The record breaking U.S. gasoline…
Falling demand and consistent refinery…
According to a report released by Beltone Financial the Arab State of Qatar is predicted to spend more than $20 billion on power generation and water desalination over the next 20 years in order to fuel its ambitious plans for economic expansion.
The country already boasts one of the highest per capita consumption rates of electricity in the world. It spent $10 billion on utilities in the last decade, but due to the constantly expanding economy and events such as the FIFA 2022 World Cup, that figure is expected to double in the following decade.
"The hosting of the FIFA 2022 World Cup means that significant investments in infrastructure (transportation networks, roads, hotels, airport and other facilities) will be needed,” Beltone Financial said. “Going forward, expectations are that electricity demand will continue to grow by at least 10 percent per annum for the next five to seven years and, subsequently, at around 4 percent per annum until 2030.”
In order to keep up with demand for electricity, supply increased at a similar rate over the last decade to the current capacity of 8,756MW. This gives Qatar a surplus of at least 2,500MW which according to the Minister of Energy and Industry, Dr. Mohamed bin Saleh al-Sada, can be exported to neighbouring GCC countries through the interconnection gird.
Desalination plants also received a large amount of investment because desalinated water is the main source of water to Qatar due to the scarcity of resources on the peninsula. As the economy has grown, so too has the demand for water and for that reason investment has been so high.
By. James Burgess of Oilprice.com
For the latest oil prices visit our homepage.
James Burgess studied Business Management at the University of Nottingham. He has worked in property development, chartered surveying, marketing, law, and accounts. He has also…