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New World Energy Scenarios

Global energy demand on track to peak between 2020 and 2025

The World Energy Council, in collaboration with Accenture Strategy and the Paul Scherrer Institute, has launched an updated World Energy Scenarios report.

Among the key findings, per capita energy demand is projected to peak before 2030.

The scenarios provide energy leaders with a clear strategic framework for navigating ‘disruption-as-usual’ and offer a platform to support a rigorous global strategic dialogue on the future of the energy system.

Disrupting the world of energy

Launched during the 24th World Energy Congress in Abu Dhabi, UAE, the World Energy Scenarios 2019 report provides an update of the Council’s global energy scenarios.

It presents plausible pathways to 2040, with a focus on the broad and fast-shifting landscape of innovation.

‘Technological innovation, climate change and more tense geopolitics are disrupting the world of energy. These world energy scenarios provide the perfect tool for assessing these macro-uncertainties and crafting a strategic response for your enterprise.’

Executive chair Scenarios, World Energy Council

Musically named scenarios

The three musically named scenarios are: Modern Jazz, which represents a ‘digitally disrupted’ and market-driven innovative world; Unfinished Symphony, a future in which more ‘intelligent’ and circular economic growth models drive clean, affordable and sustainable energy transition and Hard Rock, which explores the consequences of inward-looking policies and weaker and unsustainable economic growth, in a more fragmented world.

‘Signals of all the three world energy scenarios – Modern Jazz, Unfinished Symphony and Hard Rock – have been detected in all regions. By using these tools, energy leaders can realize the drive to thrive in an era of disruption and design energy pathways for prosperity, people and planet.’

Senior director, Scenarios and Business Insights, World Energy Council

Constellations of Disruptions

The updated World Energy Scenarios provide new insights into the broader and fast-shifting landscape of innovation, which is emerging from within and beyond the energy system and includes not only new energy technologies but also policy, business model and social innovations.

The scenarios highlight how different combinations of innovation accelerators – the ‘Constellations of Disruptions’ – might trigger and scale to enable alternative energy pathways and disrupt existing value chains.

The report includes new story lines to 2040, supporting systems maps, comparative analysis on energy implications, six regional perspectives, as well as illustrative quantification, on an aggregated global and regional basis.

‘The transformation of the energy economy is a systemic challenge where interdependencies between technologies, actors, markets and the environment play a decisive role on how new energy structures emerge and how successful future energy and climate goals will be achieved.’

Head of the Energy Economic Group of the Paul Scherrer Institute

Key highlights

Global primary energy demand momentum remains in line with the 2016 scenario modelling, with per capita energy demand projected to peak in the 2020s.

Electrification extends to more uses and users, driving decarbonisation rates; however, the question of hard-to-abate sectors and non-electrified uses remains open.

A new mobility revolution, which is dependent on infrastructure, is gathering momentum with the potential to disrupt the entire energy landscape in the longer term.

Energy efficiency gains are critical to manage energy demand from industrial, residential and commercial sectors and to avoid reducing climate change momentum.

New opportunities are emerging to provide energy-plus services in an increasingly consumer-centric energy system.

Infrastructure innovation and investment, and proactive policies, are necessary to secure affordable decarbonisation and socially just energy transitions.

New net-zero carbon pathways, including hydrogen, and carbon abatement mechanisms emerge and start to scale by 2040.

Achieving Paris Agreement targets remains elusive, with none of the 2019 scenarios meeting the 2°C target agreed to in the UNFCC Paris Agreement.

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