Confidence in achieving global net zero targets is fading fast, with only 16% of senior energy executives believing the world can reach carbon neutrality by 2050, down from 45% last year.
The stark warning comes from the Energy Industries Council’s latest Net Zero Jeopardy Report II, which highlights policy instability, financial uncertainty and slow project approvals as the biggest obstacles to progress.
“The energy industry is facing real challenges in turning pledges into projects,” said Stuart Broadley, EIC CEO. “Business leaders are not seeing the level of policy certainty or investment required to deliver net-zero ambitions.”
2030 doubts too
The picture is even worse for short-term goals, with just 14% of respondents confident that their country will meet its 2030 climate targets, down from 16% in last year’s report.
The data reflects growing frustration within the energy sector over unclear regulatory frameworks, underinvestment in clean technologies and delays in bringing projects to final investment decisions (FID).
“The data leaves no room for optimism—confidence in net-zero targets is collapsing across the energy sector,” said Mahmoud Habboush, author of the report. “Industry leaders are not merely expressing frustration, they are passionately warning about fundamental barriers, including unstable policy, weak investment appetite, and slow project approvals. And these barriers, if left without tackling, will no doubt derail the energy transition.”
Wind delays continue
A major concern is the slow pace of clean energy deployment. Offshore wind, a key pillar of the UK’s renewables strategy, is already showing signs of strain.
The UK’s offshore wind success is built on projects that reached final investment decisions 10 years ago. We are seriously concerned about whether today’s ambitions will translate into future capacity under the current rate of project deployment, not only in the UK and Europe, but globally.”
Stuart Broadley, CEO
Money worries
Investment remains a critical issue, with executives highlighting the financial risks tied to emerging technologies such as hydrogen, carbon capture and grid infrastructure. Despite ambitious targets, only 10% of offshore wind projects and just 9% of hydrogen projects have reached FID, compared to 21% for upstream oil and gas.
Supply chain vulnerabilities are another growing challenge, with many key components for renewables—such as wind turbines and battery storage systems—sourced from China.
While this has driven down costs, it raises concerns over energy security and trade policy. There are also fears that as more clean energy projects enter construction, shortages in manufacturing capacity and skilled labour could further delay progress.
Executives say urgent reforms are needed to restore confidence. Faster permitting processes, clearer policies and stronger financial incentives are key to ensuring that net zero remains a viable goal rather than an unreachable ambition.
The EIC is holding an event this week exploring the blockers to clean energy finance.
