New Energy Buy-In Is Beating Oil and Gas

Global spending on renewable energy seen to hit US$243 billion in 2021

Surin Murugiah, April 16, 2021 (The Edge Markets)

Capital spending on renewable energy is expected to increase 8.5% year-on-year (y-o-y) to US$243 billion in 2021 from US$224 billion in 2020…[T]he oil and gas (O&G) capital expenditure (capex) will grow by only 1.6%, going from US$306 billion in 2020 to US$311 billion this year…[C]ompanies in the sector spent US$422 billion in 2019, compared with only US$177 billion for renewables…

…[But] spending on renewable energy projects this year will be only 22% lower than that on O&G…[O]nshore wind projects will account for the bulk of spending…[going from US$94 billion in 2020 to] US$100 billion in 2021…[Spending on solar] will rise from US$88 billion to US$96 billion…[Offshore wind] will have the lowest capex, going from US$43 billion to US$46 billion…

…[From 2019 and 2021, spending on upstream O&G has declined by a compound annual growth rate of 15%... O&G suffered a 23% y-o-y revenue drop…[while wind and solar] grew sales by 18%...” click here for more

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