Exxon Predicts Natural Gas Demand to Double by 2040
In a report released today by Exxon Mobil Corp, the outlook for energy over the upcoming decades predicts global energy consumption will rise 32 percent by 2040. For over 50 years, Exxon has employed a team of economists to assemble the long-term outlook each year to help guide future investment.
India's energy use will more than double and significant increases in energy will occur in Africa, Latin America and the Middle East, while fuel consumption will decline in the US and Europe, according to the report. One explanation for these trends involves the developed world's well-established environmental regulations and renewable energy incentives that keep pollution levels at bay, while developing countries lack the infrastructure, resources or regulations to avoid the inevitable dependence on fossil fuels.
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Additionally, renewable energy will more than quadruple and nuclear power will almost double by 2040, rising 62 percent and displacing coal as the second-largest fuel supply after crude oil, the report says. One out of every two cars in the US will either be a hybrid or alternative-fuel vehicle, yet 90 percent of the world's transportation will still run on oil-based fuels.
As Exxon becomes America's largest natural gas supplier, the rise in demand for natural gas will mean their investments will pay off in the long-term. Overall, the report is good news for big oil.
However, the coal industry disagrees with the company's predictions. The International Energy Agency contradicts Exxon's report, predicting that natural gas won't catch up to coal by 2035, and will still account for 25 percent of the world's energy.
“It’s clear that Exxon is relying on their vested interest in fracking,” Lisa Camooso Miller, a spokeswoman with the American Coalition for Clean Coal Electricity, told the Associated Press.
The public has been warned to take any energy reports with a grain of salt.
Hydrostor receives $4m funding for A-CAES facility in Canada
Hydrostor has received $4m funding to develop a 300-500MW Advanced Compressed Air Energy Storage (A-CAES) facility in Canada.
The funding will be used to complete essential engineering and planning, and enable Hydrostor to plan construction.
The project will be modeled on Hydrostor’s commercially operating Goderich storage facility, providing up to 12 hours of energy storage.
Hydrostor’s A-CAES system supports Canada’s green economic transition by designing, building, and operating emissions-free energy storage facilities, and employing people, suppliers, and technologies from the oil and gas sector.
The Honorable Seamus O’Regan, Jr. Minister of Natural Resources, said: “Investing in clean technology will lower emissions and increase our competitiveness. This is how we get to net zero by 2050.”
A-CAES has the potential to lower greenhouse gas emissions by enabling the transition to a cleaner and more flexible electricity grid. Specifically, the low-impact and cost-effective technology will reduce the use of fossil fuels and will provide reliable and bankable energy storage solutions for utilities and regulators, while integrating renewable energy for sustainable growth.
Curtis VanWalleghem, Hydrostor’s Chief Executive Officer, said: “We are grateful for the federal government’s support of our long duration energy storage solution that is critical to enabling the clean energy transition. This made-in-Canada solution, with the support of NRCan and Sustainable Development Technology Canada, is ready to be widely deployed within Canada and globally to lower electricity rates and decarbonize the electricity sector."
The Rosamond A-CAES 500MW Project is under advanced development and targeting a 2024 launch. It is designed to turn California’s growing solar and wind resources into on-demand peak capacity while allowing for closure of fossil fuel generating stations.
Hydrostor closed US$37 million (C$49 million) in growth financing in September 2019.