Calls for less fossil fuels is a reason for lack of supplies - TotalEnergies' CEO

However, as companies have listened to policymakers' carbon emission reductions goals, that has left a lack of investment in fossil fuel production at a time when the world is calling for more energy supplies, said TotalEnergies' Pouyanné, speaking at the Reuters Events' Global Energy Transition 2022 conference.

Oil and gas companies that have listened to policymakers' calls for less investment in fossil fuels is one of the reasons for current globally tight energy supplies, TotalEnergies' Chief Executive Patrick Pouyanne said on Tuesday. Countries worldwide are struggling to find supplies, especially after Russia's invasion of Ukraine in late February prompted sanctions on Russia's energy. Energy prices have climbed, with U.S. gasoline pump prices topping $5 per gallon for the first time.

Over the last few years, governments worldwide have encouraged companies to invest in renewable fuels, as countries pledge to reduce carbon emissions over the next several decades. Some have debated the pace at which the energy transition can feasibly occur, as renewable fuel supplies cannot yet keep up with consumers' energy demands. However, as companies have listened to policymakers' carbon emission reductions goals, that has left a lack of investment in fossil fuel production at a time when the world is calling for more energy supplies, said TotalEnergies' Pouyanné, speaking at the Reuters Events' Global Energy Transition 2022 conference.