of capital is becoming fragmented. Investment strategies are in stasis for many, awaiting clarity amid political volatility and the absence of a global consensus on the future energy mix. Until there is shared alignment on the long-term role of hydrogen, solar, wind, and emerging fuels, capital allocation will remain cautious. Firms stuck in legacy business models face higher cost of capital and falling equity premiums as ESG and net zero mandates take hold—but even progressive firms are finding it difficult to scale without a clearer, stable policy horizon. >
THE TENSIONS DEFINING INVESTOR STRATEGY Energy security, grid stability, and fossil revenues are still critical in the near term. But every year of delay in transition investments compounds operational risk and capital flight. The physical reality is that to achieve net zero requires the global grid to expand by more than 50% by 2050, at a cost of over $22 trillion. Renewable integration, electrification of transport and heat, and new peak loads will all strain outdated systems. Capital markets are increasingly favoring companies with visible transition pipelines. But that flow
Issue 3 - Brandpie Energy 7
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