Five of the world’s six largest listed oil companies, including ExxonMobil and Shell, run the risk of wasting more than 30% of potential investment on high-cost upstream projects that are unnecessary and potentially harmful if we are to ensure the world does not warm beyond 2⁰ Celsius above pre-industrial levels.
Early action in transitioning to a low-carbon energy sector is critical not only for keeping global warming to under 2°C, but also for minimizing the risks of additional stranded fossil fuel assets, which could amount to as much as an additional $10 trillion in assets by 2050.
Saudi Arabia’s Minister of Energy, Industry and Mineral Resources, Khalid A. Al-Falih, who is also chairman of Saudi Aramco, the world’s “most valuable” company, was interviewed in Abu Dhabi for Global Action Day last week. I happened to be in attendance and captured Al-Falih making some “interesting” comments.
A new report has found that Japan’s planned expansion of its coal-fired generating plants could strand anywhere from $76 billion to $56 billion worth of assets. Specifically, despite increasing global focus on renewable energy development, Japan is still planning a massive expansion to its fleet of coal-fired generating plants, in … [continued]
A new report claims that global warming of 2.5°C by 2100 could put at risk an average of $2.5 trillion, or 1.8%, of the world’s financial assets. The report, published in the journal Nature Climate Change, by researchers at the Grantham Research Institute on Climate Change and the Environment at the London … [continued]
Originally published on Energy Post. By Karel Beckman Carbon Tracker Initiative (CTI), the NGO that invented the concept of “stranded assets” (or “the carbon bubble”) has today published a new report warning that, as a result of climate policies, “no new coal will be needed, oil demand will peak around … [continued]
Originally published on RenewEconomy. By Sophie Vorrath Climate change and the risk of stranded assets have been named as two major areas of increasing investor focus and concern in the latest global survey of institutional investors by Ernst & Young. Tomorrow’s Investment Rules 2.0, EY’s second annual survey of more … [continued]
Originally published on RenewEconomy. If you hear a lot of noise about climate policies and climate action over the next few months in the lead up to the Paris climate conference, it is because there is a lot at stake. According to Citigroup analysts: $US100 trillion of potential stranded assets … [continued]
Originally published on Sustainnovate. The costs associated with stranded assets are already greater than the costs associated with action on climate change, according to the economist and climate change advisor Professor Ross Garnaut. The recent comments came as part of a rather direct attack made by the economist on the … [continued]
Originally published on RenewEconomy. This is one carbon budget that Australia has already blown. Economist and climate change advisor Professor Ross Garnaut has delivered a withering critique of Australia’s economic policies and investment patterns, saying the cost of misguided over-investment in the recent mining boom would likely outweigh the cost … [continued]
