Demand for oil expected to plunge by 2035

June 3, 2014

Demand for oil will fall to the 2012 level by 2035, experts from the Skolkovo business school have predicted. At the same time, demand for natural gas is set to grow. This conclusion was made as the experts studied the growing demand for electric vehicles at a time when hydrocarbon prices are growing. Eventually, demand for crude is expected to fall to 74.5 mbpd. At the same time, demand for natural gas will grow as cars consume more natural gas fuel.

The situation on the domestic Russian market will not change significantly, but a decrease in demand for oil will affect the state budget. The study also showed that the electric car market is likely to grow faster than oil and consulting companies think. Electric car production is expected to grow to 400,000 vehicles in 2014 from 240,000 in 2013.

Copyright: ProNedra, 2014