Peak Oil Coming in 2020, Says IEA

Peak oil

British newspaper The Independent published an interview with Birol on Monday that laid out that prediction, along with statistics that show that the world’s 800 largest oil fields are seeing a 6.7 annual decline in production, worse than the 3.7 percent decline the agency estimated in 2007.

The prospect of peak oil is a critical one for the modern global economy, since almost all transportation fuel needs, and a good part of the rest of society’s energy demands, are filled by petroleum products.

While a peak in production doesn’t imply that the oil will run out at that time, it does imply that increasing demand won’t be able to be met by increased production, which could lead to a drastic spike in the price of oil.

Greentech Media