
2
Introduction
the industry to develop new technologies
to reduce costs; however, the situation
reminds us that energy is influenced by
the interplay of many different factors.
Technologies such as enhanced oil recovery,
advanced seismic imaging, and digitization
will have a huge impact on which of the
available fossil resources we develop, how,
where and when. Innovation will not only
help to sustain the supply of hydrocarbons,
it will enable renewable resources – most
notably solar and wind – to be more
competitive, changing the merit order of
investment and resource development.
In terms of energy’s end use for transport,
liquid fuels, including biofuels, are likely
to continue as the major source of
transport fuel for at least the next 30
years. They will be used more efficiently
as vehicles and engines become lighter and
smarter. In power generation, as well as
increasing contributions from renewables,
new opportunities such as a global shift
towards natural gas, improved energy
efficiency and, ultimately, carbon capture
and storage technology will help us to
move towards a lower-carbon future.
Meanwhile, further falls in the costs of
For many years at BP we have regularly
assessed energy technology developments,
looking back to learn lessons and looking
forward to anticipate the trends that will
shape our industry and others.
BP Technology Outlook marks the first
time we have shared the outcomes of our
analysis with the wider world. It sets out
how technology could shape our energy
landscape over the next 30 to 40 years.
The analysis shows that the world is not
running out of resources for its energy
needs. Fossil fuels of oil, gas and coal,
along with uranium, are plentiful while the
alternatives of renewable energies do not
deplete by definition. With existing and
incremental technology advances, we
have abundant and technically accessible
resources to meet foreseeable global
primary energy demand out to 2050
and beyond. The extent to which each
fuel is used depends on many factors.
These include technology and policy
but also capital. At the time of writing,
an abundance of supply and a fall-off in
demand growth have driven energy prices
down and constrained the funds available
for investment. Such price falls compel
Introduction
We live in a world of rapid change where developments in
technology can transform societies, economies and industries.
In the corporate world, history tells us that companies that do
not anticipate or adapt to new technologies struggle to survive.
On the other hand, companies with leading technologies are
often the most competitive and successful.
BP Technology Outlook
renewables and developments in areas
such as battery storage and smart energy
systems will widen options in an already
competitive market.
Society’s challenge is how to balance
mitigating climate change while at
the same time providing the energy
security and affordability that drives
socio-economic development. The energy
industry can assist in the transition to
a more sustainable economy if policy
frameworks are developed to promote
investment in lower-carbon technology.
Our aim for this publication, similar to
BP Energy Outlook 2035, and BP Statistical
Review of World Energy 2015, is to make
a valuable contribution to the debate about
how best to shape a secure, affordable and
sustainable energy future. I hope you find it
interesting and useful.
Bob Dudley
Group Chief Executive
November 2015