"While demand for oil is going to fall in the developed countries, emerging markets that lack a proper infrastructure to replace hydrocarbons with other energy sources will act as locomotives in the global oil market", believes Alexander Kurdin, the Head of the Department for Strategic Studies in Energy of the Analytical Center.
In the next 30 years demand for oil will be driven by developing countries
“Demand for oil in the developed nations is set to decline as they switch to more efficient fuel technologies: after all oil is used primarily in transport. In addition, developed countries are all working on alternatives for ‘black gold," the expert said, speaking at a round table held at the press center of the Parlamentskaya Gazeta.
In the meantime, demand for oil in the emerging markets is showing no signs of abating and is only going to grow, according to Mr. Kurdin. In his opinion, this has to do primarily with the lack of infrastructure to replace oil. For example, a resident of an apartment block in China or India will find it very hard to charge a Tesla electric car in one night, unlike Europeans who can charge their electric cars in the garage at home, so we are likely to see continued stable demand for hydrocarbons in countries like India and China.
“Over the next thirty years it is going to be developing countries that will keep the demand for oil up,” Mr. Kurdin concluded.