Oil in Global Economy Series: Fossil Fuelled Fund Not to Invest in Fossil Fuel Coal
In our post named “Future of oil can be seen in Present of Coal” available at http://www.econotimes.com/Oil-in-Global-Economy-Series-Future-of-oil-can-be-seen-in-present-of-coal-194144 , we discussed the bleak future for carbon intensive energy and precarious stage coal is facing. If World’s largest private sector coal company goes bankrupt (Peabody energy), it spills the bean on future of the sector and fossil fuels in general.
Another bad news, however has hit the coal market companies as Norway’s sovereign wealth fund, which is world’s biggest with $860 billion under management announced that it will no longer invest into 52 companies worldwide as they are too reliant on coal. These names include Drax in UK, Dynergy and FirstEnergy in US, Reliance and Tata Power in India.
We don’t want to get into specific names but the reason behind.
According to the fund, future of coal is finite and future is renewables. World is steadily, especially the developed countries are steadily decarbonizing their energy sources.
Now we want to go one step further than the fund and say that future of oil is also finite, though it may take another two decades.
The material has been provided by InstaForex Company - www.instaforex.com