The energy transition and the UK’s drive to net-zero requires the oil and gas industry to embrace energy efficient operations, while supporting the growth of CCS, offshore renewables, and hydrogen.
written by Mark Dickson
Oil and gas as a source of energy is a significant fraction of the 2050 energy mix, despite many opinions in the popular press to the contrary. Limiting global warming to 1.5°C will require ambitious, internationally cooperative policy environments that transform both supply and demand, and in turn, this will put pressure on oil and gas.
By 2050, in the latest International Renewable Energy Agency Renewable Energy Roadmap reference case, fossil fuel use for energy would fall to one-third of today’s levels. Oil and coal would decline most, by 70% and 85% respectively. Natural gas use would peak around 2027 and would be the largest source of fossil fuel by 2050, however with production declining by 30% from the present level. Undoubtedly, oil and gas will be around for a while.