The Global Impacts Of Covid On New Energy’s Future
An energy world in lockdown; How has Covid-19 changed the game?
October 2020 (International Energy Agency)
The Covid-19 pandemic has introduced major new uncertainties for the energy sector and increased dramatically the range of pathways that it could follow. The key questions include the duration of the pandemic, the shape of the recovery, and whether energy and sustainability are built into the strategies adopted by governments to kick-start their economies…Overall, we estimate that energy demand in 2020 is set to be 5% lower than in 2019. Since the most carbon-intensive fuels, coal and oil, are bearing the brunt of this demand reduction, and renewables are least affected, CO2 emissions are set to fall by nearly 7%.
Capital investment in the energy sector is anticipated to fall by 18% in 2020, with the largest drop in spending on new oil and natural gas supply. This slump in investment is likely to have major repercussions for energy markets in the coming years, even though the economic downturn is also putting downward pressure on demand. The crisis is meanwhile provoking changes in the strategic orientation of companies and investors, as well as in consumer behaviour…There can be no single answer about where the energy world goes from here…” click here for more