IEA Director Doesn't See a Peak in Global Oil Demand

   By Benoit Faucon 
 

PARIS--The International Energy Agency doesn't expect global demand for oil to peak going forward, its executive director said Wednesday.

The remarks come after British oil giant BP PLC (BP) predicted Tuesday that demand for crude oil could peak in the next two decades, as renewables like solar power surge faster than expected to meet a greater share of the world's energy mix.

However, at the IP Week conference in London, IEA Director Fatih Birol said the agency, which monitors energy trends for big consumers, doesn't "see a peak in oil demand, unlike what some companies say."

While the use of electric cars will increase by 2040, they will remain a minority and "demand will grow because of trucks, jets and petrochemicals," he said.

Mr. Birol said that while Saudi Arabia will remain the world's top oil exporter, the U.S. will establish itself as the number one producer in the long run.

The IEA said last month that U.S. oil production is expected to surpass Saudi Arabia's output this year, upending a global pecking order that has been a basis of U.S.-Middle East policy for decades.

Write to Benoit Faucon at [e-mail]

(END) Dow Jones Newswires

February 21, 2018 07:07 ET (12:07 GMT)

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