Impact of High Oil Price on China’s Energy Production

Since 21th century, international oil price constantly moves upward. According to forecast on oil price trend in the coming years by establishing time series models, there are 3 different results will happened on future oil price trend and oil price is expected to remain high level. This kind of high oil price will affect China’s energy production greatly, such as promoting exploitation of difficult recovering reserves, accelerating development of unconventional oil and gas resources, raising the strategic status of CTL industry, promoting industrialization of renewable energy. Under high international oil price, government supporting becomes a necessary condition for diversifying energy production.