The energy transition dream clashes with a reality in which the funding and behavioral changes necessary for deep decarbonization of the global energy system are grossly underestimated. That’s one of the key messages of JP Morgan’s 2021 Annual Energy Paper published days after the International Energy Agency (IEA) said that if the world were to reach net-zero emissions by 2050, it would have to stop investing in new oil, gas, and coal supply immediately. Overwhelmed by enthusiasm about electric vehicles and solar and wind energy, many enthusiasts, and even analysts at the IEA, believe that new technologies about carbon capture, hydrogen production and its industrial use, surging solar and wind power installations, and constantly growing energy efficiency could be enough to transform the world of energy over the next few decades. Don’t get ahead of yourselves, Michael Cembalest, Chairman of Market and Investment Strategy for JP Morgan Asset Management, […]