The U.S. Energy Information Administration (EIA) released its January Short-Term Energy Outlook (STEO), providing forecasts for energy production, consumption, and prices through 2026.
EIA projects U.S. crude oil production to reach a record 13.5 million barrels per day in 2025, with a slight increase to 13.6 million barrels per day in 2026.
Global oil prices are expected to decline due to production outpacing demand, with Brent crude averaging $74 per barrel in 2025 and $66 per barrel in 2026.
U.S. electricity demand is forecast to grow consecutively for the first time since 2005–07, with the industrial and commercial sectors leading this growth.
Renewable energy is expected to contribute 25 percent of U.S. electricity generation in 2025 and 27 percent in 2026.
Natural gas prices are projected to rise to $3.10/MMBtu in 2025 and $4.00/MMBtu in 2026, driven by LNG export demand outpacing production growth.
U.S. energy-related carbon dioxide emissions are forecast to increase slightly in 2025 before decreasing marginally in 2026 due to shifts in energy generation and improvements in vehicle fuel economy.
Baburajan Kizhakedath