World oil consumption forecast raised by watchdog
Wednesday 13 October 2010
An energy watchdog lifted its forecast for world oil consumption today but played down fears that prices will top 100 US dollars a barrel.
Global demand is expected to reach 86.9 million barrels a day this year and 88.2 million barrels a day next year, the International Energy Agency (IEA) said, revising up its previous forecast by 300,000 barrels for each year.
Oil prices broke through the 80 US dollars a barrel mark earlier this month, and higher demand could prompt a further increase, which in turn could be passed on to the petrol pump or see business costs climb.
David Fyfe, editor of the IEA oil market report, tried to calm concerns and said there would be "comfortable levels of supply".
He said: "Prices in early October broke through the psychological 80 US dollars a barrel barrier, with many foreseeing more strength to come.
"Choruses of '100 dollars a barrel by next year' are being heard once more. Our own view, however, is that markets could remain comfortably supplied until well into 2011."
The IEA - the energy arm of the Organisation for Economic Co-operation and Development (OECD), a grouping of the world's richest nations - said changes were made after the latest economic forecast from the International Monetary Fund earlier this month.
The agency said stronger-than-expected economic growth in developing countries, outside the OECD, and increased demand for crude oil in the third quarter of the year in countries within the OECD, led to the upward revision.
The IEA expects oil demand to rise by 2.1 million barrels a day year-on-year in 2010, and the growth to slip back 1.2 million barrels a day in 2011.
Newcastle winger is in Argentina having chemotherapy
Returning to the stage after 20 years makes actress feel 'nauseous'
Human faces unique 'because we don't recognise each other by smell'
Man's attempt to avoid being impounded heavily criticised
Colin Firth and Emma Stone star together in Magic in the Moonlight: Woody Allen's 1920s romance
- 1 Scottish independence: Ireland since 1919 is a lesson for Scotland in what a Yes vote means
- 2 A bottle of wine a day is not bad for you and abstaining is worse than drinking, scientist claims
- 3 Grandmas keep accidentally tagging themselves as Grandmaster Flash on Facebook
- 4 Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
- 5 Kanye West halts concert after two fans don't stand up - doesn't realise one is in wheelchair and the other disabled
Islamic State: Pope is 'being targeted by Isis', Iraqi ambassador to the Holy See warns
Jennifer Lawrence and Kate Upton nude pictures exhibition cancelled after artist concedes photos were 'stolen property'
Scottish independence referendum: A nation divided against itself
John Travolta addresses former pilot's gay romance allegations publicly for the first time: 'That was the lowest I'd ever felt'
Richard III: Two years after his body was found scientists discover how he died
Daniele Watts: Django Unchained actress detained by Los Angeles police after being mistaken for a prostitute
The political class is doing what Hitler couldn’t – destroying Britain
Scottish independence: Nationalist leader Jim Sillars threatens pro-union companies with 'day of reckoning' after independence
Scottish independence: Yes campaign feels the heat as Alex Salmond's NHS claims come under furious attack
Portuguese academic says British are 'filthy, violent and drunk'
£23m Birmingham cycle scheme is attacked by Tory councillor for not catering to the elderly
iJobs Money & Business
£20000 - £25000 per annum + OTE £35,000 first year: SThree: The SThree group i...
£20 - 24k (Uncapped Commission - £35k Year 1 OTE): Guru Careers: We are seekin...
£20 - 24k + Benefits: Guru Careers: This is a great opportunity for an enthusi...
£280 - £320 per day: Ashdown Group: The Ashdown Group have been engaged by a l...