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.
- 1 Venezuela Expo Tattoo 2015: Extreme body art from 'Vampire Woman' to 109mm earlobes
- 2 Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
- 3 Ball pool for adults opens in London
- 4 Amal Clooney gives excellent response to fashion question at European Court of Human Rights
- 5 Rashida Jones speaks out against male-centric porn saying 'women should have sex and feel good about it'
Saudi preacher who 'raped and tortured' his five -year-old daughter to death is released after paying 'blood money'
Putin opponent reveals Russian President's daughter's secret identity
Ball pool for adults opens in London
Gay couple buy JebBushForPresident.com web domain, and refuse to sell
16 Waitrose customers who could not cope with the end of free coffee
9 reasons Greece's experiment with the radical left is doomed to failure
Have we reached 'peak food'? Shortages loom as global production rates slow
Greece elections: Syriza and EU on collision course after election win for left-wing party
British grandmother Lindsay Sandiford faces execution by firing squad in Indonesia
Liberal Democrat minister defends comments suggesting immigration causes pub closures
King Abdullah dead: We can't afford not to hold Saudi Arabia's royals to account
iJobs Money & Business
£40000 - £50000 per annum: Recruitment Genius: This is an exciting opportunity...
£30000 - £35000 per annum + Benefits: Ashdown Group: Marketing Manager - Marke...
£13000 per annum: Recruitment Genius: This Pension Specialist was established ...
£23000 - £26000 per annum + Benefits: Ashdown Group: Market Research Executive...