Mumbai, Nov 24: As oil and gas producers face pivotal choices about their role in the global energy system amid a worsening climate crisis fuelled in large part by their core products, a major new special report from the International Energy Agency (IEA) on Thursday showed how the industry can take a more responsible approach and contribute positively to the new energy economy.The Oil and Gas Industry in Net Zero Transitions, analyses the implications and opportunities for the industry that would arise from stronger international efforts to reach energy and climate targets.
Released ahead of the COP28 climate summit in Dubai, the special report sets out what the global oil and gas sector would need to do to align its operations with the goals of the Paris Agreement.
Even under today’s policy settings, global demand for both oil and gas is set to peak by 2030, according to the latest IEA projections.
Stronger action to tackle climate change would mean clear declines in demand for both fuels.
If governments deliver in full on their national energy and climate pledges, demand would fall 45 per cent below today’s level by 2050.
In a pathway to reaching ‘net-zero’ emissions by mid-century, which is necessary to keep the goal of limiting global warming to 1.5 degrees Celsius within reach, oil and gas use would decline by more than 75 per cent by 2050.