Electricity could power 23% of global transport in 2050, up from 1% today. Road transportation appears to lead the way in this transformation, reducing fossil fuel use from 91% to 57%, according to DNV’s latest Transport in Transition report. The reduction could come from all forms of road transport, reducing its reliance on fossil fuels from 38 million barrels of oil per day in 2023 to 19 million barrels per day in 2050.
Despite this, DNV sees the transportation segment as lagging other markets in emissions reduction, predicting that its share of global energy-related CO2 emissions will grow to 30% by 2050 from roughly 25% now.
The report, however, emphasizes the importance of government and industry back-up to manage the rise in advanced biofuels for aviation and maritime, with sustainable fuel expected to be more expensive than fossil fuel counterparts. On the other hand, sectors that can use direct electrification will benefit from the efficiency of electric drivetrains and experience cheaper transport.
See also: ‘Sunset of the Diesel Era’ is upon us, study findsEurope, North America, and China are frontrunners in the uptake of battery electric vehicles, which DNV predicts will make up 78% of the global fleet by 2050. In parallel, those regions are investing in hydrogen and hydrogen-based fuels as the most promising option for moving heavy goods over long distances.
For complete coverage of these findings and the impact in various transportation sectors across the globe, read this article from our colleague, Oil & Gas Journal Editor-in-Chief Christopher E. Smith.
