Published on : Mar 18, 2014
If estimates of market experts are to be believed, natural gas is likely to emerge as the fastest growing source of energy used up until 2035. Analysts predict that the global consumption of energy is slated to grow at 1.9% on annual on an average. These details were encapsulated in a report titled the BP Energy Outlook 2035.
The report states that between the years 2012 and 2035, the demand for natural gas will likely grow at an average rate of 1.9% annually. This amounts to more than the other energy sources that are currently used in the world.
However, this would also mean that the prices of natural gas would scale upward as the demand for this energy source grows. Currently, Qatar is the largest LNG exporter globally, as mentioned in the Energy Outlook report.
Further, the report also anticipates that the consumption of energy globally will grow by a whopping 41% between 2012 and 2035. According to the report, of this total forecast, more than 95% of the demand will originate from markets that are emerging. These include the likes of India and China. Interestingly, these countries are likely to constitute around 25% of all global share of natural gas as an energy source.
In the meanwhile, the usage of energy among OECD members is also slated to rise at a slow pace, and will eventually begin to decline as the years pass by during the period of forecast that the study is based on.
This reduced energy consumption is attributed to the fact that such economies will largely transition into service economies and will witness reduced industrial activity.
The study further states that countries such as India and China, that are non OECD countries, are likely to generate demand growth amounting to 78% of which sectors such as power and industry will occupy major chunks.