The world needs $4 trillion to meet growing energy demand, says Al Jaber

Abu Dhabi: Dr. Sultan Ahmed Al Jaber, Minister of Industry and Advanced Technology and Managing Director and Group CEO of ADNOC, called on global energy leaders, policymakers, and investors to adopt the UAE’s pragmatic model of policy-making and partnership-building to drive job creation, economic growth, and global competitiveness. His remarks came during his keynote address at the opening of the 41st edition of the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC), the world’s largest energy event, hosted by ADNOC in Abu Dhabi.

Al Jaber emphasised that “long-term projections show that demand will continue to grow across all forms of energy and in all markets,” urging the sector to base its response “on facts and data.” He underscored the need for annual capital investments of $4 trillion across electricity grids, data centers, and all sources of energy supply.

He cautioned that “the energy systems of the future cannot depend on electricity networks built on the infrastructure of the past,” highlighting key factors driving demand growth through 2040. According to him, electricity demand will continue rising due to a fourfold increase in data center consumption, the urban migration of 1.5 billion people, and the addition of over 2 billion new air conditioners worldwide.

Al Jaber noted that the global airline fleet is expected to double, from 25,000 to 50,000 aircraft, by 2040. Consequently, renewable energy generation is expected to more than double, LNG output is projected to grow by 50%, and jet fuel demand is anticipated to increase by over 30%.

Oil production, he added, will remain above 100 million barrels per day beyond 2040, as it continues to play a vital role in manufacturing and mobility. “These facts clearly show that this is not about transitioning to one single source of energy — it’s about expanding and diversifying energy sources, not replacing one with another,” he said.

Al Jaber reaffirmed the central role of energy in enabling global prosperity, stressing that “energy means jobs, growth, competitiveness, and powering artificial intelligence.” These themes were echoed by global leaders in energy, technology, finance, and policy during the ENACT Council, held on the eve of ADIPEC 2025, to discuss how energy and AI can act as twin engines of economic progress.

He pointed out that sustaining AI-driven economic growth requires reliable, affordable baseload energy, as the world continues to rely on oil and gas for the electricity that powers AI systems. Gas alone provides more than a quarter of the baseload power needed for data centres, and a shortage of gas turbines could create supply crises and drive up electricity prices.

Al Jaber noted that infrastructure remains far behind global needs, with at least six million kilometres of new power transmission lines required by 2050. He called for major capital inflows, supported by robust regulatory frameworks that reduce risk and ensure funds reach viable projects.

“We need to unlock dormant capital tied up in existing energy infrastructure assets,” he said. “There are enormous opportunities here, but the energy sector must also adopt policies that accelerate progress—not slow it down.”

Highlighting the UAE’s ongoing efforts to strengthen its position as a leading global investment destination, Al Jaber showcased ADNOC’s contributions to long-term partnerships. “Our focus on producing the world’s least-cost, lowest-carbon oil—within a reliable and transparent investment environment—allows us to deliver maximum value and stability,” he said.

He added: “As ADNOC continues to grow domestically, we are expanding globally through our international investment arm, XRG. We’ve secured gas agreements in Mozambique, Egypt, Turkmenistan, Azerbaijan, and the US, and continue exploring opportunities across the gas value chain. We are also expanding our chemicals presence across five continents, investing in infrastructure and smart energy solutions to open new avenues of growth.”

Al Jaber emphasised ADNOC’s “disciplined, partnership-driven approach,” welcoming further collaborations with both public and private sectors. “To all our current and future partners,” he said, “our message is clear — we are open for collaboration.”

He added: “Progress doesn’t come from the efforts of one individual or one company alone, but when we move forward together with clear vision and collective determination. Our greatest resource isn’t what lies beneath the ground—it’s the unity and resolve that drive us forward.”