Latin America is leading the way in the clean tech industry.

Analysts believe that Latin America will be benefitted no matter which green energy prevails in the coming years.

FREMONT, CA: Many experts believe that the pandemic is hastening the transition away from fossil fuels and towards clean energy. It's too early to tell if that's true, but it's certainly boosted politicians' and CEOs' green grandstanding. By 2050, BP wants to be carbon neutral, while Toyota, the world's largest automaker, plans to stop producing internal combustion engines by 2040. The United Kingdom was the first large economy to establish a legally binding commitment to net-zero greenhouse gas emissions, and governments throughout the world are following the similar pledge. Expect even more ambitious green pledges, when Glasgow hosts COP 26 - the World Cup of environmental shindigs.

The majority of these claims are unattainable. For instance, in the case of electric vehicles, to replace today's worldwide fleet of internal combustion engines with electric vehicles, every pound of copper in all of the worlds copper mines would have to be mined (EVs use four times as much copper as traditional cars). Biofuels could be another option. In terms of BP's most optimistic scenario, Bioenergy will only account for 10 percent of demand for primary energy (natural resources that have not been converted into other types of energy) by 2050. And this is despite significant increases in biofuel output and billions of dollars in investment.

Similarly for hydrogen, this would offer only 18 percent of primary energy supply in 2050 under BP’s most extreme scenario. Meeting the legally binding commitments already made will completely transform natural commodities markets. Nonetheless, the energy transition will continue to accelerate. Politicians benefit from tackling climate change, while CEOs benefit from promoting a company's green credentials. Latin America, in particular, stands to benefit from the energy shift. The world's greatest copper and lithium reserves are found in this region. It is the world's largest biofuel producer, as well as a leader in green hydrogen (hydrogen created with renewable energy instead of fossil fuels).