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IEF, IHS Markit: deepening underinvestment in hydrocarbons raises specter of continued price shocks and volatility

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Underinvestment in oil and gas development extended into a second year in 2021 even as global energy demand rebounded, raising the prospect of price shocks, scarcity and growing energy poverty, according to a new report by the International Energy Forum (IEF) and IHS Markit. Investment slumped by 30% in 2020.

Price 416
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IEA: global CO2 emissions rebounded to their highest level in history in 2021; largely driven by China

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China was the only major economy to experience economic growth in both 2020 and 2021. The numbers make clear that the global economic recovery from the COVID-19 crisis has not been the sustainable recovery that IEA Executive Director Fatih Birol called for during the early stages of the pandemic in 2020. billion tonnes. billion tonnes.

Emissions 370
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IHS Markit: US oil production growth heading for a major slowdown, as capital discipline and weak prices play out

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US shale production—the chief source of rapid growth that made the United States the world’s largest oil producer—is slowing down fast, says a new report by IHS Markit. Investors are imposing capital discipline on E&P’s by pushing down equity prices and pushing up the cost of capital on debt markets.

Oil 170
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Navigant forecasts global natural gas fleet of 34.9M by 2020

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Cumulative natural gas vehicles in use by segment, world markets: 2013-2020. million by 2020. The increase is largely driven due to a combination of low-cost natural gas and sustained higher prices for gasoline and diesel in many countries, Navigant suggests. Source: Navigant Research. Click to enlarge.

2020 321
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EIA expects US motor fuel consumption to increase this summer, but remain below 2019 levels

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The US Energy Information Administration (EIA) forecasts an increase in demand for petroleum products during the 2021 summer driving season as the impacts of COVID-19 diminish in the United States. EIA expects the retail price of regular-grade gasoline in the United States will average $2.78 million b/d from March 2020.

2019 186
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IEA: nuclear power can play a major role in transition to low emissions energy systems; Russia, China leading on new reactor starts

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About 63% of today’s nuclear generating capacity comes from plants that are more than 30 years old, since many were built in the aftermath of the 1970s oil shocks. While plant lifetime extensions require substantial investment, they generally yield a cost of electricity that is competitive with wind and solar in most regions.

Russia 458
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EIA AEO2015 projects elimination of net US energy imports in 2020-2030 timeframe; transportation energy consumption drops

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The Annual Energy Outlook 2015 (AEO2015) released today by the US Energy Information Administration (EIA) projects that US energy imports and exports will come into balance—a first since the 1950s—because of continued oil and natural gas production growth and slow growth in energy demand. —EIA Administrator Adam Sieminski.

2020 150