Spain moves quickly to reduce oil imports by 5%

The Times reports that Spain is reacting swiftly to events in Libya: Spain imports 75% of its energy (15% more than the European Union average) and 13% of its crude oil comes from Libya.

To reduce the country's dependence on oil imports, Spain's Government has reduced the speed limit from 120km/h to 110km/h, fares on local and middle-distance trains have been cut by 5% and the bulbs in street lamps will be replaced by energy-saving ones.

The Government says these measures will cut foreign oil imports by 5%.

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Huhne says the government will speed up efforts to move away from oil

The Energy Secretary Chris Huhne told the Observer that the UK had no option but to speed up efforts to move away from oil.

"Getting off the oil hook is made all the more urgent by the crisis in the Middle East. We cannot afford to go on relying on such a volatile source of energy when we can have clean, green and secure energy from low-carbon sources. The carbon plan is about ensuring that the whole of government is engaged in a joined-up effort to lead us into a low-carbon world."

The Observer says Huhne will join David Cameron and Nick Clegg later this week to launch "The Carbon Plan".

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Rapid rise in oil prices shows "how little slack there is"

The Financial Times reports that half of Libya's oil production has shut down. The impact that has had on the price of oil has been swift. This morning London Brent oil prices soared to $120.

What's remarkable is that while Libya has been producing 1.6 million barrels of oil a day, the United States alone consumes 20 million barrels of oil a day. As The Atlantic reports:

Given Libya's relatively small contribution to the global oil supply, the turmoil in the energy and stock markets resulting from Libyan unrest lets you know how little slack there is in the oil market.

See also: Chris Huhne says the break-even for low-carbon economy is $100 a barrel oil.

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