Oil price is hitting the roof. Price at the pump is above $4 per gallon and with price rising steadily everyday. Despite some of the Oil producing countries have increased production, it doesn’t seem to halt the price rise.

Who is to blame ?

Consumption is growing as BRIC nations are growing at a rapid pace. Goldman Sachs has predicted it might hit US 200 per barrel. If this happens, we are going to see a huge crisis. Already signs of working out of home for people has begun. People are not going for a long drive any more. Airlines have a big problem of keeping the price aligned to the cost of fuel. Countries like India, where Oil is controlled by its Public Sector policies, can not afford to bleed the companies and has to increase the fuel price however unpopular it gets.

Only alternative is to track the traders involved in Futures trading and plan for alternate energy . It has to happen and it is time that a change in thinking and leadership are required to address this huge crisis.

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Brazilian Petrobras, state owned oil company, announced today that it believes there is huge Oil & Gas base at its Tupi field. We saw yesterday PetroChina becoming the world’s largest Oil Co in Market Cap terms. We are sure to see more happenings with Russia and India Oil cos. As these BRIC oil companies push the envelope on more exploration, their domestic consumption for energy will be addressed as their economic growth surges and may in turn soon be a leading supplier.

Bloomberg News reports