The U.S. Energy Information Administration (EIA) has published its International Energy Outlook 2017, an assessment of the outlook for international energy markets through 2050. Natural gas as a transportation fuel occupies a significant place in EIA’s comments.
Amongst its conclusions, the EIA says natural gas driven by favourable economics in heavy trucking is expected to be one of the fastest-growing forms of energy used for transportation in OECD countries on a percentage basis.
“The share of natural gas as a transportation fuel grows from 4% in 2015 to 9% in 2040. Natural gas consumption for passenger and freight transportation—excluding natural gas pipeline consumption—grows to nearly six times its 2015 level by 2040, reaching 9 quadrillion Btu in 2040.”
However, most of the growth in transport-related energy demand is expected to occur in non-OECD countries, where increased stability and investment and long-term economic development are the market enablers.
“Natural gas and electricity, while starting from much lower levels of use than liquid fuels in the transportation sector, are the fastest-growing forms of transportation energy use, with consumption of each approximately tripling between 2015 and 2040. Natural gas consumption for passenger and freight transportation increases nearly 500% from 2015 to 2040, up nearly 8 quadrillion Btu.”
Overall, natural gas is considered to be highly competitive as an energy source. Global natural gas consumption increases by 1.4%/year. Although consumption of non-fossil fuels is expected to grow faster than fossil fuels, fossil fuels still account for 77% of energy use in 2040.
The Executive Summary and Full Report are available for download at www.eia.gov/outlooks/ieo/ The Executive Summary and Full Report are available for download at www.eia.gov/outlooks/ieo/
Source: U.S. Energy Information Administration