Global Energy Demand Will Grow 32% by 2040, Coal Usage Nears Its Final Run
The world's demand for energy will rise 30 per cent higher in 2040 compared to 2010, according to the latest report of ExxonMobil Corporation, "The Outlook for Energy: A View to 2040."
The growth in emerging economies including China, India, Africa and other developing regions will bolster the global increment from now to 2040, the report said.
Oil will continue to remain the most widely used fuel, but coal mining companies are in for a slump as nations will prefer using natural gas, so much that demand will grow fast enough to overtake coal for the number two position.
Usage of natural gas will grow 62 per cent, and will replace coal as the second-largest fuel supply behind crude oil by 2025. The world's overall coal consumption will decline 6 per cent, its first since the start of the Industrial Revolution in the 1700s.
On one hand, coal use is expected to level off and then decline in coming years.
On the other hand, the contribution of nuclear power to the world's energy supply will double by 2040, Irving, Texas-based Exxon said.
Overall, global natural gas, oil and nuclear consumption will rise 32 per cent during the next three decades as population growth drives fuel demand, while coal use experiences a reduction due to environmental restrictions for the first time since the 18th century.
Crude will continue to be the dominant source of transportation fuels in 2040, at about 89 per cent of the market, according to the report.
Global demand clean energy will grow more than four times by 2040, the report said.
About 78 per cent of global fuel supplies in 2040 will be made up of oil, gas and coal. Biomass, hydroelectric and renewables including wind and solar usage will add 15 per cent of supplies. Nuclear will address 8 per cent of demand.
ExxonMobil forecasts that hybrids and other advanced vehicles will account for nearly 50 per cent of all light duty vehicles on the road by 2040, as against to only about 1 per cent today.
Hybrids, which rely on both gas and electricity for power, should by now get into the mainstream to support global plans in boosting fuel-efficiency requirements, Exxon said.
Those hybrids, as well as other vehicles and a growing number of households around the world, will source its power requirements from natural gas, nuclear power and renewable energy sources, ExxonMobil Corporation said in its annual long-term energy outlook.