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Stock impact report

Will The Low Oil Price Dent The Prospects For Renewables? [Forbes]

Federated Hermes, Inc. (FHI) 
Last federated hermes, inc. earnings: 4/30 04:17 pm Check Earnings Report
Company Research Source: Forbes
ABA, CHINA - APRIL 25: Aerial view of solar panels at a photovoltaic power station with snow... [+]mountains in the background on April 25, 2020 in Aba County, Sichuan Province of China. (Photo by Liu Guoxing/VCG via Getty Images)The low oil price brings obvious problems for the oil majors, the shale industry and various others, but could it also create difficulties for the renewables sector? Previous oil slumps have seen governments move away from support for renewables and consumers turning to the cheapest option. Is there a danger of this happening again?A low oil decreases price competitiveness for renewable energy. This has a number of immediate impacts: governments find it more difficult to subsidise renewable energy initiatives as they are relatively more expensive, while consumers have less incentive to switch out of existing fossil fuel options and embrace alternatives. They are also less inclined to make fuel savings and encourage efficiency.However, there are a number of re Show less Read more
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