The single-minded push towards clean energy is increasingly moderated by pragmatism and politics, presenting a new paradigm for energy transition. Political changes, especially in the US and Europe, are influencing the pace and direction of the energy transition. The Trump administration is expected to support oil, gas, and nuclear while scaling back incentives for EVs and wind.
On the other hand, Europe's need for defence spending is a competing priority with grid decarbonisation. In Asia, energy security, affordability, and economic growth are driving a pragmatic approach-balancing renewables expansion with continued reliance on gas and coal, and a growing focus on "just transitions" for affected communities.
What does this mean for investors? Does clean energy still have a role to play in the global energy supply? How can fossil fuels be considered part of energy transition?
