09 Jun Crude gains energy market share for the first time in 17 years
Oil stayed the world’s leading fuel in 2015, accounting for 32.9 per cent of global energy consumption, BP (LSE:BP) announced in its energy review yesterday.
The report found that prices for all fossil fuels fell in 2015. This led to adjustments in the energy markets, including increasing demand for oil which gained market share for the first time since 1999.
While Brent oil prices fell by nearly 50 per cent to US$52 a barrel last year, oil reserves fell by only 0.1 per cent 1,698 billion barrels.
“Oil grew exceptionally strong because when price falls, demand increases,” said Spencer Dale, BP’s chief economist. “The big casualty last year was coal. We are seeing a shift in the fuel mix away from coal, driven a lot by environment issues.”
Coal remained the second largest fuel by market share, but it was the only fuel that lost global market share in 2015.
Consumption fell by 1.8 per cent in 2015, well below the average 10-year annual growth of 2.1 per cent.
According to BP, growth in energy consumption was below the 10-year average for all regions, except Europe and Eurasia.