Bloomberg: Gas Is Only Fossil-Fuel Loser as Coal Gains Share, Cedigaz Says

Natural gas was the only fossil fuel to experience a slowdown in global demand growth last year as coal and renewables gained market share in power generation, the International Center for Natural Gas Information said.

Demand for gas gained 1 percent in 2013 after rising 2.4 percent a year earlier and 2.8 percent in the decade to 2012, the Paris-based center, known as Cedigaz, said today in an e-mailed report. Coal consumption advanced 3 percent last year and crude-oil usage gained 1.4 percent, said the group, which counts companies from OAO Gazprom to BP Plc among its members.

“As seen in Europe, the double whammy of cheap coal and an increasing share of renewable power seriously undermines the business model of gas-fired power plants,” Cedigaz said. “Even in emerging economies, gas will not displace coal in the power sector without strong policy incentives.”
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