IEA: global oil demand has yet to peak

On Monday (25), in an interview with Bloomberg paris, the executive director of the International Energy Agency (IEA), Faith Birol, warned: "In the absence of strong government policies, a sustained economic recovery and low oil prices should take global oil demand back to where it was and beyond."

The hypothesis raised by the agency would be that the outbreak of covid-19 will trigger changes in human behavior, such as widespread remote work and fewer trips abroad, which should thus reduce consumption permanently.

However, Birol said he warned governments that the new coronavirus will only soon reduce demand for oil. According to him, consumption is expected to fall in 2020 to 91 million barrels per day and recover next year.

"Behavioral changes in response to the pandemic are visible, but not all are negative for oil use. People are working more at home, but when they actually travel, they're more likely to be in cars than on public transportation," Birol said.


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