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Global Emissions Rise Fueled by U.S. Coal, Oil Demand Hits Record - Bakken Wire
Global Markets

Global Emissions Rise Fueled by U.S. Coal, Oil Demand Hits Record

New report cites U.S. emissions growth and rising global oil demand as Russia grapples with fuel supply issues, factors that underscore the complex energy landscape for Bakken producers.

Bakken Wire Staff·☀️Morning Wire·

A new international report has criticized the United States for leading global carbon dioxide emissions growth in 2025, accounting for around 30% of the worldwide increase. According to the report from the Energy Institute, net-zero outlet Ember, the Kearney Institute, and KPMG, as quoted by Reuters and reported by OilPrice.com, the rise came from a 10% jump in U.S. coal power generation last year.

This surge in coal-fired electricity reversed a decade-long trend, prompting global energy sector emissions to grow by 1.1% in 2025 after an average annual decline of 0.7%. The report notes that President Trump has named the energy industry critical for national security, reversing prior efforts to phase out coal. The Energy Information Administration has also indicated power plants scheduled for shutdown may be kept online longer due to Department of Energy warnings of potential power shortages.

For Bakken operators, the report underscores a global energy market where demand continues to outpace the transition away from hydrocarbons. The Energy Institute report found global oil consumption rose by 1.3% in 2025, hitting a record 103 million barrels per day, while oil production increased by 3.5%. This growing demand, driven in part by electric vehicles, data centers, and artificial intelligence, provides a supportive backdrop for North Dakota's crude output.

Separately, geopolitical factors continue to influence global oil markets. Rigzone reported on June 29 that Russian President Vladimir Putin acknowledged his country faces persistent fuel supply problems for motorists and businesses. Such disruptions in a major producer nation can contribute to market volatility and underpin global prices, a factor watched closely by Bakken producers.

The U.S. energy policy shift, emphasizing security and reliability over rapid decarbonization, may also impact the regulatory and operating environment for North Dakota's oil and gas industry. The potential for extended operation of coal plants suggests a continued role for fossil fuels in the national power mix, which could influence long-term demand for associated natural gas from the Bakken formation.

The data presents a mixed picture for the Williston Basin: record global oil demand supports production, but the focus on U.S. emissions growth could eventually translate into increased political and regulatory scrutiny on the oil and gas sector, even as current policy prioritizes energy output.

Source

OilPrice.com, Rigzone

global oil demandcarbon emissionsenergy policybakken productionrussia

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