· 2 min read
illuminem summarizes for you the essential news of the day. Read the full piece on Forbes or enjoy below:
🗞️ Driving the news: BP's 2024 Energy Outlook presents a challenging future for oil, with projections indicating declining demand in both moderate and aggressive decarbonization scenarios
• Meanwhile, natural gas and Liquefied Natural Gas (LNG) see potential growth, but face uncertainty depending on global policies favoring renewable energy
🔭 The context: The report outlines two scenarios: the Current Trajectory (CT) predicts oil demand will peak and decline by 25% by 2050, while the Net Zero (NZ) scenario forecasts a more dramatic 73% drop
• For LNG, demand could rise until 2030, but potentially fall by 58% by 2050 under the NZ scenario as renewables gain ground
🌍 Why it matters for the planet: The shift away from oil and potentially gas highlights the importance of transitioning to cleaner energy sources to meet climate goals, with significant implications for global energy markets and emissions
⏭️ What's next: The future of LNG and gas depends heavily on international policies and the pace of renewable energy adoption, particularly in emerging economies
• Investment risks are high, given the potential for policy shifts towards more sustainable energy sources
💬 One quote: "The world has never reduced any fuel on a sustained basis. It's just consumed more of everything and that's the historic challenge facing the global energy system," said Spencer Dale, BP's chief economist
📈 One stat: BP projects that global oil demand could drop from 100 million barrels per day (MMbopd) to 27 MMbopd by 2050 under the Net Zero scenario
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