A report by KPMG revealed that investments in energy transition assets are witnessing a remarkable acceleration despite geopolitical challenges and interest rate volatility.
According to the report, 72% of investors confirmed a rapid increase in investments in this sector, reflecting the ongoing commitment across various industries to support the transition to more sustainable energy sources.
The report highlighted that investors are diversifying their portfolios into multiple areas:
- 64% have invested in energy efficiency technologies,
- 56% in renewable energy,
- 54% in energy storage,
- and 51% in transportation and related infrastructure.
Continued Role of Fossil Fuels
Despite the growing prominence of renewable energy projects, the report noted that 75% of investors remain involved in fossil fuel projects, particularly natural gas. This is due to its pivotal role in ensuring energy security during the transition phase.
Insights from KPMG
Fadi Al-Shahabi, Head of Sustainability Solutions at KPMG, stated that approximately 72% of energy investors view energy transition assets positively.
In an interview with "Al-Arabiya Business," Al-Shahabi remarked that the report focused on specific regions due to their market maturity and substantial energy expenditure.
He added that investments in energy transition are currently not facing major challenges.
