World Moves To Catastrophic Energy Crisis


03.08.2009 19:50 GMT+04:00

/PanARMENIAN.Net/ The world is moving to a catastrophic energy crisis,
which could nullify the global economic recovery. In fact, most of the
major oil fields the world passed their peak production, Fatih Birol,
the leading economist in the field of energy warns.

High oil prices caused by the rapid increase in demand and the
stagnation or even decline in supply, could impede economic recovery,
the doctor Fatih Birol said. Fatih Birol is the chief economist of the
International Energy Agency (IEA) in Paris, tasked to evaluate future
energy supply of countries of Organization for Economic Cooperation
and Development (OECD).

In an interview with the British Independent Dr. Birol said, that
the public and many governments seem to forget that the oil on which
the modern civilization depends, goes much faster than before. He
predicts the global production of oil is likely to reaches its peak
after some 10 years. This is ten years earlier than the majority of
countries forcast.

According to Dr. Birol, the market power of the few oil-producing
countries, having significant oil reserves – mostly in the Middle
East – will grow rapidly after 2010 when the first symptoms of the
oil crisis will emerge.

IEA estimate, the decline in oil production at oil fields currently
reaches 6.7 per cent per year, compared with a 3.7 per cent decline
for 2007.