In its recent five-year outlook on petroleum products, ESAI Energy projects global product demand growth to decelerate significantly by 2022. In its outlook, ESAI Energy highlights the effects of a changing global vehicle fleet on gasoline and diesel demand.

As the global vehicle fleet continues to expand over the next five years, sales of vehicles powered by alternative fuels/technologies will increase exponentially, but, even by 2022, these vehicles will still constitute just a sliver of the total fleet. Mass-adoption of alternative vehicles will continue to be stymied by their higher expense when compared with traditional vehicles and, in the case of electric vehicles, insufficient charging infrastructure. ESAI Energy Analyst, Ian Page points out that “alternative vehicles will not have a major impact on global gasoline demand until after 2022.” However, “improvements to fleet fuel economy will temper demand growth significantly in the next five years.”
Source: ESAI Energy LLC