The producer club's plan to gradually increase oil supply raised prices substantially, adding to inflationary pressures that consuming countries fear would derail the pandemic's economic recovery. In July, OPEC+ agreed to increase output by 400,000 barrels per day each month until at least April 2022, phasing down 5.8 million barrels per day of existing production cuts.
According to the International Energy Agency, demand for coal and natural gas has surpassed pre-COVID-19 highs, with oil lagging closely behind. Fossil fuels still meet three-quarters of global energy demand, with non-nuclear renewables accounting for less than a fifth. Some countries have pressed OPEC+ to re-enter the market with more barrels because demand has returned faster than projected in some regions of the world.
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