Energy is among the top strategic issues shaping the global agenda; the uncertainty and impact of energy and commodity price volatility has now established itself as the number one issue for energy leaders worldwide.A history of unpredictable global oil price spikes has consistently impacted negatively on the sustainability of economic growth in the majority of Caribbean countries; when oil prices are high, as they currently are, the economic challenges that are being faced by the region are typically aggravated and exacerbated. Unpredictability in oil price, resulting from rapid changes (up or down) over short time spans, is bad news because oil, and more broadly fossil fuel, is the commodity that is central and critical to the operation of a majority of economies, and the potential wealth generating opportunities, within the region. As commerce thrives best when the costs of doing business can be anticipated and hedged against, unexpected swings in oil price continue to destabilize the business environment within the countries. Though lower energy prices, at times, provide temporary relief to consumers, the economy does not do well “when the rug is unpredictably, pulled from under its feet” by the constant large and unexpected changes in the cost of energy.
