Hi this is ZipLaw! This is part of our analysis of the Top Trends to look out for in 2024 and how they impact Law Firms and their clients.
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Here’s what we’re serving today:
- 🔋 Energy: Which energy will dominate and why
- 💸 Finance: What to expect from Central Banks
- ✈️ Defence: Why spending will increase
The Climate Change Fight heats up
In Short: Following the ground-breaking agreements at COP28, we're looking at a global energy sector that's inching away from traditional fossil fuels towards a more renewable and diverse energy mix.
What to Expect:
- Increased Renewable Energy uptake: A significant rise in the use of renewable energy sources like wind, solar, and perhaps hydrogen. This boost is fuelled by international commitments and technological advancements making renewables more feasible and cost-effective.
- Continued, but Declining, Reliance on Fossil Fuels: Despite the push for renewables, fossil fuels will still play a considerable role, albeit with a gradual decrease in their dominance. Complete transition away from fossil fuels is challenging due to existing infrastructure, economic dependencies, and the gradual nature of adopting new technologies.
- Innovative Climate Policies and Investments: An influx of new policies aimed at reducing carbon emissions and substantial investments in green technology. Global agreements like those seen at COP28 need to be backed by actions; countries and companies will be adopting more aggressive strategies to meet these commitments.
Why Does This Matter:
Companies, especially in the energy sector, will need to adapt their strategies to align with the changing energy landscape. This might involve investing in renewable technologies, adapting to new regulations, and rethinking their long-term business models.
The shift towards renewables and the implementation of climate policies can lead to economic realignments. New industries may emerge, and there could be significant job creation in green technology sectors. On the flip side, regions or businesses heavily reliant on fossil fuels might face economic challenges.