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Regime Change in European Power and Gas Markets
The HC Commodities Podcast
Diversification is Essential
Maintaining a diversified energy portfolio, including fossil fuel generation, is crucial for energy security, particularly during supply shortages. The recent gas shortage demonstrated the challenges faced when alternative energy sources, like coal, are diminished or unavailable. While progress has been made in reducing reliance on coal, it is unwise to eliminate all existing energy capacity prematurely. Flexibility to revert to various energy generation methods is necessary in a global market characterized by unpredictable supply risks.
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