Electric cars could wipe out 7 million barrels per day of oil demand by 2040

Get the Full StoryDaniel McMahon

Demand for electric vehicles keeps increasing, and that's reducing the need for oil.

Oil demand could drop by 7 million barrels per day by 2040.

Electric vehicles will become cheaper than the internal combustion engine in a half decade, while electric buses will completely “dominate” its sector by the late-2020s, according to Bloomberg New Energy Finance BNEF , which just published its Electric Vehicle Outlook 2018 report.

EV sales will top 1.6 million in 2018, up from just a few hundred thousand in 2014, according to BNEF. The acceleration in sales can be chalked up to a few factors. First, battery costs have declined by 79 percent since 2010, falling from over 1,000 per kilowatt-hour to just 209 kWh at the end of 2017. Energy density has also increased by 5 to 7 percent each year. Costs could drop to as low as 70 kWh by 2030.See the rest of the story at Business InsiderNOW WATCH: Jeff Bezos on breaking up and regulating AmazonSee Also:Tesla could finally meet its supercharger goal if early 2018 is any indicationThere's an essential part of the oil market that everyone's ignoring 100 oil isn't as painful as it used to beSEE ALSO: Trump says there's a 'substantial chance' that his scheduled meeting with Kim Jong Un won't happen

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