Amid the Russian invasion of Ukraine, not only has the West imposed sanctions to squeeze Russia, companies across the world are unwilling to associate with its fuel. With companies boycotting Russian fuels, investments into green-energy funds have risen significantly over the past few weeks.

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Over $886 million in new investments has made it to some of the major exchange-traded funds, a basket of different securities that track an underlying index, that invest into clean energy, reported Bloomberg.

Russia is the world’s second-largest exporter of crude oil and is also the world’s largest exporter of natural gas, and supplies nearly 40 percent of Europe’s gas needs.

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This dominance as a major energy exporter had given Russia plenty of leverage in the past. Even now, with Russia’s invasion of Ukraine, Europe continues to import natural gas from the country.

Russia threatened to shut down exports of natural gas as the US tried to convince its allies to impose more sanctions on energy exports from Russia. With Russia appearing to be increasingly hostile to the rest of the European nations, being dependent on Russia for energy seems like a strategic and national concern.

This is on top of the ongoing climate crisis which calls for nations to switch to cleaner sources of energy as soon as possible so that the output of carbon emissions into the atmosphere is reduced to prevent the planet from heating by over 1.5 degrees C globally.

Now the EU has fast-forwarded their plans to substitute Russian energy exports by 2027.

“The invasion of Ukraine highlights European vulnerability to Russian gas supplies. Wind and solar projects can be deployed more quickly than competing alternatives, and we see the potential for strong above-consensus demand growth from such technologies in 2022-25,” said Rob Barnett, an analyst at Bloomberg Intelligence.

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