Transition or disappearance. Paula Roman, February 2021

Neuroscience describes neophobia as the fear of change. It is a reaction of the central nervous system intrinsic to living beings and more particularly to the human being. It is possible that our society has suffered from neophobia and that, therefore, despite the numerous warnings we have been receiving from the planet for years, we have resisted addressing an energy transition in earnest until now.

Now, if there is an innate force to any living being, it is the survival instinct, and it is that instinct that has led society to understand that we are facing a dilemma: transition or disappearance.

Companies, as a fundamental part of society, are no strangers to this circumstance and 2020 and the crisis caused by the pandemic have shown, revealing the volatility of the demand for fossil resources, that the future of companies passes, to a large extent, by their ability to adapt to the energy transition.

Because society demands it. A clear example can be seen in the increase in demand for electric vehicles. According to data from the consultancy PwC, in the third quarter of 2020, its sales in Europe increased by 128% compared to the same period of the previous year. Similarly, the demand for self-consumption facilities beat its mark in 2020 with 596 new MW installed according to UNEF. And although it may seem that this only affects companies in the energy sector, the reality is very different. The profile of the consumer is increasingly demanding with the social responsibility of the companies to which it demands its products or services. It is a more conscious consumer and willing to choose or discard a company based on its commitments to the environment and sustainability.

Investment and growth. In 2020, a record 500 billion euros have been invested in clean energy, according to a Bloomberg analysis. These investments, public and private, demonstrate the trend of the market and where the future of profitability lies. Proof of this is one of the most traded funds at the moment: the European Union Recovery Fund. In total 750,000 million euros, 75,000 million for Spain, with 40% destined to ecological transition.

Recruitment and retention of talent. According to a study by the consultancy Robert Walters, the renewable energy sector will boost the demand for talent in 2021. The profiles with the highest qualification and therefore, more demanded, will always choose to participate in projects more oriented to the future, to evolution and that are in line with their concerns and concerns.

Regulation imposes it. 2020 has also been the year in which the Declaration of Climate and Environmental Emergency has been officially approved in Spain. One of its consequences has been the processing that is being carried out in Congress of the Climate Change and Energy Transition Bill, which is expected to be approved in the coming months, which raises to 23% the reduction of emissions by 2030 compared to 1990. In addition, the share of renewables in consumption should reach 74% by that same year.

All of this brings us to the headline of this article. As has happened with the digitalization of services -Netflix, Amazon, Uber- compared to the traditional model -video clubs, bookstores, taxis- companies that do not know how to adapt to this new revolution are in danger of being left behind.

However, the role of other companies is very different. This is the case, for example, of Feníe Energía that starts with the advantage of carrying the energy transition in its DNA. To be promoters of this new model and to have been born as ‘native-environmental’.

In this case, their role is to accompany others, companies and individuals, in this transition, sometimes complicated and that some, due to ignorance, face with fear. Therefore, it is important to face it by offering certainties, with the necessary knowledge and experience as a guarantee. As in any big change, having the help of professionals and experts is essential to build the future intelligently, efficiently and effectively.

Paula Román, General Director of Feníe Energía.

Company Member of the Private Company and Climate Foundation