Chart of the Day: Energy Shares Through 2030
1. In the future, natural gas usage as a share of total energy will increase, oil usage will decrease, and coal's share of energy consumption will be about the same, and those three hydrocarbons will converge in 2030 at about a 28% share for each energy source.
2. Renewables (including biofuels) will increase in importance as a source of energy, but by 2030 will only represent about 5% of total world energy consumption.
3. Hydro, nuclear and renewables will converge at about a 5% share of energy usage for each source.
Bottom Line: BP's projections for energy shares through 2030 is more evidence that a new world energy map is emerging thanks to advances in drilling technologies like fracking and the abundance of natural gas, and the new energy map will be increasingly centered not on the Middle East but on the Western Hemisphere as Daniel Yergin pointed out recently in the Washington Post. The projections also demonstrate that renewable energy will continue to play a very minor role as a future energy source over the next several decades, and even massive taxpayer subsidies won't change that reality.