It might seem like electric vehicles are quickly taking over the automotive industry, but as the Vienna-based Organization of the Petroleum Exporting Countries (OPEC) claims, this couldn’t be farther from the truth. In its annual World Oil Outlook report, the organization claims that 94% of cars will still be powered by fossil fuels by 2040, while electric cars will only account for around 1%. Considering how reliant OPEC members are on oil, it’s surprising to see such a positive outlook from them in regards to the oil industry, but there are less-biased analysts who disagree.
The rise of electric cars may be good for the environment, but it’s not so good for the economies of members of the Organization of the Petroleum Exporting Countries, more commonly known as OPEC. But OPEC isn’t too worried about electric cars reducing the demand for fossil fuels in the near future. “Without a technology breakthrough, battery-electric vehicles are not expected to gain significant market share in the near future,” the organization said in its annual World Oil Outlook. The report goes on to predict that in 2040, 94 percent of cars will still be powered by fossil fuels, according to CNN. That outlook isn’t too surprising, given that OPEC’s members rely on continued use of fossil fuels to maintain their wealth. The OPEC report includes hybrids among fossil-fuel vehicles, but claims they will only have a 14 percent market share by 2040. At that time, it believes electric cars will only account for 1 percent of vehicle sales, with hydrogen fuel cell, natural gas, and other alternative-fuel vehicles accounting for small amounts of sales as well.