6.5A Mismatch between Supply and Demand
There is a mismatch between locations of conventional fossil fuel supply (oil, gas, coal) and regions where demand is highest, resulting from physical geography.
Despite mounting global concern about increasing carbon emissions and their contribution to climate change, the world continues to rely on coal, oil and gas for the greater part of its energy needs. (86% of global primary energy supply)
A fundamental feature of the world of energy is that the distribution of fossil fuel supply and demand do not coincide. Supply is determined by processes of physical geography: climate, biomass production, sedimentation, faulting, folding, continental drift...
Coal
Oil
Supply
Demand
There is a large mismatch between supply and demand because oil is essential for transport. Petrol/diesel is the main energy source for cars, rail, ships and aircraft.)
- 31% Middle East
- 20% North America
- 12% Russia
Demand
- 34% Asia (12% China)
- 24% North America
- 20% Europe (4% Russia)
There is a large mismatch between supply and demand because oil is essential for transport. Petrol/diesel is the main energy source for cars, rail, ships and aircraft.)
Gas
Supply
Demand
Supply and demand match fairly well because gas is more widely distributed than oil. Asia is the main area of mismatch.
- 18% North America
- 15% Middle East
- 13% Russia
Demand
- 27% North America (22% USA)
- 16% Asia
- 11% Russia
- 10% Middle East
Supply and demand match fairly well because gas is more widely distributed than oil. Asia is the main area of mismatch.