Energy Demand to Rise in Commercial, Industrial Sectors

04/30/2015 |

Overall energy consumption growth will be modest through 2040

Energy demand

Energy demand in the U.S. will continue to grow through 2040, with the commercial and industrial sectors seeing the highest increases, according to the EIA’s Annual Energy Outlook 2015. The growth is expected to be only 0.3% per year, which is less than half the rate of increase in the population of the U.S.

The report mentions that although energy intensity is expected to drop during the projection period, the industrial and commercial sectors’ continued growth will outpace energy efficiency improvements, leading to a 0.7% rise per year in industrial demand and a 0.5% increase per year for the commercial sector. While small increases dominate the commercial and industrial projections, residential energy demand is expected to be flat and transportation consumption is projected to drop by 0.1%. The EIA is quick to note, however, that as the U.S. continues to recover from the latest economic recession, more normal economic growth is likely to resume, which could alter the results.

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