It's a massacre out there
The net-zero flood is about to hit the proverbial fan
“How did you go bankrupt?”
“Two ways. Gradually, then suddenly.”
The Hemingway quote has been used frequently to describe what the future likely holds for the energy transition if its champions continue to ignore the constraints imposed on such a transition by physical realities that most of us consider immutable, although those who believe we are a simulation created by an alien race may disagree.
The situation is now approaching the “suddenly” stage — and it is approaching it fast, as is only fitting. What started as a slow fraying of the net-zero push a couple of years ago has now accelerated substantially. We may see some high-profile corporate failures by the end of this year and a pullback from net-zero pledges not just from business organisations but from governments as well. I know, it sounds unbelievable but it is not out of the question as data centre operators rush to secure gas network connections in the UK, U.S. wind and solar developers cancel $19 billion in projects, Ørsted flirts with bankruptcy, and the IEA quietly brings back its Current Policies Scenario.
