Electric vehicles have the potential to cut global refining capacity demand in half by 2050: Rystad


Global impetus for electrification of road transport to reduce carbon emissions could cut global demand for oil refining capacity in half by 2050, consultancy Ristad Energy said. increase.

“By 2050, we will be very close to 90% of the electrification,” said Mukeshsadev, senior vice president and downstream director of Listad Energy, and this scenario is probably the world’s refining capacity. He added that it would lead to a 50% drop in. ..

Electric vehicles reduce global consumption of gasoline and diesel, but demand for other refined oil products in the aviation, maritime and petrochemical sectors can remain high due to urbanization that poses challenges to the refinery sector. There is a possibility.

“How do we meet these demands by reducing our refining capacity by 50%? I think this is a big signal that many shorts can occur in demanding sectors. “He added.

“This will lead to significant rationalization of downstream assets throughout the supply chain.”

For example, cokers upgrading units used to produce gasoline and diesel need to tweak production to produce more petroleum coke for graphite in their batteries, he said, oiling crude oil. Processing directly into chemical products is another trend.

Still, global oil demand can increase in the short term. Consultants expect global crude oil processing to increase to 80.1 million barrels per day in the second half of 2021 as refiners maximize gasoline production due to the increased oil demand from the COVID-19 pandemic. ..

Florence Tan