Speaking at the GECF Global Gas Outlook 2050 meeting, held on the sidelines of the 26th International Oil, Gas, Refining and Petrochemical Exhibition, Iran Oil Show, Mohamed Hamel, said global natural gas demand has increased by 23 percent since 2011, adding, “Natural gas has been the fastest growing hydrocarbon fuel and no less than 3.3 trillion dollars were invested in natural gas infrastructure. Natural gas networks have extended into new countries and regions, and gas markets today are more global and interconnected than ever.”

On COVID-19 pandemic in the last two years, he said, “The coronavirus pandemic – a sort of stress test for energy systems - has shown that natural gas is resilient and crucial to the daily lives of people.”

When the GECF global gas outlook finalized in December 2021, two issues were at the forefront of the energy debate, Hamel said, “Affordability as energy prices have reached relatively high levels in the second half of 2021, and climate change.”

Recent developments in Eastern Europe drew renewed importance of demand and security of supply, he noted. “It is too early to assess all the implications of these developments on the future of energy systems. However, it is clear that, for natural gas, a reconfiguration of physical flows is likely to occur in the medium-term, with further expansion of LNG trade, more investments in natural gas upstream and downstream, a likely increase in supply costs and renewed interest in long-term gas contracts.”

Natural gas will play a pivotal role in alleviating energy poverty, fueling economic growth, improving living standards and expanding prosperity, whilst contributing to the protection of the environment, he stated. “With global population expected to increase by 1.9 billion people by 2050, and global GDP to more than double in real terms, humanity’s energy needs will only grow, despite energy efficiency improvements.”

Saying that there is no one-size-fits-all model, and future energy pathways will vary from one country to another, the GECF Secretary General added, “Understandably, the energy transition in India cannot be the same as in Europe. Natural gas is the energy that fits most pathways that permit the attainment of the UN Sustainable Development Goals.”

“Investment in natural gas is critical for the stability of global energy systems,” he stressed. “The Outlook projects that by 2050, total upstream and midstream investments will reach a hefty 8.7 trillion dollars.”

The 26th International Oil, Gas, Refining and Petrochemical Exhibition, Iran Oil Show, opened on Friday (May 13) and will run to Monday (May 16).