Pouyanne's Davos renewable energy argument is flawed

The rock-bottom price of oil dramatically reduces investor appetite for lower-carbon alternatives, the head of one of the world’s largest oil companies said on Thursday.

Total CEO Patrick Pouyanne told delegates at the World Economic Forum in Davos the business case for clean energy had collapsed.

“I am a big investor in solar and I was advocating that there are 20 countries in the world where we can make solar profitable,” he said. “It is not true today. At 30 dollars per barrel there is not a single one.”

Read the Climate Home story - “Total CEO: Solar is loss-making at $30 oil.”

(Should Davos decisions reflect the view of Total CEO Patrick Pouyanne, then they are purely the short-termism of economics. The collapse in oil prices is being driven by OPEC and just as soon as oil exploration and production led by the fracking companies and the renewable energy industry are disarmed, the costs of the “black gold” will increase.

Profit, rather than the broader wellbeing of humanity, is the prime driver of those gathered in Davos. Pouyanne's argument is flawed and serves only the interests of the fossil fuel companies– Robert McLean).