops. This is how it is done in the United States and why food there is so cheap yet they pay the same exact price of fuel as anyone else.

Trinis have a gimme gimme attitude that here since PNM time, there are many ways around the whole issue of increased transportation costs and food etc. Do you know how many people go to the malls etc and leave the car with the AC running and they sometimes spend hours in the mall and all this set of assness? for each gallon of gas they waste its a gallon that cost us tax payers and a gallon that could have been sold abroad, a gallon more towards our carbon footprint. Remove the subsidy and see how much of that assness will cut out in this country.

As for transportation costs, the money the government would save from removing subsidy on fuel they could invest in 200 new Volvo Buses for PTSC and open new routes, this would benefit the general public far greater even if we pay a little extra for some items the money we would save from public transport would cover that and more.

I rather use a Bus for work and get there in a short space of time than have car and sit in 4 hours of traffic everyday and increasing my carbon footprint for no reason.

This is not America so all things being equal and all them extra wishfull thinking things you just type up in dey not dey!

Your basing your opinion on another country economic situation as opposed to Trinidad. Yuh need to base it on the gimme gimme economics yuh just talk bout dey.

Market price EOD in one thing, buh not everything does run like dat. Yuh din in class when dey was talking bout Inferior Goods, Compliment Goods, Luxury Goods? Me nah blame yuh nah, I was nah dey too.

[Dizzy28]

Easy to say remove subsidy, but what would be the impact on such? Would the price of everything requiring transport not increase? All goods moving from one location to another will increase due to the increase in cost of transportation? All services which is based wholly or partly on transportation, not increase? What would the average person spending power be like afterwards? Mee'm know nah, I just axeing

First off the price of food etc is NOT cheap in this country, and the addition of fuel subsidy has had 0 impact on it. The fact that companies are getting cheap fuel means they get to bank more money.

If we never had a fuel subsidy in the first place the prices would be the same today regardless.

The greedy businessmen would obviously raise the prices on everything if the subsidy was removed tomorrow, its up to the public to boycott and show the power of the consumer.

Because in reality the market is what sets the price. This is Economics 101

Effecticonomics IYMC!!!!!

[Allergic2BunnyEars]

Brent crude oil falls to new five-year low

http://www.bbc.com/news/business-30693905

Brent lost as much as 3% earlier on Tuesday to $51.23 before recovering.

It follows Monday's 6% plunge in prices. The fall appeared to have been prompted by Saudi Arabia cutting prices to Europe.

At the same time, the kingdom, Opec's largest oil-producing nation, raised them for Asian customers.

Some analysts said the price cuts reflected Saudi Arabia's deepening desire to defend its market share in Europe.

US oil fell further on Tuesday to $48.54, having fallen below the symbolic threshold of $50 a barrel for the first time since April 2009 on Monday.

The prices of both Brent crude and US oil, known as West Texas Intermediate crude, have now fallen by more than 50% since mid-2014.

Investors are worried that a combination of global oversupply and weak oil demand could cause prices to tumble further.

US oil production has soared recently, as fracking - or the process of extracting oil from shale rock by injecting fluids into the ground - has revolutionised oil production in the country, transforming US states such as North Dakota and Pennsylvania in the process.

However, the increase in production has come just as demand for oil in economies across the world from Europe to China - the world's second-largest consumer of oil - has slowed.

Recent data also showed that Russia's 2014 oil output hit a post-Soviet era high and exports from Iraq, Opec's second-largest producer, reached their highest since 1980.

[Dizzy28]

Goldman Sachs had predicted WTI trading at US$74. How wrong were they!!

[EFFECTIC DESIGNS]

This is not America so all things being equal and all them extra wishfull thinking things you just type up in dey not dey!

Your basing your opinion on another country economic situation as opposed to Trinidad. Yuh need to base it on the gimme gimme economics yuh just talk bout dey.

Market price EOD in one thing, buh not everything does run like dat. Yuh din in class when dey was talking bout Inferior Goods, Compliment Goods, Luxury Goods? Me nah blame yuh nah, I was nah dey too.

I agree with you this is not America and not everything can be compared.

However I was a farmer for 10 years where I worked with my brother. And I can tell you fuel was the absolute LEAST of our problems. Even IF we paid 3 times the price for diesel for our pickup it still would be almost negligible compared to what we had to pay for Chemicals and the actual Equipment. So yes Americans are smarter than we are, there is a reason they are first world and we still thinking like 3rd world.

The complete removal of tax farming equipment would be a great start!!!

3 times the price of fuel is nothing compared to what it costs in chemicals and all what is needed to actually grow the crops. Diverting 1% of the fuel subsidy cash that you would be saving towards farming would have a greater impact on keeping the price down rather keeping the fuel and wasting 99% of the money.

transporting the crops to the market in such a tiny country is almost negligible. You are not transporting 1 pumpkin at a time you are transporting either van or truck loads at a time.

Fuel has little effect on Farmers and we would be better off without this, this isn't exactly a new topic or suggestion that I am making. The top economists in this country and elsewhere have already stated the fuel subsidy is a burden and needs to be removed.

[pete]

I dunno, the ads they run before the movies in Movietowne show that they're pumping money and resources into agriculture now. Allegedly utilising CEPEP labour for farming now (long overdue imho) and I know they're expanding NAMDEVCO.

