STO Well positioned, page-601

Many countries in Europe are discovering the infrastructure switch to renewables will cost FAR more than originally planned; & that the current cheapness of fossil fuels' energy, in comparison to renewables, is also a handicap to any "quick" transition.

This link states Australia is having the same problems.

The economic & energy security reality is that fossil fuels will be essential for many decade- this bodes well for Santos.

sha..re.cafe 21.5.24 P. Milos said

"Several major European power companies are reassessing their renewable energy development targets due to high costs and low electricity prices, signaling challenges in transitioning away from fossil fuels, such as coal, oil, and natural gas.

Statkraft, Europe's largest renewable energy producer, has announced a review of its annual targets for new renewables capacity, while Portuguese energy company EDP is scaling back its plans due to high interest rates and decreased power prices.

Denmark's Ørsted, a leading offshore wind developer, has reduced its renewable targets for 2030 by over 10GW following the abandonment of two large projects in the US due to escalating costs.

Birgitte Ringstad Vartdal, CEO of Statkraft, acknowledged the continued growth of renewables but noted a slower pace.

Iberdrola, a Spanish energy giant, has shifted to a more selective approach to renewables and increased its focus on electricity grids, foregoing its previous 80GW renewables target for 2030.

Similarly, Italian utility Enel has revised its investment in renewables downward, citing rising costs and increased investment in electricity grids.

Norman Valentine from Wood Mackenzie highlighted a significant shift in the cost environment affecting renewables growth.

However, there are exceptions such as Germany's RWE, which raised its renewables target in November 2023.

The high costs and challenges described are pervasive within the Australia renewable energy sector.

These issues, including elevated expenses due to unforeseen disruptions in the supply chain and shortages in labor, are actually more pronounced in Australia compared to many other nations".

Is renewable energy too expensive? - *********

(Google "Milos sh.are.cafe, then URL", to open link fully).