World energy system: modern challenges

The aim of the article is to identify current structural changes in the world energy system and their relation to geopolitical and economic processes. The research is based on the methods of systemic and economic analysis, the expert assessment system, and general research methods used to study economic phenomena, including analysis of historical records, time series, and the analogy method. The article demonstrates that the calls of proponents of an accelerated energy transition to abandon the use of fossil fuels are not scientifically sound and are practically unrealistic. The article also examines a number of ongoing processes of large-scale geopolitical transformation that affect the global energy system, such as declining global dominance of industrialized countries in economy, trade and technology, and the weakening role of the US dollar as an international reserve currency. A special emphasis is given to the strategic importance of Russia's hydrocarbon resource base and its contribution to the long-term energy security of Eurasia. The continued growth in global demand for fossil fuels is inevitable as rising living standards in developing countries, coupled with the development of data centers, will drive a steady increase in global energy consumption. With greater energy intensity, transportability and energy flow density, fossil fuels are far superior to renewables in terms of investment efficiency, and therefore hydrocarbons will continue to hold a central position in the global energy system. The research findings emphasize the need to give up utopian energy transition scenarios embedded in state policies and corporate strategies in favor of pragmatic solutions based on current technological and economic realities.