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Energy experts of all stripes have stressed the need to find alternatives to oil. And that point was reinforced in a research report by HSBC senior global economist Karen Ward. She says oil supply is running out.
In a copy of the report obtained by CNBC, Ward writes, "Energy resources are scarce. Even if demand doesn’t increase, there could be as little as 49 years of oil left."
And what of the main alternatives?
"Natural gas is less of a constraint, but transporting it and using it to meet transport demand is a major issue," she said. "Coal is the most abundant with 176 years left, but this is the worst carbon culprit."
Attaining energy security will be difficult, Ward says. Natural gas, for example, is as concentrated geographically as oil. That gives producing nations leverage over consumers.
"Europe is the big loser, with many countries falling down or out of the league table of economic size," Ward says. "They could be losing their influence on the world stage just at the time when they are most vulnerable."
The recent surge in oil prices above $100 barrel has put a dent in our energy security, experts say. And many of them expect the gains to continue.
“The fear that no one knows how the crisis in Libya will develop is keeping the risk premium in oil prices,” Sintje Diek, an analyst at HSH Nordbank, tells Bloomberg.
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