OPEC Changes Are Symptoms of Coming Energy Market Transformations: Michael Shiloh
By Michael Shiloh
April 30, 2026 — We’re seeing real changes in energy industries of all kinds worldwide, and the first obvious sign is Tuesday’s surprise announcement that an OPEC country is ditching the longtime oil cartel.
The United Arab Emirates has been a member of the Organization of the Petroleum Exporting Countries (OPEC) since 1967 — almost 60 years — but has lately been dissatisfied with the cartel because it stifles the ability of member nations to act autonomously, among other complaints.
The mostly-unspoken truth is, it takes abundant, cheap energy — predominantly oil and natural gas — to do most of the things we do, from creating fabric to molding steel, to flying jets and turning on the lights, from America to China and Russia to Brazil.
Electricity accounts for only about one-fifth of the world’s total final energy consumption.
And energy is increasingly more expensive and more expansive as third world nations move toward first world status.
But the UAE is just one of the countries re-examining their international relationships and treaties in the wake of war and market changes, and in some ways it represents a sea change in approaches to energy production and sales everywhere, as Texas-based America First Refining’s Founder and Chairman John Calce puts it.
“I think you’re seeing a realignment worldwide of the realization that energy is critical, there’s a limited amount of it, and nations are going to act in their own self-interest,” he says.
While some people seldom think about where the electricity in the light switch or the gasoline in the tank come from, increasing demand for oil because it’s used in practically everything is becoming more common.
And it’s getting harder for energy producers to keep up with that demand, especially as the world population increases and emerging nations increase their energy requirements.
“And many nations realize they have different national interests, and I think you’re seeing a complete fracturing and reorganizing of world energy markets,” Calce adds.
This is not be taken lightly — as we’ll see when such reorganizing ramp up to a larger scale in the coming months and years — but Calce says saying goodbye to cartels can be liberating to consumers, who might see lower prices in a world of increased freedom in energy markets with less kowtowing to cartel leadership.
“If you’ve got a fracturing in the cartel and nation-states are basically able to set their own prices versus being a part of a cartel pricing methodology, over time you could see a reduction in oil price,” Calce concludes.
There will likely be some pain ahead for consumers, but market realignment is essential in an age of increasing energy scarcity and insatiable energy demand.
Data source: U.S. Energy Information Administration, 
March 4, 2026 — Texas state tax revenue from oil and natural gas was down considerably during February 2026 when compared with a year ago, while the state’s overall sales tax income was up nearly 4-percent.
