According to a new report from Navigant Research, gasoline consumption for road transportation will continue to rise through 2021, reaching 367.3 billion gallons a year, but start to fall thereafter, declining to 348.1 billion gallons a year in 2035.
Overall, from 2014 to 2035, worldwide gas consumption by the road transportation sector will fall 4% percent, the report concluded.
"The anticipated effects of climate change are driving international cooperation on mitigation efforts, including reducing oil consumption in the transportation sector," said Scott Shepard, research analyst with Navigant Research. "Markets for both vehicles and fuels have gradually begun to respond to these efforts and alternative fuels."
While the market for electric vehicles is growing at a healthy pace, according to the report, the biggest impact is likely to come from fuel-efficiency improvements in the conventional vehicles.
The costs of dependence on oil...