For many years, advocates fighting climate change and the fossil fuel industry were like ships passing in the night. Advocates pressed for comprehensive climate policies strong enough to stop or slow fossil fuel pollution and climate change. Meanwhile, the fossil fuel industry argued that until global limits were in place, they would follow ‘business as usual’ by tapping existing fossil fuel reserves and spending over $650 billion a year finding new hydrocarbon sources.
But something changed along the way: even though a global climate deal is obviously unlikely at the UN talks in Warsaw, the fossil fuel industry’s iron-clad grip on the global economy appears to be loosening. Rather suddenly, concepts like unburnable carbon, carbon asset risk and stranded assets are now very real – and not only in the minds of Bill McKibben and 350.org, but also mainstream investors and Wall Street.
Coal demand is softening in many parts of the world, especially in the U.S. where coal reserves are going unused and coal company share prices have fallen by three quarters or more since 2011. Oil majors are also feeling pressure as global demand is likely approaching a tipping point, pinching their earnings and share prices.
See full Article: http://www.ceres.org/press/blog-posts/investor-concerns-about-fossil-fuels-are-growing
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