Over the next three decades, global energy demand is projected to rise by 35%, sparking an ongoing energy revolution. New oil extraction technologies like hydraulic fracturing and directional drilling have unlocked vast oil and gas reserves, upending the global oil market and turning the U.S. from the world’s top oil importer to its largest producer.
Meanwhile, renewable energy sources such as solar and wind are approaching cost parity with oil. Solar power, for instance, has seen its price per watt drop from $8 to a tenth of that in the past decade. Additionally, nuclear energy—despite controversies—continues to be developed, with next-gen reactor designs claiming far greater safety and reduced nuclear waste.
Yet, while clean energy helps mitigate global climate change, new disputes over rare resources used in batteries, photovoltaics, and other components will emerge. The decline of the oil economy may trigger severe economic and social instability in the Middle East and North Africa, further escalating local armed conflicts.
