(Read the full article on Cnbc.com)

The price of oil could plunge to as little as $10 a barrel by 2050 if the world succeeds in electrifying the energy market and meeting Paris Agreement goals, a consultancy said on Thursday, according to CNBC.

Energy research and consultancy Wood Mackenzie said in a report that if world leaders took decisive action to limit global warming to 2 degrees Celsius by 2050, as set out in the landmark Paris climate accord, oil demand would drop “significantly,” the news organisation reported.

Wood Mackenzie said under its accelerated energy transition scenario, the energy market would be increasingly electrified through to 2050, squeezing out the most polluting hydrocarbons, like oil, CNBC reported.

Under this scenario, oil demand could fall 70% by 2050 from current levels, the report said.

Wood Mackenzie forecast demand for oil would start to fall from 2023 under this scenario and this decline would quickly accelerate thereafter, with year-on-year falls of around 2 million barrels a day. The report said oil prices could go into “terminal decline,” with international benchmark Brent crude falling to between $37 and $42 a barrel by 2030.