Oil and product pipelines and Tankers, barges and fuel trucks

Energy flows from oil and product pipelines to tankers, barges and fuel trucks; their prices have moved together.

Oil and product pipelines (energy) and Tankers, barges and fuel trucks (energy): 2 relationships.

How they are linked

1. Energy flow

Physical flow · 43% of flow · Oil and product pipelines → Tankers, barges and fuel trucks

Product pipelines reach terminals where trucks and ships load.

• 43% of Oil and product pipelines's energy goes this way

2. Price link: competing mode

Cost and price · Weak · Both ways

Ships, barges and trucks compete with pipelines to move crude and products, and the cheapest route wins volume. The two indices are almost unrelated, correlating at 0.10 for monthly moves, because regulators set pipeline tariffs while freight rates float.

• 0.10 monthly change correlation
• 0.16 12-month change correlation
• 0.95 fitted elasticity

Built from the site data on production routes, energy flows, industry value chains, input-output tables and prices.