French oil major TotalEnergies expects global oil demand to peak in the years between 2035 and 2040, with potential for demand to decline faster if sales of electric vehicles continue to grow, Reuters reports citing the company’s chief sustainability officer.
The company’s annual energy outlook report projects that global demand for petroleum products will increase and plateau during the 2030s before beginning a slow decline. Last year’s forecast had expected oil demand to rise until 2040 before declining gradually.
The report adds that the crisis in energy markets triggered by the US-Israeli war on Iran could, however, act as an “accelerator” of the energy transition, pointing to a sharp increase in EV sales in Asia, Latin America and Europe, and an increase in biofuel blending requirements influencing energy consumption patterns.
Chief sustainability officer Aurelien Hamelle tells reporters there has been a “stunning acceleration” of low-carbon technology between the second quarter of 2025 and the second quarter of 2026.
