Tuesday, September 15, 2020

Energy giant BP suggests that peak oil demand may have already passed

A major report by energy giant BP is predicting peak oil demand is coming soon, or may even have already passed.
The forecast in their 2020 Energy Outlook looks at three different scenarios: a rapid transition scenario, in which carbon emissions from energy use is reduced by 70% by 2050; a net zero scenario, in which decarbonization is pursued even more aggressively; and a business-as-usual scenario, in which government policies and societal behaviour evolve in a manner similar to the recent past. In both the rapid transition and net zero scenarios, oil demand has already peaked, and will continue a precipitous downward trajectory henceforth. Even under the business-as-usual scenario, oil demand is expected to peak around 2030 at a level barely above the current demand, and start to gradually decrease theeafter.
If this seems like a radical and pessimistic outlook coming from an oil company, bear in mind that BP has been ramping up its investments in renewable energy for some years now, and has already off-loaded its global petrochemical business, and is openly looking at selling many of its oil and gas assets in the near future.
So, the writing is on the wall, as even the industry itself admits. Do you think that Alberta is listening? Are you kidding?

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