Crude oil will remain the number one energy source for decades, according to the Organisation of Petroleum Exporting Countries (OPEC).
Gatekeepers News reports that OPEC Secretary-General, Mohammad Barkindo stated this on Tuesday at the presentation of the 2021 OPEC World Oil Outlook (WOO).
He said global primary energy demand is expected to soar by 28 percent in the period between 2020 and 2045.
The OPEC boss noted that energy would be needed to power more homes, services, businesses, equipment, among others.
“This will require the use of all forms of energy to support the post-pandemic recovery, the energy transition and address long-term energy needs,” Barkindo said.
Gatekeepers News reports that the oil cartel believed that global oil demand will increase by 17.6 million barrels per day (bpd) in two-and-a-half decades, growing to 108.2 million bpd in 2045 from 90.6 million bpd in 2020.
The OPEC boss said that annual oil demand growth will average 2.6 million bpd during the first five years, before slowing to 600,000 bpd from 2025-2030 and then 300,000 bpd from 2030-2035.
He said that in the outlook, renewables witnessed the largest growth, rising from a global fuel share of around two percent in 2020 to over 10 percent by 2045.
“It is important to note that OPEC member countries are making significant investment in renewables as they look to diversify their energy mix,” Barkindo said.
“Gas sees the second largest growth, driven in part by higher urbanisation rates, industrial demand and its competitiveness over coal in power generation.
“In fact, all energies are set to witness growth, with the exception of coal. It is oil, however, that retains its number one position in the energy mix. It is still expected to provide 28 per cent of global energy needs by 2045.”
The OPEC boss said it was clear that the world would need more energy in the decades to come.
Barkindo also said that the global economy had been estimated to be more than double as the world population was set to expand to 9.5 billion.
He added that there was huge potential for socio-economic development in terms of expanding access to modern energy services for the billions of people who continue to go without the required development.
