Members in Transition Committee The Role of Oil and Gas in the Next 100 Years. March 3, 2017 Outline

WEO 2016 Oil Market Outlook

Source: WEO 2016, Oil Market Outlook, Highlights, p 107

• There is no reason to assume widespread stranding of upstream assets for oil, even in a drive to decarbonise the energy sector, as in the 450 Scenario, provided governments pursue unambiguous policies to that end. Investment in oil and gas, albeit at reduced pace, remains an essential component of an orderly transition to a low-carbon future. But abrupt changes to climate policymaking or misjudgements of future oil demand by the oil industry could lead to more severe financial losses.