I recently got into a conversation about the continued demand for fossil fuels. I think the interesting piece here is that what we really should be talking about is the demand for energy.
I assert that the forecasted demand for fossil fuels makes predictions based on today’s fossil fuel-dominant environment. However, what we’re seeing is a global macro-economic push for greener energy sources at all levels (from individuals to global companies to governments). This will motivate businesses to capitalize on the opportunity to bring about change and disrupt the forecasted demand for fossil fuels, largely because the demand for energy will be met in a different way.
As the costs of wind, solar, geothermal continue to drop, you’ll see businesses and municipalities shift to acquiring from those sources because it’s what shareholders, customers, and citizens demand. Which will further motivate renewables producers to scale up and find efficiencies. This will seem like a slow transition through the rest of the 2020s but my prediction is we start to see major acceleration by the end of the decade and into the 2030s.
Read this report by the International Energy Agency for further insight and predictions: https://www.iea.org/reports/renewables-2020
Image credit: IEA.org