The drama unfolding in Ukraine signals the end of energy “recklessness” for Europe. The transition to a decarbonised economy has become a top political priority, guaranteeing our future independence.
The energy crisis in Europe has shown how risky the dependence on Russian gas is. Renewables and green hydrogen are crucial and present extremely attractive investment opportunities. Beyond energy, from agriculture to textile, industrials and transport, key economic sectors will be affected by the path to a Net-0 economy. In this webinar held on 26 October 2022, Olivier Ken and Martina Turner provide an outlook of the sector.
The Inflation Reduction Act (IRA) was signed in law by President Biden on 16 August 2022 after House Democrats approved the biggest-ever federal investment against climate change with a 220 to 207 vote.
The Inflation Reduction Act (IRA) was signed in law by President Biden on 16 August 2022 after House Democrats approved the biggest-ever federal investment against climate change with a 220 to 207 vote. The package targets USD 369bn of spending on energy and climate change. To illustrate the monumental size, some are pointing out the spending will be four times more than Obama’s Recovery Act of 2009 for climate initiatives. The impact will be far-reaching – even pushing some technologies, in our view, past tipping points. The legislation aims to cut emissions by at least 40% by 2030.
QUAERO CAPITAL has hired Olivier Ken as Portfolio Manager. Based in Paris, he will join Martina Turner, manager of the Quaero Capital Funds (Lux) – Accessible Clean Energy fund, to manage a new strategy dedicated to the transition to a carbon neutral economy. Prior to joining QUAERO CAPITAL, Olivier Ken was Fund Manager at Ecofi Investissements.
All things considered, the clean energy sector seems to be ready to enjoy a unique alignment of the stars. Indeed, never before have policy and regulation together driven clean energy forward with such force and with so much visibility.
The development of the Clean Energy sector has historically been significantly impacted by previous energy crises. The war in Ukraine and its major impact on energy markets will be no exception. Sadly, it took a tragedy at our doors for us to come to realize that renewables and energy efficiency are not only about climate change, but also about our independence, freedom, and future prosperity.
During the synchronised sell-off in markets in January – mainly due to massive sector rotation in favour of “value stocks” – clean energy sector stocks suffered. And yet, the transition to clean energy keeps accelerating.
Sustainable investment continues to charge on. Indeed, according to PwC, more than half of all planned ETF launches for 2022 are expected to be ESG tilted, including 80% of those in Europe. Expectations of investors alongside corporations continue to rise, alongside growing concerns about greenwashing.
After a fabulously supportive year in 2020 for Clean Energy, 2021 may be best described as a whip lash. Looking into 2022, there are clearly the usual suspect headwinds. However, we also foresee multiple strong tailwinds from various directions…