January 26, 2004—The U.S. Energy Information Administration recently released its annual Short-Term Energy Outlook, which for the first time includes projections for 2005. Here are some highlights from the report:
- The modest reductions in energy prices from the average highs in 2003 are expected to continue in 2005, but the general levels of oil and gas prices are projected to remain relatively high by historical standards.
- Growth in U.S. electricity demand was relatively flat in 2003 but is expected to resume at rates of 2.2 and 2.3 percent in 2004 and 2005. Although coal remains the predominant fuel for electricity generation, all sources of fossil fuel and renewables generation are expected to grow with nuclear generation reaching record levels.
- Coal demand in the United States, which showed signs of recovery in 2003, should continue to grow. Record consumption is expected in 2004 at just over 1,090 million short tons and a 2.4-percent growth rate (to beyond 1,100 million tons for the first time) is expected for 2005.
For more information, visit the Energy Information Administration.
