The MSCI Net Zero Tracker

One year ago, demand for fossil fuels boomed amid a scramble by countries to shore up their energy supplies after Russia’s invasion of Ukraine and the sanctions and embargoes targeting Russia that ensued.

The year that followed produced windfall profits for oil and gas companies and sent energy-related carbon emissions to a new high, yet it also catalyzed governments, investors and industry to accelerate moves toward an energy future ultimately built on a foundation of global security and sustainability. Signs of that momentum and shift abound. The U.S., the European Union and other major economies are racing to provide incentives for and attract clean-technology businesses via varying mixes of subsidies and spending. Climate disclosure frameworks are set to become legal obligations for thousands of companies worldwide in the coming years.

The biggest utilities in the U.S. and Europe are channeling the lion’s share of their capital spending toward investments in renewables, which are expected to supply more than one-third of the world’s energy (and nearly all the growth in demand for electricity) by 2025, provided the capacity can be deployed.

Read The Full Article