According to the Paris-based International Energy Agency, peak oil, gas, and coal demand is expected to occur in 2030. However, Saudi Aramco’s CEO, Nasser, believes that this forecast may not be accurate and that demand is unlikely to peak anytime soon. He mentioned that the IEA’s focus on demand in the U.S. and Europe overlooks the developing world, which also plays a significant role in energy consumption.
Nasser highlighted that despite significant investment of over $9.5 trillion in alternative energy sources over the past two decades, they have not been able to replace hydrocarbons on a large scale. Currently, wind and solar energy only account for less than 4% of the world’s energy supply, while electric vehicles make up less than 3% of total vehicles on the road. This indicates that the transition to alternative energy sources has been slower than anticipated and may not reach peak demand by 2030 as predicted by the IEA.
Despite these challenges, Nasser remains optimistic about Saudi Arabia’s role in shaping the future of energy production and consumption. He emphasized that Saudi Aramco will continue to invest heavily in research and development to find new ways of producing and consuming energy more efficiently and sustainably.
In conclusion, while peak oil, gas, and coal demand may occur around 2030 according to some experts, others like Saudi Aramco’s CEO believe it may take longer or may not happen at all due to various factors such as underestimating global energy consumption from developing countries or slow progress towards transitioning to alternative energy sources.
