The energy transition is well under way and providing numerous infrastructure opportunities as the world moves from conventional energy to renewables. Solar and wind generation now account for more than 10 percent of global power generation, up from effectively zero just 10 years ago. This growth has been catalyzed by declining costs of renewables and broad political and regulatory support to decarbonize.

With that said, challenges do exist, such as grid reliability and structural supply-chain challenges, which point to the fact that renewables and conventional energy will need to work hand-in-hand on the road to net zero. This delayed energy transition will result in a long, useful life for conventional generation. As a result, we see an increasing number of infrastructure companies, particularly electric utilities and renewable developers, as beneficiaries of the commercial opportunities the transition offers.

Investors must therefore strike a delicate balance betwee