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Three Reasons Why Sustainable Energy is Getting a Boost Despite Low Oil Prices

Vivek Vaidya
Associate Partner & SVP – Mobility Practice, APAC

Due to the global pandemic, we are living in unprecedented times. This pandemic has proven to be the ultimate iconoclasm across industries. Everything is on the anvil, from business attire to face-to-face meetings to the need to have a permanent office. Sustainable energy is no different. When the pandemic set in and oil prices plummeted, the most common belief was that the investments in sustainable energy will slow down, the new wave of electrification in automotive will subside and we will turn the clock back on the climate agenda.

Prolonged lockdowns in several countries turned out to be an unprecedented social experiment. When the transport and industrial emissions stopped, urban air quality drastically improved in a matter of days. That underlined the harmful effects of the emissions.

  1. Sales of electric vehicles (EV) continue unabated. In countries like Germany, EV penetration has exploded.
  2. As per the International Energy Agency (IEA), electricity generation by renewable sources grew against the decline in other conventional energy sources.
  3. Investments in renewable energy and new zero-carbon fuels like hydrogen increased multi-fold.

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