In its global energy demand outlook, the IEA said Tuesday that new reserves of fossil fuels, notably resources of shale in the US and Canada, would compensate for the decline of existing conventional gas and oil fields, raising the competitiveness of nations which used them.

As a consequence, "the US would see a slight increase in its share of global exports of energy-intensive goods, providing the clearest indication of the link between relatively low energy prices and the industrial outlook," the agency commented.

"By contrast, the European Union and Japan both see a strong decline in their export shares, a combined loss of around one third of their current share," it added.

Energy efficiency a priority

The IEA argues that subsidies for fuel should be phased out everywhere, warning carbon emissions would go on rising, pushing up temperatures around the world.

The agency identified developing and emerging nations as the main drivers of energy demand over the next three decades.

It maintained Brazil was set to become increasingly significant as a producer of conventional hydrocarbon energy and renewable energies, which would account for "nearly half of the increase in global power generation right up to 2025."

It also noted that about two thirds of potential gains from increased energy efficiency were still untapped.

hg/ph (AFP, AP)