Economics
What OPEC’s Oil U-Turn Missed: Peak Demand Keeps Getting Closer
- World Energy Council says consumption may stop growing by 2030
- Renewable energy, electric vehicles will disrupt industry
Speculators More Bullish on Oil
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OPEC’s decision last month to reverse its policy of unfettered production and cut oil output to boost prices may be at odds with the industry’s most important long-term trend: demand for what they produce could start falling within 15 years.
If rapid improvements continue in renewable energy, electric vehicles and other disruptive technologies, petroleum consumption will peak in 2030 and decline thereafter, according to a report from the World Energy Council. As the globe’s largest producers gather in London this week for the Oil and Money conference, they might want to check their assumption that the market will grow for decades to come.