To those cutting back investment in green energy – how do you expect this to end?: Michael Crossland

February saw BP announce that it was cutting its funding for renewables by more than £3.9bn, while in March, Shell also revealed plans to reduce the amount it spends annually on low-carbon projects by up to a third.

While the companies argue they are maximising returns for shareholders, the move opens a burning question for the rest of the world. What do we do now?

Climate experts are unanimous in their warnings that the world must switch to more environmentally friendly methods of energy production.

According to the UN, fossil fuels including coal, oil and gas are by far the largest contributor to climate change, accounting for over 75 per cent of global greenhouse gas emissions.

Should the world cross the all-important figure of 1.5°C global warming above pre-industrial levels, the Intergovernmental Panel on Climate Change has warned that we risk unleashing more frequent and extreme weather events including droughts and heatwaves.

But in recent weeks, the shift away from fossil fuels has looked to be happening ever more slowly.

Last month, SSE said that it was “unlikely” to reach its targets for renewable energy production by 2030, while Danish energy firm Orsted also announced that it was cancelling plans for a major windfarm located off the Yorkshire coast.

There is, of course, another major factor in the shift away from green energy that has emerged since the end of 2024. The elephant in the room – albeit in every room this year – is Donald Trump’s re-election as president.

As journalists, we are often reminded to report what Trump does, not what he says, and while his message has been summed up perhaps most succinctly in his now infamous “drill baby drill” quote, it is worth examining what this has meant in real terms.

Trump’s first day in office saw him sign an executive order to pause all leasing of federal waters for offshore wind projects, while earlier this month, the US House of Representatives approved a tax and spending package which included the termination of tax credits for green hydrogen production.

Despite the long list of negative news for the clean energy sector, however, some green shoots have also emerged.

At last month’s UKREiiF conference, Professor Dame Julia King – the UK’s Low Carbon Business Ambassador – told The Yorkshire Post that the US’s loss in green energy could be the UK’s gain.

In March, a report from the OECD argued that investing in climate change could in fact fuel economic growth, rather than hindering it, adding that investing in clean energy increases productivity and innovation. Big businesses, however – those who have the power to fuel such changes – seem not to be taking such arguments on board.

For those in the position to enact these changes, be it in business or government, the question now has to be – how do you expect this to end?