House of Lords written question – answered at on 5 December 2012.
Lord Bradshaw
Liberal Democrat
To ask Her Majesty's Government what is their forecast of the level of oil and gas prices in (1) 2020, (2) 2030, (3) 2040, and (4) 2050.
Baroness Verma
The Parliamentary Under-Secretary of State for Energy and Climate Change
DECC does not create forecasts for future oil and gas prices. Forecasting fossil fuel prices far into the future is extremely challenging, as they depend on a large number of unknowns, such as future economic growth rates across the world, development of new technologies, global climate change policies, strategies of resource holders, and so on.
DECC has generated a set of projections for oil and gas prices to 2030, based on estimates of fundamentals and other available evidence, that represents a plausible range for future prices. For modelling purposes, fossil fuel price projections post-2030 are flat-lined.
DECC's central scenario oil and gas price projections for 2020 and 2030 are set out in the following table:
| 2020 | 2030 | |
| Oil ($/barrel) | 123.5 | 135.0 |
| Gas (p/therm) | 71.9 | 71.9 |
Note: these are in 2012 prices.
Yes1 person thinks so
No1 person thinks not
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