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Wall Street is falling out of love with natural gas

by Gerson Freitas Jr and Vanessa Dezem, Bloomberg


Investors are ditching natural gas and fossil fuels in order to invest in renewable energy such as solar and wind: 

    • Environmentalist push-back on dirty energy investments has put fossil fuel valuations at a tipping point 
    • For the first time in about a decade, local gas distributors indices are selling for less than electric utilities in relation to their projected earnings
    • With more cities adopting natural gas bans and countries looking to cut their emissions, the natural gas industry is bound to decline 

Natural gas is a fossil fuel, and its largest component is methane. Leaky pipelines and old gas distribution systems in communities all over California have led to a steep rise in methane emissions, which are 84 times more powerful than carbon emissions. For a climate-safe future, we will have to electrify all the systems in our buildings that are currently gas-powered (heating, water heating, and cooking), as well as phasing out gas-powered vehicles in favor of electric ones (and reducing the total number of vehicles).

Read More: https://www.bloomberg.com/news/articles/2020-03-03/wall-street-is-falling-out-of-love-with-a-once-coveted-fossil-fuel