The Gazprom Management Committee took note of the information about the impact of the events of 2024 on the long-term outlook for the global energy market.
It was noted that, in the global energy sector, the main outcome of the year 2024 is a continuing growth in demand for conventional energy sources against the background of the unstable geopolitical situation and an increased attention to the matters of energy security. At the same time, the growth in gas consumption is accelerating. According to first preliminary estimates, global gas consumption grew by 80 billion cubic meters in January-October 2024 as compared to the same period of last year. More than 70 per cent of said growth are attributable to China, Russia and India.
Russian gas, primarily the pipeline gas supplied by Gazprom, plays a significant role in ensuring the reliability of gas supplies across China. Preparations are in progress to bring the daily gas supplies via the Power of Siberia pipeline to the maximum contractual level ahead of schedule. The project for gas supplies via the second, i.e. Far Eastern, route is proceeding strictly on schedule. According to relevant forecasts, China’s gas consumption will keep growing fast in the long-term.
In 2024, an increase in gas consumption has also been recorded in such Central Asian countries as Kazakhstan, Uzbekistan and Kyrgyzstan. They are consistently developing their cooperation with Gazprom with regard to imports of Russian pipeline gas.
On the contrary, the countries of the European Union take actions that are aimed at artificial destruction of gas demand to the detriment of their own economy. As a result of the EU policy, gas consumption continues to drop, some enterprises of energy-intensive industries went out of business and production capacities are being relocated to other regions.
Europe’s gas consumption is going to decrease further. The pace of the decrease will depend, inter alia, on the future political decisions. It should be noted in this regard that Europe’s gas production is not expected to increase in the long term, in view of the depletion of its own resource base.
The energy systems that are based on natural gas and long-term contracts have proven their stability, which is particularly valuable among the ongoing changes in the world’s markets. In the future, natural gas will play a fundamental role in the global energy sector.
Gazprom, as the owner of the largest reserves of natural gas, which is an efficient and eco-friendly energy source, will continue to progressively develop, with due consideration of the current trends observed in the global energy market.
The issue of the impact of the events of 2024 on the long-term outlook for the global energy market will be submitted for consideration by the Gazprom Board of Directors.
