News
Energy transition is a crucial enabler of sustainable development and climate resilience. Forward-looking actions will create new jobs, stimulate growth and harvest social and health benefits. Recent statistics suggest that growth for underlying commodities will grow strongly. Accelerating the clean energy transition will reduce household expenditure on total energy costs. This reflects the electrification of economies, with homes being heated and cooled by heat pumps and people switching to electric vehicles (EVs).
Energy is strategic to every government as it drives their industries and is essential for the well-being of their society. Climate change is regarded to be an existential issue that is driving a global agreement for net zero (CO2) emissions by 2050, with some countries aiming for a more aggressive 2030 date.
Review of Our Outlook
for 2023
CEO
Weng Cheah
Associate Director
Relationship Management
Chief Scientist
Jackson Loong
Gaudi Schneider
Our Event on 9 Feb 2023
Outlook 2023
A close look on the day.
Our Insights
2022 Review of the Year.
Our Outlook of 2023.
CEO
Weng Cheah
Associate Director
Relationship Management
Jackson Loong
What do the rate hikes that dominate the news flow mean for us in Australia, and should we invest differently?
CEO
Weng Cheah
Chief Scientist
Gaudi Schneider
1.Will the FED pivot? 00:05-02:38
2.Would you favour a goverment bond or dividends? 02:40-04:29
3.As an investor, where to hide? 04:30-6:57
4.What is happening with the US dollar? 06:58-08:29
CEO
Weng Cheah
Chief Scientist
Gaudi Schneider
Associate Director Relationship Management
Elaine Fu
01
Energy transition is a significant initiative in the global move to net zero. We expect that this trend will create opportunities that require labour and encourages the deployment of new and leading technology.
If the G7 countries – the US, Canada, UK, France, Germany, Italy and Japan – accelerate the energy transition to a net-zero economy by 2050, the total energy bill per capita, for electricity, natural gas and gasoline combined, will be on average US$135 lower in 2025 than in the business-as-usual scenario. By 2030 the total energy bill per capita will be, on average, 25% or US$488 lower and by 2035 the average resident of a G7 country will be spending almost 45% or US$825 less each year on energy.
02
Following the Russian invasion of Ukraine, the EU has committed to phasing out its dependency on Russian fossil fuels. A sustained policy effort across multiple sectors will be needed. The EU is seeking to speed up the introduction of renewables, reducing energy consumption and improving energy efficiency. Ultimately, the EU, through its REPowerEU program, is planning to drastically reduce dependence on Russian fossil fuels and fast forward the green transition.
At its peak, under an accelerated transition scenario, 1.92 million additional jobs would be created in the G7 nations by 2025. In India alone, 15.4 million additional jobs would be created by 2025 in the accelerated transition scenario, compared with business-as-usual. Indonesia would see 5 million jobs added by 2030.
Ultimately, a transition to green energy will see a huge explosion in job creation, economic growth and of course a much cleaner and healthier environment that will improve the well-being of everyone.
Insights
Following the Green Trend
There is an urgent need to slow global warming because of its devastating effects on both the environment and people. The impact on nature is already coming, not only rising sea levels but also extreme weather events such as floods, droughts, and wildfires. For people, rising temperatures in the future could have serious health consequences, and food security and migration issues could have huge political consequences and even spark civil unrest. The UN's Intergovernmental Panel on Climate Change (IPCC), which assesses science related to climate change, has warned that global warming must not exceed 1.5°C from pre-industrial levels to avoid irreparable damage to the planet.
Following the Russian invasion of Ukraine, the European Union (EU) has committed to phasing out its dependency on Russian fossil fuels. Subsequently, the war has sped up the direction towards using renewable energy.
The EU is seeking to diversify its gas supplies, while speeding up the introduction of renewables.
Renewable power needs to expand significantly to meet the IEA Net Zero Scenario share of 60% by 2030.
