The energy crisis has burst a multibillion-pound bubble in green stocks as gas prices surge and the world confronts the true cost of net zero. Shares in renewable energy companies have tumbled to their lowest level in 16 months, almost completely unwinding gains made during a stampede into companies aiding the shift away from fossil fuels. It comes as new figures revealed that private equity snapped up oil and gas firms worth almost £12bn last year, a huge increase from £232m in 2020 as the sector ploughs investment into renewable energy. A basket of global clean energy shares, which includes renewable giants Iberdrola, Vestas and Orsted, has tumbled 45pc since the record peak a year ago, wiping tens of billions of pounds off their “excessive” value. Rising material costs, frothy valuations and escalating interest rates have dampened investor enthusiasm after a flood of money into the sector.
Telegraph 22nd Jan 2022 read more »