Demand destruction of oil

In an opinion piece dated September 11 carried in the Financial Times, Fatih Birol, the executive director of the IEA, said the world was heading towards the end of the fossil fuel era. “The age of seemingly relentless growth for fossil fuel demand is at the beginning of the end,” Mr Birol, the guru of the energy world, underlined. “This is the first time that a peak in demand is visible for each fuel (oil, gas and coal) this decade — earlier than many people (had) anticipated,” adding demand will hit an all-time high before the end of this decade. The peak in demand was primarily driven by the spectacular growth of clean energy technologies such as solar panels and electric vehicles, the changing energy governmental policy around the globe, the structural shifts in China’s economy, the rise in the use of heat pumps and the forced accelerated move off gas in Europe after Russia invaded Ukraine, Mr Birol underlined.