[Advent]

at 50us a barrel petrotrin makes a profit, but would tnt suffer being that 65% of the gdp comes from atlantic lng ?

[Allergic2BunnyEars]

I dunno, the ads they run before the movies in Movietowne show that they're pumping money and resources into agriculture now. Allegedly utilising CEPEP labour for farming now (long overdue imho) and I know they're expanding NAMDEVCO.

Not only that but farmers do get subsidies already. Bee keepers get huge discounts as well. The fact of the matter is there are things in place for farmers and changing fuel prices, while it doesn't directly influence the cost of farming, indirectly it does and the cost will be passed on to consumers REGARDLESS of how idealistic one thinks things should be. If one goes back to the early 70's local consumers bore the brunt of high oil prices as a result of OPEC price hikes. Inflation was high. To counteract this fuel was subsidized here as a means of protecting trinbagonians from unstable prices on different goods. It's this scenario posters refer to when saying that removing the subsidy too quickly without alternative cheap fuels or efficient and affordable public transport would cause increased hardships for the not so haves in society.

http://www.academia.edu/8668549/THE_ENE ... AND_TOBAGO


Here is Howai explaining why removing the subsidy in a short period without putting things in place is bad idea:
http://ttbusinessmonitor.com/?p=412

[Allergic2BunnyEars]

at 50us a barrel petrotrin makes a profit, but would tnt suffer being that 65% of the gdp comes from atlantic lng ?

I think this is the question that needs to be asked more. The price of nat gas affects Trinidad and Tobago more than that of oil.

[hustla_ambition101]

I dunno, the ads they run before the movies in Movietowne show that they're pumping money and resources into agriculture now. Allegedly utilising CEPEP labour for farming now (long overdue imho) and I know they're expanding NAMDEVCO.

Those ads couldn't be further from the truth though. Caroni Green running at a loss, food price inflation is high, notice they haven't mentioned inflation in a while because it crept back up and I'm sure you can see how prices have gone up over the past couple months. CEPEP and URP labourers taking the training and going back to cutting grass because they don't want to work a full day on any farm. Agriculture got the lowest budgetary allocation and there are Divisions where they not getting money to pay contract staff on time, simple things like lightbulbs are not being bought, separate units cannot buy basic items they need for functioning. There is a Division where there are only about 4 properly functioning vehicles because they claim there is no money to repair the others. Vehicles which once parked down for an extended period will end up costing them more in the long run. Once the big boys and girls getting paid and their travelling running even though they not using their own vehicles they happy to run the place into the ground. Its the private farmers that have agriculture in this country looking good. The minister is a failure and his adviser is a party lackey with no experience in the field.

[GVTrini07]

This is not America so all things being equal and all them extra wishfull thinking things you just type up in dey not dey!

Your basing your opinion on another country economic situation as opposed to Trinidad. Yuh need to base it on the gimme gimme economics yuh just talk bout dey.

Market price EOD in one thing, buh not everything does run like dat. Yuh din in class when dey was talking bout Inferior Goods, Compliment Goods, Luxury Goods? Me nah blame yuh nah, I was nah dey too.

I agree with you this is not America and not everything can be compared.

However I was a farmer for 10 years where I worked with my brother. And I can tell you fuel was the absolute LEAST of our problems. Even IF we paid 3 times the price for diesel for our pickup it still would be almost negligible compared to what we had to pay for Chemicals and the actual Equipment. So yes Americans are smarter than we are, there is a reason they are first world and we still thinking like 3rd world.

The complete removal of tax farming equipment would be a great start!!!

3 times the price of fuel is nothing compared to what it costs in chemicals and all what is needed to actually grow the crops. Diverting 1% of the fuel subsidy cash that you would be saving towards farming would have a greater impact on keeping the price down rather keeping the fuel and wasting 99% of the money.

transporting the crops to the market in such a tiny country is almost negligible. You are not transporting 1 pumpkin at a time you are transporting either van or truck loads at a time.

Fuel has little effect on Farmers and we would be better off without this, this isn't exactly a new topic or suggestion that I am making. The top economists in this country and elsewhere have already stated the fuel subsidy is a burden and needs to be removed.

Agreed on if 1% given to farmers it could offset the cost of fuel increase. All the tech and research etc which US Gov has pumped into agri has benifited said farmers to achieve Economies of Scale lets say. Buh is TT we talking bout here. So by just jumping out and saying remove subsidies without having things in place to combat inflation so that the the not so poor man doh become ah street dwella ehh wuking. Yes we shoulda coulda woulda forseen this years before, but is TT not US. So right now, that is probably not the smartest thing to do.

Now the reason why when yuh was ah farmer yuh din study bout fuel is because it cheap. It did not have an impact on yuh business. Raise fuel, ent tractor ha tuh run? Ent meh weed wacker ha tuh run? Ent the Chemicals yuh buying ha tuh transport? So yuh go ha tuh pay more for the same chemical yuh growing the same crop that yuh wah sell? So yuh price would not raise? It affects everything cause it is a neverending cycle. yuh cannot look at it only by saying how much it costing to transport ah load ah pumpkin.

Leh me go eat some sunshine snacks corn curls. Yea they ha tuh transport all the raw materials to make that and plus transport that to the shop too.