By Jamal Boubakri
By Jamal Boubakri
Morocco World News
Washington D.C, Nov 13, 2012
According to a new report published by the International Energy Agency (IEA), the United States will be the world’s top global oil producer by 2020. That means that the U.S. will not only be able to meet its oil needs, but a leading exporter to international markets, especially to Canada and South America.
While the United States currently imports around 20% of its total energy needs, the government aims to make the country, that consumes about 25% of global energy production, less dependent on oil imported from the Middle East and other oil exporters. In the last few years, the US government has invested heavily in energy projects such as renewable energy and shale oil extraction.
“Energy developments in the United States are profound and their effect will be felt well beyond North America – and the energy sector,” said the report. The recent rebound in US oil and gas production is driving the global economy upwards and giving the industry a competitive edge. This means that Saudi Arabia and all major oil producers in the Middle East and Russia will have to shift their oil export focus to Asian, European and emerging markets.
Influenced by the tremendous increase in oil and gas production in the United States, the same report mentioned that the global energy map is changing. In fact, it could be further reshaped by a surge in nuclear power production in some countries and continued growth in the use of wind and solar power all over the world.
According to the Energy Information Administration, the U.S., whose crude imports have dropped about 11 percent this year, is on track to produce the most oil since 1991. Global demand for oil is projected to rise by over one third over the period to 2035, with about 60% of the demand coming from China, India and the Middle East.
“Energy efficiency is widely recognized as a key option in the hands of policy makers but current efforts fall well short of tapping its full economic potential,” adds the IEA in its recent annual World Energy Outlook. Most policy makers agree that something has to be done in terms of energy efficiency. Countries like China, India, Japan, the United States and the European Union have announced new policy measures that lead to an energy efficient planet.
The International Energy Agency is a Paris-based institution that advises 28 nations about energy through research and analysis.