ExxonMobil sees a shift from coal to lower-carbon fuels, particularly natural gas, in future in view of the economic, environmental, and regulatory factors pointing to a profound change in the fuel mix used to generate electricity.

"By 2030, natural gas will account for more than a quarter of the world’s steadily growing electricity needs,” ExxonMobil senior vice-president Andrew P Swiger said at the Doha Forum on Democracy, Development and Free Trade in Doha yesterday.

Liquefied natural gas (LNG) will create a global market for natural gas that will meet a growing proportion of the demand as well, particularly in Asia. According to ExxonMobil’s projections, roughly one-sixth of the world’s natural gas demand in 2040 may be met by LNG alone.
“Needless to say, Qatar is well positioned to benefit from these developments,” Swiger said.

“That is not simply because Qatar is blessed with abundant reserves of natural gas. It is because HH the Emir Sheikh Hamad bin Khalifa al-Thani articulated a farsighted vision for his people. QNV (Qatar National Vision) 2030 provides a strategy to use the state’s resources to modernise Qatar’s economy, to increase education and opportunity, and protect the environment for generations to come.”

Swiger said ExxonMobil’s role in contributing to Qatar’s emergence as a global energy leader is a source of great pride. The company’s joint ventures with Qatar Petroleum are helping develop the North Field, the world’s largest non-associated gas field, which supplies markets around the globe.

At the same time, ExxonMobil’s Al Khaleej Gas and Barzan Gas projects are providing critical supplies for the domestic market and helping support Qatar’s transition to a knowledge-based economy.

On global economy, Swiger said despite the economic and political turmoil of recent years, ExxonMobil has an optimistic view about the world’s long-term energy and economic trends.

According to ExxonMobil’s annual “Outlook for Energy”, the global economy should more than double in size by 2040. Developing economies will lead this extraordinary expansion, growing at an annual rate of nearly 4.5% every year for the next three decades.

Swiger said an increasing population will partly drive this phenomenon, as the earth’s current population of 7bn grows to approximately 8.7bn by 2040.

“Substantial economic growth and improved living standards cannot be fuelled solely by shared aspirations for a better life. They will require sizeable amount of energy. ExxonMobil expects global energy demand to be about 30% higher in 2040 than in 2010, and more than 70% higher in the Middle East,” Swiger said.
Electricity will be the key to extending the comforts of modern life to more and more people. As such, electricity generation will be the largest and fastest growing source for global energy demand, he said.
“How we generate that electricity – indeed, how we satisfy the growing global demand for energy – speaks to the challenges facing companies like ExxonMobil as well as nations like Qatar. But it also provides tremendous opportunities,” Swiger added.