DUBAI, United Arab Emirates — Soaring gas prices are the cost of the attempted shift to renewable energy sources, OPEC Secretary General Mohammed Barkindo told CNBC on Tuesday.
“I have talked about a new premium that is emerging in the energy markets that I term the transition premium,” Barkindo told CNBC’s Dan Murphy at the Gastech conference in Dubai.
The long-time head of the oil cartel criticized what he believed was an overly emotional approach to energy policies and climate change, though he did not point a finger at specifically who was to blame for what he described as a “misrepresentation of facts.”
Barkindo contended that there was “distortion of facts and the science, and the misrepresentation of these facts in the conversation, which is not healthy, because climate change and the energy transition are supposed to be guided by the science.”
“The intergovernmental panel on climate change is supposed to be the most authoritative body with regard to both climate change and the transition,” he said. “And we in OPEC believe they are doing a great job, they are producing very very important, seminal reports, but unfortunately these reports are being set aside and the discussions ensuing at the moment, more or less being driven by emotions rather than the great work that this scientific body is producing for all of us.”
Tripled gas prices
The OPEC chief’s words reflect a growing debate among policymakers and energy executives about the future of energy, renewables, and the climate. Many governments around the world and particularly in the West are pushing for a shift away from fossil fuel use, while those in the industry argue that a rapid transition attempt will disrupt markets, harm consumers, and is ultimately unrealistic.
Global gas prices have tripled this year alone, sending ripples through markets and raising concerns that prices of the commodity will only continue to rise.
The fuel nozzle in a car at a gasoline pump at the Citgo gas station on Lancaster Ave in Reading, PA Monday afternoon September 20, 2021.
Ben Hasty | MediaNews Group | Getty Images
This has all led to lower gas supplies for the coming winter months, meaning we are likely to see a greater squeeze on supplies and higher prices to come.
Gas prices had remained very low since the onset of the coronavirus pandemic, at around $2 per one million British thermal units, or mmBtus. But the reopening of economies and restart of travel as vaccination campaigns expand have jolted demand upward.
‘A burden on many countries’
United Arab Emirates Energy Minister Suhail Al Mazrouei, speaking to CNBC at the same event, contended that while gas prices appear high, they came from a very low level to begin with.
“It was coming from a very low environment,” Al Mazrouei said of the gas price situation. “I think the current prices, if they continue they will be a burden on many countries and will not see the demand side on a longer term be ready to take such prices.”
The energy minister said that “the right balance is the balance between the affordability of the consumers and the fact that we are seeing a reasonable return for the developers and the producing countries,” but added, “We’re not there yet.”
The costs, regulations and financing needs surrounding new energy projects are a barrier to any return to lower prices, Al Mazrouei noted.
“This is a situation that is responding to a low gas environment that happened before,” he continued. “Now, what is sustainable, I think the market will dictate it. There are challenges, financing new projects, especially for the IOCs (international oil companies), and we need to have a realistic view on easing such restrictions for them to finance new projects.”
“That’s what I think we will be discussing between the industry, the companies and the consumers and some of the developers as well, and hopefully, during the discussions of the event, they could announce new projects that could balance the prices in the future,” he added.
The Kia EV5 has officially arrived in the UK. Boasting up to 329 miles of range, Kia opened orders for the new Sportage-sized electric SUV on Monday. Here’s a breakdown of Kia EV5 prices, range, and other specs for the UK market.
Kia EV5 prices and range in the UK
Kia calls the EV5 “a cornerstone” of its electrification strategy. The midsize electric SUV is about the size of a Tesla Model Y and loaded with Kia’s latest tech, software, and sleek new styling.
After opening EV5 orders in the UK on Monday, Kia now offers an SUV across every powertrain in Europe’s most competitive segment.
The EV5 is available in three trims: Air, GT-Line, and GT-Line S. All three variants are powered by an 81.4 kWh battery, offering a range of up to 329 miles. Based on a 400V platform, Kia said the electric SUV can recharge from 10% to 80% in about 30 minutes.
Advertisement – scroll for more content
All three are powered by a single front-mounted electric motor, capable of producing up to 214 horsepower (160 kW) and 295 Nm of torque. The EV5 can go from 0 to 62 mph in 8.4 seconds.
Kia EV5 GT-Line (Source: Kia UK)
The interior features Kia’s new Connected Car Navigation Cockpit (ccNC), which includes a three-screen infotainment system.
Kia’s ccNC infotainment features dual 12.3″ driver display and navigation screens with Wireless Apple CarPlay and Android Auto, as well as a 5.3″ climate control display. A customizable 12.3″ Head-Up Display (HUD) is available on higher trim options.
At 1,875 mm wide, 4,610 mm long, 1,675 mm tall, and a wheelbase of 2,750mm, the EV5 is 10mm wider, 70mm longer, and 30mm taller than the Sportage.
Prices for the base Kia EV5 Air start at £39,295 ($53,000), on-the-road (OTR). Upgrading to the sporty GT-Line model, which gains exclusive trim exterior and interior design elements, is priced from £42,595 ($57,800). The range-topping GT-Line S starts at £47,095 ($63,700).
Starting Price (OTR)
Driving Range (WLTP)
Kia EV5 Air
£39,295 ($53,000)
329 miles
Kia EV5 GT-Line
£42,595 ($57,800)
313 miles
Kia EV5 GT-Line S
£47,095 ($63,700)
313 miles
Kia EV5 prices and range in the UK
The EV5 joins the EV3, EV4, EV6, and EV9 as Kia expands its electric vehicle lineup in the UK. Kia’s EV3 was the best-selling retail EV in the UK in the first half of 2025.
