Related Articles
Forward article link
Share PDF with colleagues

The IEA thinks a supply crunch is coming

Production will not keep pace with demand within a decade unless drillers start spending money again, the agency says

A dearth of upstream investment is threatening global energy security and could lead to a 16m b/d supply shortfall by 2025, according to the International Energy Agency (IEA). The result would be more oil-price volatility. "We may be in trouble in a few years," says the IEA's executive director Fatih Birol. The agency represents the interests of Western energy consumers but its warning echoes those from Opec and other producers. As oil prices crested in 2014, upstream investment reached a record high of $0.78 trillion, the IEA's latest World Energy Outlook (WEO) says. Oil price weakness last year cut this to less than $0.6 trillion. The IEA expects another $140bn to go unspent in 2016. If

Also in this section
Maintaining Indian momentum
23 January 2018
Energy demand is expected to pick up in the year ahead after faltering in 2017. EV sales will rise
New crisis and old
22 January 2018
Subdued oil prices and intractable wars cast a shadow over the year
Oil through the worse?
22 January 2018
Opec cut, shale grew, stocks fell, demand soared, prices rose and balance—the oil market's magic word—drew near