A decade in energy

Last edited: 22 December 2014

The BP Statistical Review of World Energy records the events that shape the energy market each year. BP Magazine looks back at how BP reported each review over the past decade to see, at-a-glance, how the world’s energy landscape has changed

2003: Turbulent markets

2003 was a turbulent year in the world’s energy markets, with supply disruptions, strong growth in both consumption and production of oil and coal, and the highest prices in the oil and gas markets for 20 years. High prices were not driven by resource shortages, but the result of strong oil consumption growth and the need to maintain inventory levels.

2004: China boom

Rapid growth in consumption for all forms of energy dominated world energy markets in 2004, leading to rising prices. While growth in consumption from China in particular was exceptional, the strength of consumption growth was a global phenomenon, increasing above the 10-year trend in every region of the world.

2005: Hurricane Katrina

2005 was another dramatic period in global energy markets, with energy prices rising to new highs, while dramatic weather both strengthened energy consumption and weakened production. US oil consumption declined in the last four months of the year after the hurricanes in the Gulf of Mexico.

2006: Volatile energy prices

2006 was another year of high and volatile energy prices. But, despite high prices, world energy consumption growth remained above average, continuing the trend of recent years. Energy use also increasingly shifted away from OECD countries, with robust consumption in Asia Pacific, including China, and became more carbon-intensive.

2007: Growth amid turmoil

According to the review, world economic growth was strong, despite financial market turmoil, which began in August, and continued to support global energy consumption. And, although growth in primary energy consumption slowed in 2007 compared to 2006, at 2.4%, it was still above the 10-year average for the fifth consecutive year.

2008: Boom and bust

In a climate of unprecedented turbulence, global energy markets followed the same extreme pattern as the world economy in general during 2008. Prices first rose to record highs as economic growth boomed in the first half of the year. Then they collapsed as the global economy abruptly reversed and plunged into recession in the wake of the financial crisis. Less dramatic but, arguably, just as profound in its implications for the long term: for the first time ever, the emerging economies led by China leapfrogged OECD nations in the consumption of primary energy.

2009: First fall since war

The global recession drove energy consumption lower than the previous year, the first such decline since 1982, as the world economy contracted for the first time since the Second World War. Energy consumption data suggested CO2 emissions from energy use fell for the first time since 1998.

2010: US overtaken

China became the world’s largest energy consumer in 2010, overtaking the US during a year that saw the rebound in the global economy drive consumption higher and at a rate not seen since the aftermath of the 1973 oil price shock.

2011: Global unrest

In the foreground, the ‘Arab Spring’ affected oil and gas supplies—most notably the complete, albeit temporary, loss of Libyan supply - while the tragic Fukushima nuclear power plant accident in Japan had knock-on effects for nuclear and other energy sources around the world. These shocks pushed energy prices higher in much of the world, with oil prices reaching a record average of more than $100 per barrel for the first time in history.

2012: Adaptation

The US recorded the world’s highest growth in production of both oil and natural gas in 2012, on the back of increasing production of unconventional hydrocarbons such as tight oil, an example of the increasing diversity of energy sources as the global market continued to adapt, innovate and evolve. With rising natural gas output driving prices lower in the US, natural gas displaced coal in power generation, causing the US to experience the largest decline of coal consumption in the world.

2013: Energy strength

Geopolitical events in a number of countries continued to impact oil production in 2013, with Libya suffering the largest single decline in the face of renewed civil unrest. Those disruptions, however, were offset by a big increase in US oil production driven by the investment in production from shale and other ‘tight’ formations. As a net result, average oil prices remained unusually stable.
The growth in global primary energy consumption, slightly below the historical average
Dated Brent crude oil averaged this price per barrel, just over $3 per barrel less than in 2012
Emerging economies accounted for this proportion of the global increase in energy consumption

Respected source

The BP Statistical Review of World Energy is now in its 63rd year. It is the longest-running compilation of global energy statistics available and is widely recognized as an objective source of data on energy markets, often quoted in the media and academic research.

The Statistical Review of World Energy

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