Insight
What does peak oil demand mean for the price of oil?
*Please note that this report only includes an Excel data file if this is indicated in "What's included" below
Report summary
In this insight, we address what will happen to the oil price given the peak in oil demand in the late 2030s. Despite the peak, oil demand by 2040 is still 10% higher than our current level of demand. In a world where the cost of crude oil extraction will rise as we drill up cheap and plentiful supplies in the US, and push further into frontier territories around the world to deliver the marginal barrel, prices will not collapse as we approach peak oil demand. Through the 2030s we expect oil prices to be much higher than they are today.
Table of contents
- Peak oil demand: how do we get there?
- With improvements in fuel efficiency and a rapid take up in electric vehicles, why does oil demand grow at all in our forecast?
- On the supply side, non-OPEC production peaks in the early 2030s
- Higher cost supply is required into the long-term
Tables and charts
This report includes the following images and tables:
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Global liquids demandGlobal demand lost to EVs and natural gasDemand by region
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Demand by main productElectric vehicle salesEV sales shareGlobal car stock by vehicle typeDemand displaced by electric vehiclesDeveloping world middle classDeveloping world passenger vehicle fleetYear-on-year change in global production capacityA supply gap of 26 million b/d must be met by new drilling by 2030
What's included
This report contains:
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