IEA Believes 20% Energy Savings Possible by 2035

The report outlines a "transformational shift" in the global energy landscape, expansion of energy availability to satisfy demand, and subdued expectations about achievable energy savings.

According to the IEA, energy savings will be just important in energy supply as traditional supply. By 2035, energy savings can amount to about 20 percent of the energy consumption in 2010, the organization said. "In other words, energy efficiency is just as important as unconstrained energy supply, and increased action on efficiency can serve as a unifying energy policy that brings multiple benefits," the organization stated.

Among the data published are the following forecasts:

- The U.S. will be a net exporter of natural gas by 2020 and will be almost self-sufficient in energy by 2035
- Almost 90 percent of oil resources provided by the Middle east will go to Asia by 2035
- Global oil demand will be more than 99 million barrels per day by 2035, up from 1.7 million barrels per day in 2010
- The oil price will hit $215 (nominal) per barrel in 2035
- Iraq will be surpassing Russia as the world's second largest oil exporter in 2035, and account for 45 percent of the growth in global oil production
- Demand for natural gas will grow by 50 percent to 5 trillion cubic meters in 2035, and global coal demand will increase by 21 percent with a focus on China and India
- Renewable energies will be the world’s second-largest source of power generation by 2015 and close in on coal as the primary source by 2035
- $4.8 trillion in subsidies for renewables will be required until 2035
- 15 percent of the world's available water is tied up in energy production; by 2035 that amount will increase by 85 percent due to the usage in greater power production and biofuels

"Our analysis shows that in the absence of a concerted policy push, two-thirds of the economically viable potential to improve energy efficiency will remain unrealized through to 2035," said Fatih Birol, IEA Chief Economist and the WEO’s lead author. "Action to improve energy efficiency could delay the complete ‘lock-in’ of the allowable emissions of carbon dioxide under a 2oC trajectory, which is currently set to happen in 2017, until 2022, buying time to secure a much-needed global climate agreement. It would also bring substantial energy security and economic benefits, including cutting fuel bills by 20% on average."

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