The World Energy Council, the UN-accredited global energy body has expressed doubts over the?impact of volatile energy and commodity prices.
According to the 7th edition of the Council?s annual survey, the?impact of volatile energy and commodity prices?has become the number-one issue worldwide and that energy leaders are particularly worried about the plunge in oil price to its five-year low.
They are also kept busy by the continual reduction in the cost of renewables, which has resulted in their improving share in the energy mix, while also putting additional strain on the wider energy system especially in regions without viable storage technologies.
According to the report, ?High price volatility has become the new normal facing energy leaders and this is the context in which we expect them to take investment decisions at an unprecedented scale.? said Christoph Frei, World Energy Council?s Secretary General. ”
It also mentioned that the unprecedented uncertainty, the need to redefine infrastructure resilience in response to emerging risks, the expectation of changing market designs and evolving business models, as well as the changing geopolitical balance has placed energy among the top strategic issues globally for at least the next decade.
The report also said, energy storage and the quest for energy finance are issues that keep leaders busy, with energy subsidies an area needing urgent action.