Energy Industry Braces For Slower Growth In 2013
by: Andrew Schneider, November 29, 2012 4:11:00 am
The aim of Total Energy USA is to develop broad-based solutions to the world’s energy needs. Day two included sessions ranging from national security to deriving industrial energy from food wastes.
Nathaniel Karp, chief economist for BBVA Compass, addressed a panel on financial planning for energy companies. Karp laid out the main economic challenges facing the industry.
“Next year, particularly, it’s going to focus on what’s going on in Europe, how Europe solves the crisis that they’re in right now. There’s also, obviously, the fiscal cliff in the U.S., and the slowdown in the emerging markets, particularly in China, and sort of the global geopolitical risks in the Middle East.”
Karp also cited a longer-term challenge the industry must meet. Over the next 25 years, he said, the world will need an additional $40 trillion worth of investment in infrastructure to keep up with the demand for energy.