The International Energy Agency (IEA) announced that global oil and gas demand could increase until 2050. It also projected that it will likely not be possible to reach climate targets, deviating from expectations of a rapid transition to clean fuels.
According to the IEA’s Current Policies scenario, oil demand will reach 113 million barrels per day in 2050; this means an increase of approximately 13 percent compared to 2024 consumption. Global energy demand is expected to increase by 90 joules by 2035, meaning a 15 percent rise from current levels.
According to the IEA’s report, final investment decisions for new liquefied natural gas (LNG) projects in 2025 showed an increase. By 2030, approximately 300 billion cubic meters of new annual LNG export capacity is expected to come online; this means a 50 percent increase in current supply. In the current policies scenario, the global LNG market will rise from approximately 560 billion cubic meters in 2024 to 880 billion cubic meters in 2035 and 1,020 billion cubic meters in 2050. This increase is driven by energy demand supported by data centers and artificial intelligence growth.
The report states that global investment in data centers is expected to reach $580 billion in 2025. This will exceed the global spending on annual oil supply, which is $540 billion.
Source: Bloomberght
