Energy Analytics

COP26 and the Long Road to Decarbonization

byBill Farren-Price

We were curious to see what would happen during this week’s 2021 United Nations Climate Change Conference, or COP26. After all, commitments to net zero emissions need to be coupled with realistic pathways for their delivery, and so far, they have not been.

Previous pledges on climate action have gone unfulfilled and governments have struggled to agree on joint rules for carbon markets. Meanwhile, financial contributions to allow developing countries to move away from carbon-intensive industry have fallen short, prompting deadlines to be extended.

The absence of key heads of state at the conference has caused the prospect of a comprehensive new plan to fizzle. Heads of state from Russia, China and Saudi Arabia have stayed away, aware that in nearly any outcome they will be painted as the villains of the piece. The U.S., the world’s biggest greenhouse gas emitter, is struggling to get key climate measures through congress, undermining President Biden’s capacity to encourage joint action on the international stage.

However, there are reasons for climate campaigners to be hopeful. Net-zero commitments may be distant, but they provide investors with a framework to work with. European commitments to phase out the sales of new internal combustion engine vehicles has prompted the auto industry to reconfigure manufacturing in favor of electric vehicles, and sales have outstripped forecasts, including our own. Europe’s shift to green power generation has produced the same trend, although country by country, the results are uneven.

The shift to decarbonize industrial activity is a rocky road, but the first steps are being taken. Watch how public policy translates into investor behavior because this will be the real test of COP26 in the months and years ahead.

Bill Farren-Price

Bill Farren-Price

Bill Farren-Price is a director at Enverus where he leads the Macro Oil Intelligence team’s international energy policy and geopolitical research. He joined Enverus through the acquisition of RS Energy Group (RSEG) in February 2020. Bill has 25 years of experience in the energy industry, working as a consultant and industry journalist focused on countries in the Middle East and North Africa. Before founding Petroleum Policy Intelligence (PPI), which was acquired by RSEG in 2010, he led oil research at Medley Global Advisors. He has held senior correspondent and editorial posts with international news wires including Knight-Ridder Financial News (latterly Bridge News) and Agence France-Presse. He edited the Cyprus-based Middle East Economic Survey. A graduate of the School of Oriental and African Studies (SOAS) at the University of London, Bill’s areas of expertise include global oil and gas markets, energy policy and Middle East politics.

Subscribe to the Enverus Blog

A weekly update on the latest “no-fluff” insight and analysis of the energy industry.

Related Content

energy-transition
Energy Transition
ByCarson Kearl

In a world where energy value can make up a small portion of the revenue stream from emerging business models, what else is at play? Enverus Intelligence Research® views effective energy transition business as taking advantage of two key additive...

field-representative
Intelligence Oilfield Services
ByErin Faulkner

Permitting information for oil and gas wells is one of the most readily available and least lagged pieces of data on industry activity, but it is often seen as a poor indicator of future drilling activity.

Enverus Press Release - Exploring falling rigs and rising production
Energy Analytics Minerals
ByEnverus

While horizontal drilling and hydraulic fracturing significantly enhance well productivity, they have had the opposite effect on the land department.

operators
Intelligence
ByJoseph Gyure, Editor, Enverus Intelligence

All seven regions covered by the Enverus Day Rate Survey saw rates rise sequentially for the second time in three months in January as confidence started to strengthen among U.S. land drilling contractors.

accurate-grid-forecastin
Energy Transition Intelligence
ByJoseph Gyure, Editor, Enverus Intelligence

Ørsted took a blade to its project pipeline, reducing its ambition to 35-38 GW of installed capacity by 2030 from the previous 50 GW.

ofs-blog
Intelligence
ByJoseph Gyure, Editor, Enverus Intelligence

SLB has reaffirmed its 2024 financial guidance, part of an effort by international oilfield services companies to reassure investors after the Saudi Ministry of Energy called off plans to increase its maximum sustainable capacity by 1 MMbo/d to 13 MMbo/d...

EV-parent-image-4
Analyst Takes Energy Transition
ByEnverus

Despite the relatively scant incentives for buying an EV in the U.S. compared to other countries, the U.S. Environmental Protection Agency (EPA) presented its plan in 2023 to tighten tailpipe emissions regulations.

Enverus Blog - Increase visibility and efficiency with OpenTicket Mobile digital field ticketing software
Trading and Risk
ByEnverus

Amid significant volatility in global energy markets, U.S. President Joe Biden’s decision to temporarily halt approvals for pending liquefied natural gas (LNG) projects seems to defy conventional trading wisdom. This audacious move has given rise to a variety of viewpoints...

Enverus Blog
Intelligence Trading and Risk
ByEnverus

In the ever-changing energy landscape, understanding market fluctuations, weather conditions and system resilience is paramount when factoring ideas for trading opportunities.

Let’s get started!

We’ll follow up right away to show you a quick product tour.

Let’s get started!

We’ll follow up right away to show you a quick product tour.

Sign up for our Blog

Register Today

Get Energy Transition Research updates straight to your inbox by filling out the form below.

Sign Up

Power Your Insights

Connect with an Expert

Access Product Tour

Speak to an Expert