The case to invest in electric vehicle (EV) producers could be falling away as supply increases, highlighting that not all clean energy investments are created equal. Emerging opportunities are coming from companies improving energy efficiency and managing waste, according to James Tsinidis, Portfolio Manager, Munro Partners.

“In recent times, the investment case for investing in EV manufacturers has fallen. Even before the anti-Musk Tesla backlash occurred, a combination of oversupply, slowing demand, and aggressive competition from China was putting pressure on car makers such as Tesla, making investments less compelling in the short term,” he says.

In terms of clean energy production, renewable sources like solar and wind are well established, and with more producers, competition is increasing as are supply chain risks. Tsinidis says that on the other hand, nuclear energy is seeing a resurgence as a reliable, carbon-free baseload power source.  

“Beyond clean energy generation, a compelling investment opportunity lies in electrification enablers or those companies providing grid upgrades, energy storage, and infrastructure solutions that allow renewables and nuclear to integrate seamlessly and efficiently into the energy system.

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