Gas offers bridge to a low-carbon future
The energy transition offers the sector an opportunity, but it should not be complacent
Conventional wisdom holds that gas will be the most resilient of the fossil fuels through the energy transition, and that it is a relative winner because of its low carbon intensity on burning. Yet, with radical change set to sweep through energy markets, the industry cannot be complacent about its future. Gas will have to contend with intensifying competition among fuels, disruption from new technologies and decarbonisation policies designed to undermine fossil fuels’ dominance of energy supply. Varied regional risks In Europe, it is likely that policies to reduce greenhouse gas emissions will continue to eat away at gas demand. Today, gas demand is c.500bn m³/yr, down by 10pc from the peak
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