BP's Hayward: Economic Growth, Energy Demand To Resume Uptrend
PORT OF SPAIN, Trinidad and Tobago -(Dow Jones)- The dip in global growth
rates is temporary and the world could soon resume a sharp-rising spurt in
economic activity, accompanied by higher demand for energy, the head of BP PLC (
BP, BP.LN) said.
"We're living in a time of unprecedented growth...And with that comes a
dramatic increase in energy demand," Chief Executive Tony Hayward said Tuesday.
Speaking at the Commonwealth Business Forum, a meeting of more than 50
countries, most of them former British colonies, Hayward said fossil fuels will
continue to be the key provider of energy. He said the percentage contribution
from alternative energy sources such as wind and solar to overall consumption is
likely to remain in the low single digits for decades.
"According to BP's projections, the world will need 45% more energy in 2030
than we use today," he said. "That means we'll need to invest more than $1
trillion a year, every year, between now and 2030."
He said crude oil and other fossil fuels will continue to be able to meet this
rising demand. "I don't believe there's a shortage of fossil fuels...We have
around 40 years of oil and 60 years of [natural] gas at the current consumption
rates."
Hayward said a key to avoiding excessive carbon emissions amid this expected
rise in energy demand will be to increase efficiency, which he said had the
double benefit of cutting costs for companies and governments while also
trimming emissions.
The BP chief touted natural gas as the hands-down cleanest-burning fossil
fuel, and said its increased use will be the best way to meet global demand.
-By Dan Molinski, Dow Jones Newswires; 58-414-120-5738; dan.molinski@
dowjones.com
(END) Dow Jones Newswires
11-24-091645ET
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