The energy transition should not crowd out any source of energy as all energy sources of today will be required for the foreseeable future, OPEC Secretary General Mohammad Barkindo said.
“We continue to urge all our member countries and the international industry to continue to invest in all sources of energy, including oil and gas, in particular using technology to mitigate against these emissions,” the head of OPEC added.
“For the industry, for OPEC, and all our member countries, and the global economy, all the energy sources of today will be required for the foreseeable future,” Barkindo told Amena Bakr, Chief Opec Correspondent at Energy Intelligence, in a The Conversation of the Century debate on the future of energy.
“For us in OPEC, and in the industry, and in the mainstream of the global conversation, the energy transition is not a transition from once source of energy to another,” Barkindo noted.
Transition is moving away from greenhouse gas emissions in the exploration, production, transportation, and consumption of fuels across the board to more sustainable sources of energy that would address the emissions issue, OPEC’s chief said, adding that the definition of ‘energy transition’ should not crowd out any source of energy.
Commenting on the Net-Zero report of the International Energy Agency (IEA), which suggested that a net-zero pathway would not need any new investment in oil and gas, Barkindo said that “you can invest as much as you want in renewables, but if the emissions problem is not addressed, net-zero goals would not be achieved.”
In the report, the IEA “punctured many holes themselves” because it was the Paris-based agency itself that was one of the first to raise red flags about a supply deficit after the 2014-2016 downturn, urging for more investment in oil and gas, Barkindo said.
Last month, an internal OPEC report, seen by Reuters, found that the IEA’s suggestion of no new investment in oil and gas ever could further raise the volatility in oil markets if investors heed the call.
By Tsvetana Paraskova for Oilprice.com
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