Can its bigger brother, the EV5, top it? Pre-orders are now open, and Kia plans to deliver the first customer vehicles later this year.
As a sibling to the Sportage, Kia’s global, European, and UK-wide best-selling vehicle, it might actually have a chance. Let us know what you think of it in the comments below.
FTC: We use income earning auto affiliate links.More.
Yet, Tesla, which was once the largest EV company in China, is not benefiting from the surge in EV sales in China.
As of last week, Tesla’s sales in China are down 6.3% year-to-date based on insurance registration data compared to 2024.
Advertisement – scroll for more content
Electric vehicle competition is intensifying, and Tesla is struggling to keep up.
Over the last few weeks, Tesla has launched two new versions of the Model 3 and Model Y to help stem the decline in China.
For Model 3, Tesla launched a new Long Range RWD version in early August for 269,500 yuan.
Today, Tesla slashed the price by 10,000 yuan just weeks after the launch – indicating that demand was lower than anticipated.
Furthermore, Tesla is also offering a series of incentives on top of the price reduction:
Participate in the referral bonus promotion and place an order before September 30th to receive an 8,000 yuan bonus on optional paint.
Order select models (excluding the High-Performance All-Wheel Drive version) before September 30th to apply for a limited-time 5-year 0% interest financing plan. Order
select models (excluding the High-Performance All-Wheel Drive version) and receive delivery before September 30th, along with partner insurance, to receive a limited-time subsidy of 8,000 yuan.
Competition in the EV sector is tough in China. New models are being launched every week, and prices are incredibly competitive.
Tesla is still performing well in the premium segment, but its most popular models are, by far, the cheaper Model 3 and Model Y in RWD versions. Meanwhile, Chinese EV automakers have launched numerous vehicles in these segments.
Electrek’s Take
Add this to the numerous red flags regarding Tesla’s declining sales worldwide.
For Tesla, Europe is almost a thing of the past. China is in a steady decline, while the US is expected to experience only slight growth.
The level of competition in China is simply too high, resulting in Tesla selling many vehicles in the market for virtually 0% gross margin.
This is not sustainable and will likely result in Tesla starting to lose money in 2026 without some major changes.
FTC: We use income earning auto affiliate links.More.
With just a week left until its official debut, Volkswagen is giving us a sneak peek of its most affordable electric SUV, the ID.2. Here’s our closest look at the new entry-level EV.
The Volkswagen ID.2 is an affordable electric SUV
Volkswagen is revamping its electric car lineup with a new family of entry-level models, starting with the ID.2. The ID.2 is an electric hatch that VW promises is “spacious like a Golf,” yet still “affordable like a Polo.
With a starting price of around € 25,000 ($29,000), the ID.2 will be among the most affordable electric cars on the market.
Shortly after launching the electric hatch, Volkswagen is set to introduce an SUV version of the ID.2, which could be an even bigger hit. The ID.2 SUV will sit below the ID.3 and ID.4 in Volkswagen’s EV lineup as an even more affordable crossover SUV option.
Advertisement – scroll for more content
Although we’ve seen the hatch out testing a few times, the SUV version has been mostly kept under wraps outside of a blurry image from December 2023. That is, until now.
Volkswagen’s design boss, Andreas Mindt, offered a closer look at the ID.2 SUV on Monday, releasing a few new teasers. The images reveal a sleek new look from its current ID models, closer in style to the updated T-Roc, which was unveiled last week.
Mindt said the “design speaks for itself.” The ID.2 and SUV versions will be based on a new MEB+ platform, which will underpin Volkswagen’s upcoming lineup of entry-level EVs.
Volkswagen ID.2X electric SUV (Source: Volkswagen)
The hatch will be offered with two battery pack options: 38 kWh or 56 kWh, offering a WLTP range of up to 280 miles. Volkswagen has yet to reveal final prices and range for the SUV version.
According to VW’s tech development boss, Kai Grünitz, the brand’s EV lineup is in line for a major refresh. Grünitz told Autocar that “huge improvements” were coming, including updated styling inside and out.
Volkswagen’s ID 2all EV interior (Source: VW)
The interior will feature the new design, which includes a 12.9″ infotainment and 10.9″ driver display screens and plenty of physical controls. There will also be a few fun added features like the ability to switch between drive modes that resemble Volkswagen classics, like the Golf or Beetle.
Volkswagen ID 2all “Vintage” mode from the Golf era (Source: Andreas Mindt)
Since the ID.4 starts at around 35,000 euros ($41,000) to 40,000 euros ($47,000), depending on the market, you can expect prices to be slightly lower, likely at around 30,000 euros ($35,000).
Volkswagen will unveil the ID.2 SUV next week at the Munich Motor Show on September 7. The German auto giant claims the ID.2 SUV “is another important step towards bringing affordable electric mobility to the masses.” It’s expected to hit the market next year following the hatch version. We’ll learn more at the event.
Although the ID.2 is not expected to be sold in the US, Volkswagen’s current SUV, the ID.4, is actually already one of the most affordable electric SUVs. Volkswagen is currently offering ID.4 leases as low as $129 per month. That’s even cheaper than a Jetta.
FTC: We use income earning auto affiliate links.More.