INTERNATIONAL – Global energy investment steadied at nearly $1.85trillion (R26.42trln) last year after three years of decline, with slowing energy efficiency and renewables spending offset by increases in oil, gas and coal, the International Energy Agency (IEA) said.
Upstream oil and gas spending in 2018 rose by nearly 4percent year-on-year to $477billion, because of a rise in oil prices and a shift to shale gas and projects with shorter construction periods, according to the IEA’s 2019 World Energy Investment report.
The IEA expects oil and gas spending to rise to $505bn in 2019. Investment in coal supply increased by 2percent to $80bn, representing the first increase since 2012. This was mainly spent on maintaining production levels rather than new mines, the report said. In the global power sector, investment dipped by 1percent to about $775bn, but it remained the largest investment sector because of growing demand for electricity.
Energy efficiency investment was stable but renewables spending edged down by 1percent.