IEA Allowed Oil Prices to Rise above 70 Dollars per Barrel by 2025
OREANDA-NEWS. The cost of oil in the next 20 years will remain above 50 US dollars per barrel, and in the baseline scenario it may rise to 71 dollars by 2025, to 76 dollars by 2030, and to 85 dollars per barrel by 2040. This follows from the World Energy Outlook 2020 published by report of the International Energy Agency (IEA).
In a long-term forecast until 2040, the IEA is considering several scenarios for the development of energy markets after the pandemic.
In Stated Policies Scenario, experts assume that the world will gradually gain control over the coronavirus pandemic in 2021. In this case, the global economy will return to pre-crisis levels by the end of 2021.
If COVID-19 is not defeated in 2021, under the Delayed Recovery Scenario, the oil price will rise up to 59 dollars per barrel by 2025 and up to 72 dollars by 2040.
In Sustainable Development Scenario, in which humankind is accelerating the achievement of the climate targets of the Paris Agreement, it is assumed that oil would cost 57 dollars in 2025, but by 2040 it would drop to 53 dollars per barrel.