Average spending on clean energy technologies across the natural resources industry is expected to rise by more than a third in the next financial year, according to the latest global Clean Energy Survey released by Willis, a WTW business.
Despite an increase in fossil fuel investments in the short and medium term, natural resources companies have outlined long-term plans for clean energy investments. The survey indicates that businesses are navigating a complex risk environment as they work to balance financial, regulatory, and operational priorities.
The survey received responses from 450 senior decision-makers across leading energy and natural resources companies in Europe, North America, Asia-Pacific, and Latin America, providing insights into the industry’s strategic direction in clean energy.
All natural resources companies reported having a clean energy strategy, though implementation levels varied by sector. Among renewable energy companies, 71% said they are either implementing or have fully implemented their strategies. This compares to 36% for oil and gas, 63% for power, and 43% for mining and metals.
Clean energy is widely viewed as a growth opportunity, with 63% of respondents saying they see potential in the sector. The response was consistent across all industries surveyed, including oil and gas companies that are investing in clean energy alongside increased fossil fuel activity.
The transition to renewable energy sources – such as solar, wind, hydro, and geothermal – is fundamental to achieving net-zero emissions. This shift involves transforming energy production, distribution, storage, and consumption patterns.
The International Energy Agency (IEA) has emphasized that decarbonizing the global energy system is essential for limiting global warming to 1.5°C. This transformation not only addresses climate change but also enhances energy security and fosters economic growth through the creation of green jobs.
Industry-wide investment in clean energy technologies and infrastructure is projected to rise by an average of 34% in 2025. Spending is expected to increase from an average of $185 million in 2024-25 to $249 million in the following financial year.
Technology priorities within the sector are also evolving. In the near and medium term, 51% of respondents identified solar energy as a primary focus.
Over a longer horizon, 61% said battery storage solutions and carbon capture and storage were key priorities. Geothermal and hydrogen technologies were also noted as significant areas of interest over the next decade.
Supply chain disruptions and geopolitical instability were named as top risks by industry leaders. Among respondents, 79% cited supply chain challenges, while 78% identified geopolitical uncertainty as a key concern. Trade tensions, regulatory changes, and shifts in government subsidies were noted as factors contributing to these risks.
Challenges in obtaining suitable insurance coverage were also highlighted. More than half of respondents, 53%, said blanket exclusions were a barrier to risk transfer. Other concerns included limited policy duration and inflexible terms (48%) and a lack of suitable insurance products (47%).
Rupert Mackenzie, global head of natural resources at Willis, said that natural resources companies must balance regulatory, financial, and operational challenges while transitioning to clean energy.
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