A new report from Navigant Research has said that the costs of dependence on oil for transportation, which affects energy security, environmental security, and economic stability, has become increasingly clear to governments around the world. As a result, Navigant has said that a number of policies aimed at reducing oil consumption have been initiated in many countries, including subsidising alternative fuels and alternative fuel vehicles, biofuels mandates, and higher fuel economy requirements for new vehicles. The new report forecasts that gasoline consumption for road transportation will continue to rise through 2021, hitting 367.3 billion gal/.y, but then start to fall thereafter, declining to 348.1 billion gal./y in 2035.
While the market for electric vehicles is growing at a healthy pace, the report has said that the most impactful fuel savings strategy is likely to come from fuel efficiency improvements in the conventional vehicle platform and the internal combustion engine (ICE). To meet the increased fuel economy requirements for new vehicles, automakers have made major investments in engine downsizing, reducing vehicle weights, and vehicle electrification.
‘Transportation Forecast: Global Fuel Consumption,’ analyses the global road transportation fuels market by alternative fuel and vehicle segment. Analysis and data are provided for gasoline, diesel, ethanol, biodiesel, drop in fuels, natural gas, LPG, electricity and hydrogen. Global market forecasts for energy, oil and fuel consumption, segmented by country and vehicle segment, extend through 2035.
Scott Shepard, research analyst, Navigant Research, said, ‘the anticipated effects of climate change are driving international cooperation on mitigation efforts including reducing oil consumption in their transportation sector. Markets for both vehicles and fuels have gradually begun to respond to these efforts, and alternative fuels, including electricity, natural gas, and biodiesel are beginning to have an impact on global oil demand.’
Adapted by Claira Lloyd
Read the article online at: https://www.hydrocarbonengineering.com/gas-processing/05082014/navigant-global-gasoline-research/