Forecasts of Production, Consumption, and the Trade Balance of Primary Energy and Fuels in the USA

Abstract

The article analyzes various forecasts of production, consumption, and the trade balance of primary energy and secondary fuels first of all in the United States and partly in Canada. The combined analysis of the US in Canadian economies is well-founded as these economies are closely related. However, the main emphasis was on US economy. The analysis covers different scenarios of fuel and energy demand, including the currently implemented baseline scenario, the new policies scenario, assuming that countries comply with the emission limits set at the COP21 in Paris, and the environmental scenario, the strictest from the point of view of environmental pro - tection, aimed at restricting global warming to less than 2°C above pre-industrial temperatures. The analyzed values are different for different scenarios, as shown in the figures. Most attention was paid to fossil fuels, that is, oil, natural gas, bituminous coal, and lignite. The forecasts of production, consumption, and import of individual carriers are presented. It was shown that the United States policy places greatest emphasis on the energy security and self-sufficiency. As of today, the United States is one of the most hydrocarbon-rich countries, while low electricity prices are the reason why American products are competitive compared to products from the European Union and China. Reducing the use of coal in the U.S. economy in favor of renewable energy sources will result in an oversupply of this raw material in the international markets, which, in turn, will lead to a decrease in prices. The increasing production of oil and gas will have a similar effect.