Despite the reduction in oil consumption caused by the global recession, the world faces a duel energy-environmental crisis of an oil shortage and climate crisis, according to the World Energy Outlook written by the International Energy Agency.
"The agency, which advises industrialized nations, said that the world's energy system is strained by dueling forces. First, growing consumption in developing nations is hindering the ability of producers to increase supply. Second, higher demand could lead to serious changes in the world's climate if carbon emissions are not curbed.
Higher oil prices and lower economic growth have led the agency to lower its forecast for global demand."
It now expects consumption to be 10 million barrels a day less than originally forecasted for 2030.
"The world is not running out of oil, the agency said." However, investment to extract the oil is insufficient, it warned.
"In a timely reminder of the challenges awaiting the administration of President-elect Barack Obama, the agency said that carbon emissions are set to double by the end of the century, pushing global temperatures as much as six degrees Celsius, if nothing is done to limit greenhouse gases."
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