Despite growing efforts to shift toward cleaner energy, the world’s hunger for fossil fuels shows little sign of slowing down. The International Energy Agency recently released projections that paint a concerning picture of our energy future, suggesting that without major changes, fossil fuel consumption could increase markedly over the coming decades.
Global oil demand tells a particularly striking story. Currently sitting at 100 million barrels per day in 2024, consumption could jump to 105 million barrels by 2035 and potentially reach 113 million by 2050. To put that in perspective, imagine filling an Olympic-sized swimming pool every few seconds – that’s roughly how much oil the world uses daily. Oil prices are expected to climb above $100 per barrel by 2050, making energy more expensive for everyone.
Natural gas demand presents another challenge. The IEA forecasts that gas consumption will continue rising until 2035, climbing 31% by 2050 under current policies. Gas demand in 2030 is projected to be 7% higher than previously estimated, showing that our appetite for this fuel remains robust despite environmental concerns.
Coal offers the only bright spot in these projections. Unlike oil and gas, coal use is expected to decline steadily, dropping to about 20% below current levels by 2050. Coal appears to be at or near its peak, with demand projected to fall as renewable energy sources become more competitive. Smart investors are applying diversification strategies across different energy sectors to navigate this complex transition.
Perhaps most sobering is the overall picture: fossil fuels will likely account for nearly 80% of total energy demand by 2050. This proportion has remained virtually unchanged over the past 25 years, despite decades of climate awareness and green energy investments. The energy transition offers the promise of greater prosperity through lower costs and cleaner technologies.
The IEA warns that without dramatic policy changes, current energy choices could lead to a world that’s 2.4°C warmer by 2100. This temperature increase would bring more extreme weather, rising sea levels, and significant disruptions to agriculture and ecosystems. However, renewable energy sources are expected to experience unprecedented growth, with solar power potentially increasing ninefold by 2050.
The agency emphasizes that achieving climate goals requires not just switching energy sources, but actually reducing overall energy consumption over the next decade – a challenge that demands coordinated global action.
