Demand for energy will peak in next 14 years, World Energy Council says

Worldwide energy demand for transport fuel, heating and electricity will peak before 2030, according to a major study by academics, energy companies and the public sector, though positive scenarios are seen for oil and solar and wind energy.

Reversing the growth trend that has seen global demand for energy more than double since 1970, the World Energy Council's 2016 'Great Transition' report said per capita energy demand will fall from 2030 as technological innovation, government policies and lower growth expectations all have a significant impact on the sector.

“It is clear that we are undergoing a Grand Transition, which will create a fundamentally new world for the energy industry," said Ged Davis, executive chair of Scenarios at the World Energy Council.

"Historically people have talked about Peak Oil but now disruptive trends are leading energy experts to consider the implications of Peak Demand. Our research highlights seven key implications for the energy sector which will need to be carefully considered by leaders in boardrooms and staterooms.”

Oil is expected to continue to play a significant role in the transportation sector through 2060, representing over 60% of the mix in all three possible scenarios calculated in the report, while natural gas will continue to increase at a steady rate.

A possible peak demand for oil is calculated within the 2035-2045 timeframe in all three scenarios.

Demand for electricity was seen as likely to double by 2060, with demand for solar and wind, which currently account for approximately 4% of power generation, surging to between 20% percent and close to 40% of power generation in the same timeframe.