Photo caption: Elon Musk
With six little words, Elon Musk has relegated the oil industry to a historical footnote. This, despite the oil industry underpinning the workings of the entire world.
“Compared to solar, oil is small-time,” Musk posted on X, delivering a withering verdict on the fossil fuel era. No charts, no caveats. Just a blunt assertion that the sun—not crude oil—will define the future of global energy. From a man whose fortunes straddle both electricity and ambition, the message was clear: oil may have powered the past, but it won’t own what comes next.
The statement from Musk, however, doesn’t mean that fossil fuels are irrelevant. Musk warned in 2022 that the world would need to continue extracting oil and gas lest civilization start to crumble. “Realistically, I think we need to use oil and gas in the short term because otherwise, civilization will crumble,” adding that the transition to sustainable energy would “take some decades to complete.”
At the time, Musk implored those who would listen to extract more oil and gas—not less. He also cautioned against demonizing fossil fuels.
Musk’s latest statement doesn’t necessarily run contrary to that, but it does shine a light on his view on sustainable energy—solar will be king someday—and despite oil’s current dominance, it is without long-term relevance.
Still, for an industry that fuels 80% of global energy demand, the comment comes as a gut punch. Whether it proves visionary or premature will depend on how quickly the world can resolve solar’s storage and scalability challenges—two serious hurdles that solar critics have highlighted for years.
But betting against Musk’s version of the future is a risky proposition. He’s not just talking up solar—he’s building the factories, the batteries, and the grid-scale operations needed to make it dominant. For oil, the warning is implicit: your reign isn’t over, but the countdown has started.
=== Oilprice.com ===
