Markets and investment

Global energy investment totalled more than USD 1.9 trillion in 2021, with the power and end-user sectors attracting more investment than traditional fuel production

Energy markets focus on the trade and supply of electricity, gas and liquid fuels. They consist of three main elements: generation or production, transmission and distribution, and supply. Once electricity is generated or gas and oil is produced, it is sold on the wholesale market to suppliers, who sell it on to consumers and arrange for its delivery. It is distributed to homes and businesses through transmission and distribution systems. Depending on a country’s government policy, these elements of energy markets may be nationalised or privatised. Energy markets are closely regulated to ensure secure access to energy at fair prices, since energy is a necessity for sustained economic output and human welfare. Energy markets in the UK are privatised and regulated by the Office of Gas and Electricity Markets (Ofgem), which is responsible for protecting the interest of consumers by promoting fair competition. UK energy markets have recently experienced significant changes due to diversification of electricity generation through the rise of renewable energy sources, as well as the addition of many new suppliers.

Around the world, investments in the energy system are shifting, with increasing funds flowing into renewables, grid flexibility mechanisms, and low carbon transport. An appropriate policy and regulatory environment is required for continued investment towards a low carbon economy while maintaining energy security. The low carbon transition often requires the government to drive and guide private spending since investments in low carbon energy infrastructure are often capital-intensive and require long-term returns. There is growing need for new market structures to be defined and existing ones to play different roles in order to encourage low carbon investments across all sectors of energy, while also keeping the energy system stable and conventional sources flowing. Increased interconnection is also an option for moving towards more sustainable and cost-effective energy systems; integration of national energy systems through cross-border infrastructure can redefine investment agendas.

Learn more about markets and investment by reading our Energy Insights.

For the latest news and articles on energy pricing read New Energy World.

View upcoming finanace and investment consultations and policies on our Policy Milestones Calendar.

What's new?

Kick-starting a global low-carbon ammonia industry

The global ammonia market currently stands at 200mn t/y. Ammonia is used in everything from fertilisers and cleaning products to processes such as wat...

Read more »

New focus on European energy deals

Across Europe, countries have stated their ambition to scale up their energy resilience in the wake of Russia’s unjustified military assault on Ukrain...

Read more »

Floating LNG firsts for Mozambique and Nigeria

Located in Mozambique’s ultra-deepwater Rovuma Basin, the Coral Sul field is estimated to hold some 450bn m3 of gas reserves. The project, which is be...

Read more »

UK Autumn Statement: More heat on average energy users and 45% levy on low carbon electricity generators

Let’s look at the statement in detail. Energy bills: Many were concerned to learn that help with escalating energy bills is being scaled back. Fr...

Read more »

A swift reduction in global coal emissions is central to climate challenge

The report shows that the overwhelming majority of current global coal consumption occurs in countries that have pledged to achieve net zero emissions...

Read more »

Events and training

Sorry, there are no events showing at the moment. Please check back as this page is updated regularly. For other events or training courses, visit the What's on section.

Technical guidance publications

Proceedings of the 20th World Petroleum Congress. Energy Solutions for All: Promoting Cooperation, Innovation and Investment. 4-8 December, 2011, Doha, Qatar

/* Style Definitions */ table.MsoNormalTable {mso-style-name:"Table Normal"; mso-tstyle-rowband-size:0; mso-tstyle-colband-size:0; mso-style-noshow:y...

Read more »

Financial investment in energy efficiency

Taken from Croner's Energy Management loose-leaf manual, this 30-page module identifies a number of accountancy techniques to help energy managers qua...

Read more »

Visit our publishing site »

You may also be interested in