Underinvestment in the oil and gas sector could cause long-term market volatility, stated OPEC Secretary General Haitham Al Ghais in a report from Reuters.
He also said that the truth that needs to be told is that all energy sectors need investments and the world should focus on reducing greenhouse gas emissions rather than replacing one form of energy with another.
To meet the increasing oil demand, the world needs to invest $12.1 trillion in the sector, according to OPEC estimates.
During the same event, Fereidun Fesharaki, chairman of FGE Consultancy, pointed out that with expanding global oil demand at about 8 million barrels per day (bbl/d), there may be a supply issue as Western sanctions on Russian oil slow down production growth.
Fesharaki added that the expansion of American shale oil was no longer a concern due to increasing oil prices and that OPEC was acting considerably different than it had in the past.
Instead, OPEC is now concentrating on monetizing oil reserves before demand peaks.