“Announced Pledges Scenario (APS) Nationally Determined Contributions (NDC) commitments reduce emissions faster: global emissions peak before 2025 and fall to 31.5 Gt CO2 in 2030, about 15 percent less than in 2025. STEPS,” the report said.
The scenario in the IEA’s Energy Outlook report is based on prevailing policy settings where global demand for fossil fuels will eventually peak.
“Coal demand will peak in the next few years, natural gas demand will plateau at the end of the decade, and oil demand will peak in the mid-2030s before declining slightly. From the current 80 percent—a level that has remained steady for decades—fossil fuels will account for less than 75 percent of the global energy mix by 2030 by and to just over 60 percent by mid-century, the report said.
The World Energy Outlook report states that the global energy crisis caused by the conflict in Ukraine has far-reaching consequences for entire economies, prompting short-term responses from governments and a deeper discussion on ways to promote energy security.
“This is a global crisis, but Europe is the main theater in which it plays out, and natural gas is central – especially in the coming Northern Hemisphere winter,” it says.
High energy prices are causing a huge wealth transfer from consumers to producers, to 2014 levels for oil, but completely unprecedented for natural gas. High fuel prices cause 90 percent of the increase in the average cost of electricity production worldwide, natural gas alone more than 50 percent.
“Price and financial pressures mean that the number of people without modern energy will increase for the first time in a decade. Around 75 million people who have recently gained access to electricity are likely to lose the ability to pay for it, and 100 million people may revert to traditional for the use of biomass in cooking,” it says.
The report goes on to say that there are still major uncertainties regarding the development of the energy crisis and the long-term persistence of high fossil fuel prices, and the risks of energy blackouts and geopolitical fragmentation are high.
HT
Source: ANI
Source: The Nordic Page