Summary: Sinopec’s Global Energy Outlook 2060 highlights peaks in fossil fuel usage and surging growth in renewables, hydrogen, and CCUS with significant global and China-specific implications.
Sinopec, one of China’s biggest energy companies, has released its first Global Energy Outlook 2060. The report offers a clear picture of global energy trends and the move toward cleaner sources. Unveiled on April 21 in Riyadh, it marks the first time a Chinese company has published a global energy forecast abroad.
A Strategic International Move
By launching the report overseas, Sinopec signals its intent to play a bigger role in global energy discussions. The report predicts global primary energy use will peak around 2045 at 26.71 billion tons of standard coal equivalent. By 2060, renewables will supply 51.8% of the world’s energy. The report also reflects Sinopec’s deepening ties with Saudi Arabia and its role in the global energy transition.
Fossil Fuels Plateau, Clean Energy Surges
The report shows fossil fuels nearing their peak. Oil consumption is expected to top out by 2030 at 4.66 billion tons. Over time, oil use will shift from fuel to industrial materials. Still, oil will provide 40% of transportation energy by 2060.
In contrast, clean energy will boom. Hydrogen will jump from 2% of global energy use in 2023 to nearly 50% by 2060—more than 340 million tons annually. Carbon capture, utilization, and storage (CCUS) will also expand sharply, reaching 4.7 billion tons in capacity by 2060. These trends signal strong growth for hydrogen and carbon tech markets.
China’s Energy Outlook: Stabilization and Industry Pressures
Sinopec also released forecasts for China. The China Energy Outlook 2060 sees energy consumption stabilizing between 6.8 and 7.1 billion tons of coal equivalent after 2030. Oil demand will peak before 2027. By 2035, non-fossil energy will overtake fossil fuels in power generation.
The company also issued a warning for the chemical sector. A separate report highlights overcapacity in olefins, aromatics, and other bulk chemicals. Sinopec urges the industry to boost efficiency and innovate to stay competitive in a low-carbon world.
What Governments Can Do for Hydrogen
Sinopec’s findings highlight the need for stronger policy support to scale hydrogen. Governments can use financial tools like grants, subsidies, and tax breaks to lower costs and attract private investment. Clear rules and fast-track permits can speed up development.
National hydrogen roadmaps, backed by public-private partnerships, can build the needed infrastructure. Demand-side policies—like hydrogen use mandates in transport and industry—can drive adoption. Tying hydrogen to renewable power is critical to keeping it low carbon. These steps align with Sinopec’s vision for hydrogen’s role in the future energy mix.
Sinopec’s Global Energy Outlook 2060 charts a world moving away from fossil fuels. It points to rapid growth in renewables, hydrogen, and carbon capture technologies. For policymakers, investors, and green businesses, the report highlights major opportunities. Understanding these changes is crucial for staying ahead in the race to net zero.
Source: PR Newswire