Global demand for energy will rise by 25% between 2014 and 2040, ExxonMobil has said in its latest energy outlook.

In this time frame, ExxonMobil expects oil, natural gas and coal to continue to meet about 80% of global demand.

For a century, these sources have been the foundation of the modern energy that has enabled modern living. They remain abundant, reliable and affordable, and available on the scale required to serve 7bn people, round-the-clock.

“Still, significant changes are coming,” ExxonMobil said its report entitled "The Outlook for Energy: A View to 2040".

The biggest expected growth will be in natural gas, which provides a practical energy solution for many applications while also providing a significant cost advantage versus other options to help reduce climate change risks.

Renewable energy and nuclear power also are expected to see significant growth over this period, together accounting for about two-thirds of the increase in energy demand for power generation.

Policies to address greenhouse gas (GHG) emissions will increasingly influence the energy landscape. In ExxonMobil’s view, after rising more than 50% from 1990 to 2014, global energy-related CO2 emissions will likely peak around 2030.

“We expect the member nations of the Organisation for Economic Co-operation and Development (OECD), where CO2 emissions are declining, to lead this shift. However, China will also play a significant role as its emissions peak around 2030. We see this global shift being enabled in large part by substantial gains in energy efficiency in all regions.

“With strong gains in energy efficiency and significant changes in the world’s energy mix — driven by economics and climate policies – we expect the CO2 intensity of the global economy to be cut in half by 2040.

Thanks to economic development opportunities powered by abundant energy, we see the world standing at the cusp of decades of enormous growth and better living standards for billions of people.”

According to ExxonMobil the period to 2040 is expected to reflect a dramatic expansion of the world’s population and the global middle class. Living conditions will improve as millions of people gain access to electricity, which will lead to benefits such as better education and modern healthcare.

ExxonMobil expects energy demand growth to be led by a 45% increase across non-OECD countries, while demand in OECD countries will be essentially flat. Energy efficiency will play a huge role in slowing the growth in global demand, as energy use per unit of economic output is likely to fall by 40% percent.

“To keep pace with demand, the world will need to pursue all economic energy sources. In 2040, oil and natural gas will likely be nearly 60% of global supplies, while nuclear and renewables will be approaching a 25% share,” ExxonMobil said.