Thursday, March 31, 2016

Investments in Renewables are Eclipsing Fossil Fuels

We are moving away from fossil fuels and towards renewable energy. While the combination of new regulatory regimes, climate action and divestment signal the end of fossil fuels, investments in renewable energy are booming. Recent research confirms that the transition away from fossil fuels and towards renewables is well under way. Competitive pressure from clean energy sources are hastening the demise of fossil fuels. The price of renewable energy and battery storage is falling as the demand for clean energy is increasing. Record amounts of renewable energy investment was documented in 2015. Investments are pouring into renewables at more than twice the rate of fossil fuels.

Energy economics are changing as evidenced by events in 2015. Investments in renewable energy has been steadily growing since the dawn of the new millennium and in 2015 asset finance soared to a record high.


As investments in renewable energy are increasing, investments in fossil fuels are declining. In 2015 global investments in fossil fuels were $130 billion while investments in renewable energy were $286 billion.

Renewable sources of energy are eclipsing fossil fuels and in 2015 they supplied the vast majority of the new energy.


Related
Market Forces are Killing the Fossil Fuel Industry 
Renewables will Keep Growing Whether Oil Prices are Low or High 
Renewables Decoupled from the Price of Oil 
Despite the Oil Rally Expect Low Prices to Continue in 2016

No comments: