It’s that time of year again. There’s a chill in the air, leaves are on the lawn and festive gourds don our tables. So, get your bird in the oven and hoist up your stretchy pants, because the family is coming over and they have questions about our industries.  

Our industries don’t just make modern life possible. We also make very shiny, decorative squash possible. 

Here on the AFPM EMPOWER team, we believe there’s never a bad time to talk about fuels, petrochemicals and all the midstream infrastructure that brings feedstocks and products to facilities and markets. And so, we are thrilled to help you answer any and all questions your family might have about your work, our industries and the products that make modern life (and Thanksgiving dinner) possible.  

Turkey Talking Points Volume 3 

• With EVs gaining popularity, won’t refineries go away? 

  EVs are certainly becoming more popular, but they are far from being a majority of the North American automotive landscape. Currently, just about 1% of passenger vehicles in the U.S. are electric. And even with big EV growth forecasted in the years ahead, the U.S. Energy Information Administration (EIA) projects that demand for liquid fuels will continue to grow in the coming decades. That’s true globally and for the United States.  

  As you and I both know, in addition to gasoline, refineries also produce diesel, marine fuel, jet fuel, home heating oil, lubricants, natural gas liquids and petrochemical building blocks – all essential to the global economy. 

• Aren’t plastics harmful? 

  Plastics aren’t bad. Plastics are more affordable and versatile than their alternatives, they have lower GHG emissions profiles and require less water and raw materials to produce. Plastics make nearly every part of modern life possible. What is bad is mismanaged plastic waste. Our industries have and continue to invest billions of dollars to reduce plastic waste through technologies like advanced recycling and improved waste collection systems.  

• OK, but what about single-use plastic? 

  All plastics, even those termed by some to be “single use,” need to be re-used, recycled and/or recovered correctly. Full stop.  

  But jumping to the conclusion that "single use” plastics should be eliminated is just plain wrong. That would have huge repercussions in fields like science and medicine, as well as in our global food supply chains (see this peer-reviewed study for just one example of how plastics increase the shelf life of produce, potentially reducing food waste). 

• Will renewable energy replace fossil fuels? 

  Renewable energy and infrastructure like solar panels, windmills and electric vehicles are certainly going to continue to grow, but they aren’t going to replace fossil fuels. In fact, fossil fuels are essential in making those technologies possible! Did you know that windmill blades, solar panels and EVs are all made of petrochemicals? When things need to be strong and lightweight, few materials fit the bill like the oil- and gas-derived materials our industries produce. Here’s just one factoid for you: The typical electric vehicle is about 50% plastic by volume.  

• I heard that refineries have been price-gouging customers and driving up fuel prices. 

  Refineries are price takers, not price makers, and price gouging is against the law. Just like with other commodities, the prices of gasoline, diesel and other refined products are primarily a function of global supply and consumer demand, and they can vary significantly over time (read more about the other cost contributors here). When demand for crude oil and finished products rises faster than production, prices go up. When demand eases but supply stays high, prices tend to calm.  

I hope the info above makes your Thanksgiving dinner a little easier, and a little more interesting! If there are questions or comments about our industries that we haven’t addressed here or in other AFPM EMPOWER emails, let us know. Otherwise, on behalf of the whole AFPM EMPOWER team, have a very happy Thanksgiving. 

- Charlie and the AFPM EMPOWER team