Volume 2 Chapter 10

We will now move on from direct geopolitical considerations to analyse the importance of the transport sector for energy policy. By a simple but thorough analysis of the transport needs and the evolution of associated technology we will see that the progress achieved will lead to improved energy efficiency in the transport sector. However we will also see that the most effective solutions will very likely meet resistance from the market at least in the short term. This chapter will extensively address the potential shift from oil to natural gas particularly in the freight and maritime transport sectors. The resulting reduction in demand for oil will inevitably put negative pressure on oil price and therefore the final implication of these considerations on the transport sector will have an indirect impact on the OPEC and hence on the global scene. As a result indirect geopolitics considerations will also emerge from this chapter.