BP has called for time in view of the world’s growing demand for fossil fuels as oil demand has already peaked and will face an unprecedented shortage for decades.
According to the oil firm, oil demand may not fully recover from the effects of the coronavirus epidemic, and for the first time in modern history it may begin to fall into absolute conditions.
BP’s impressive annual report on the future of energy energy, released on Monday, says that renewable energy energy will be replaced by clean electricity from flying windforms, solar panels and hydropower plants as it develops into a renewable energy energy source.
BP’s chief economist, Spencer Dale, said the combination of the Covid-19 epidemic and the rapid pace of meteorological action had given the company a green light for the world’s ten-day future, which has accelerated “peak oil”.
The report, which follows three energy scenarios over the next 30 years, says that once demand reaches a peak in 2019, the report will be effective for growth in global oil demand.
In the third scenario of BP, to show a world in which the weather action does not accelerate, the demand for oil at the same level as seen in the decade of 2020 before the decline from 2035 to 2019.
The report confirms a chorus of warnings from independent energy economists that the effects of the coronavirus could lead to the start of a terminal decline in the oil industry by the end of the decade.
Bernard Looney, BP’s chief executive, said the findings would help the company “better understand the changing energy landscape” and develop its plan to become a pure zero energy energy company by 2050.
He acknowledged earlier this year that he would not “write off” the prospect of bringing global peaks in demand for coronavirus oil and was “more convinced than ever” that BP must accept a low-carbon future.
The report’s central view, aligned with the goals of the Paris Climate Agreement to keep global temperatures well below 2C below pre-industrial levels, reduces oil demand by 55 percent over the next 30 years. Meanwhile, the report said the greenery environment, in which the world aims to reduce global warming by 1.5 cm. To be limited, oil demand is down 80% by 2050.
The energy transition could be accelerated if global governments choose green recovery from the coronavirus crisis. According to Dell, the boom in economic stimulus packages for low-carbon industries, which is expected by many energy experts, has not been taken into account, as the result is “not inevitable,” according to Dell.
As part of a three-day event outlining the company’s plans to become a Carbon Neutral Energy Company by 2050, they will unveil BP’s Energy Vision vision to investors on Monday, the most ambitious energy transition plan determined by any major oil company. Company.
BP last month announced plans to increase its low-carbon investments eightfold by 2025 and tenfold by 2030, while reducing its fossil fuel production by 40% from 2019. The company took the first step in the sh fashore wind industry last week with 1 1.1bn (£ 860 million) deal to buy stakes in two projects owned by Norwegian Equinor.
The report says the world’s growing reliance on clean energy means that renewable energy could increase from 5% of the world’s energy consumption to 20% to 60% by 2050.
“In all three scenarios, the share of renewable energy is growing faster than ever before in history,” Dale said.
He explained that coronavirus epidemics are expected to halt economic growth in developing countries, which generally stimulate demand, while economically developed countries are putting in place more ambitious climate policies and raising carbon taxes, the report said.
The shift to electric vehicles will also take into account oil demand. In all three scenarios, the report found that migration to electric cars and hydrogen-powered vehicles would lead to a peak in oil consumption in the mid-2020s.
Another factor pulling on forecasts for oil demand in the coming decades is new measures to limit the production of plastics, which are made from more recycling and less single-use plastics using petrochemicals produced from fossil fuels.
This could increase the dynamics of the global debt market, according to BP. The report expects members of the Saudi-led OPEC oil cartel to see a decline in demand, while US shale rigs will account for a large share of the global oil market over the next decade. It could also usher in an era of greater diversity in the energy sphere where no resource dominates the land spa, and everyone is forced to compete for a significant market share.
