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TotalEnergies says Iran war could accelerate energy transition - Finance news and analysis from Global Banking & Finance Review
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TotalEnergies says Iran war could accelerate energy transition

Published by Global Banking & Finance Review

Posted on November 2, 2026

2 min read

· Last updated: November 2, 2026

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TotalEnergies: Iran War Could Accelerate Energy Transition and EV Adoption

Impact of Iran Conflict on Global Energy Markets and Transition

By Dominique Patton

Energy Transition Acceleration and Electric Vehicle Adoption

PARIS, Nov 2 (Reuters) - TotalEnergies sees potential for the war with Iran to accelerate the energy transition after a surge in electric vehicle sales in recent months, its sustainability chief said on Monday, though the trend will need to continue for it to revise its forecasts.

Oil Price Outlook and Market Uncertainty

CEO Patrick Pouyanne said the company still expects oil prices to peak sometime in the 2030s or 2040s, though he added that the company could not be more precise.

Effects of War on Energy Markets

The US-Israeli war with Iran has upended global energy markets, sending oil and gas prices soaring and pushing consumers to switch to electric vehicles to reduce the cost of pricey fuel. 

TotalEnergies' Annual Energy Outlook

In its annual energy outlook, TotalEnergies said the crisis could act as an "accelerator" of the energy transition, pointing to a sharp increase in EV sales in Asia, Latin America and Europe, and an increase in biofuel blending requirements that were influencing energy consumption patterns.

Low-Carbon Technology Acceleration

Sustainability and Strategy Director Aurelien Hamelle told reporters there had been a "stunning acceleration" of low-carbon technology between the second quarter of 2025 and the second quarter of 2026.

Challenges to Oil Demand Reduction

However Hamelle said that despite the acceleration in electric vehicle adoption, "oil demand will rebound once prices normalize". He also pointed to stronger-than-expected growth in the aviation sector and more robust growth in the petrochemical industry offsetting some of the benefit from more EV use.

Energy Demand Projections

Natural Gas Demand Forecast

Under the company's current trends scenario, the report also projects global natural gas demand to rise by 12.5% from 2025 to 2035, reaching 4,780 billion cubic metres. 

Electricity Demand Outlook

Electricity demand is projected to nearly double from 31,900 terawatt hours in 2025 to 59,300 terawatt hours in 2050.

(Reporting by Dominique Patton; Editing by Alison Williams and Jan Harvey)

Key Takeaways

  • TotalEnergies sees the Iran war as potentially accelerating the energy transition, with “stunning acceleration” in low‑carbon technology adoption between Q2 2025–Q2 2026 (noticias.uol.com.br).
  • EV sales are sharply rising across Asia, Latin America, and Europe, and stricter biofuel blending rules are shifting consumption patterns (noticias.uol.com.br).
  • The company projects oil demand to peak between 2035–2040 under current trends, but a faster EV adoption could bring an earlier decline; yet growth in aviation and petrochemicals may cushion the impact (noticias.uol.com.br).

References

Frequently Asked Questions

How could the Iran war impact the global energy transition?
TotalEnergies suggests the Iran war could accelerate the energy transition by increasing the adoption of electric vehicles and pushing changes in energy consumption patterns.
How is electric vehicle adoption affecting oil demand?
A sharp increase in electric vehicle sales is helping reduce oil demand, but TotalEnergies expects oil demand to rebound once prices normalize.
What other trends are influencing global energy markets?
Stronger growth in the aviation and petrochemical sectors, along with increased biofuel blending requirements, are also shaping global energy consumption patterns.
How is global natural gas demand expected to change?
TotalEnergies projects global natural gas demand will rise by 12.5% from 2025 to 2035, reaching 4,780 billion cubic metres.

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