One negative blowback: In Indonesia, expanded use of biofuels, specifically palm oil, could put additional pressure on forests.
Otherwise, big push into renewables, a feared revival of coal seems less and less likely.
The Hormuz crisis has already triggered an electrification drive in south and Southeast Asia as consumers struggle with fuel price spikes and even shortages in some countries. Europe and Asia are accelerating plans to install wind, solar, and battery storage capacity to protect against the highly volatile oil and gas markets in increasingly uncertain geopolitical developments.
Investors overwhelmingly expect financing for renewable energy projects to surge in the wake of the Iran conflict, a new poll by the UK Sustainable Investment and Finance Association (UKSIF) showed last week.
Investment firms managing a total of around $7.4 trillion (£5.5 trillion) in assets under management completed the UKSIF survey last month, which showed 87% of respondents expect both global and UK-specific investment in renewable energy projects to increase following the war.
The survey also showed 78% of respondents felt global renewable energy investments were now “less risky relative to oil and gas” after the outbreak of the war.
“Despite the narrative that LNG can provide energy security through diversifying supply routes beyond fixed natural gas pipelines, in reality, we’ve seen that this has not been the case with all the cards held by a few LNG suppliers,” says Amy Kong, energy transition researcher from Zero Carbon Analytics (ZCA) in a media briefing. “In essence, we’re seeing the same problems with new dealers.”
Continue reading “In Asia: Hormuz Impact Accelerates Transition”


