President’s column According to the Intergovernmental Panel on Climate Change (IPCC), the concept that Earth can only handle a certain amount of cumulative carbon dioxide (CO2) emissions over a certain time period is referred to as a “carbon bubble.” If this amount is exceeded, Earth would possibly (it is all about probabilities) warm by more than 2°C (over the pre-industrial temperature level). Scientists suggest we should not cross over this threshold since it could lead to runaway climate change. This could have dire consequences, adding material costs because of more frequent and intense extreme weather, along with rising sea levels. From the maximum allowable cumulative CO2 emissions (to stay below +2°C), one can back-calculate the maximum amount of fossil fuels that can be burned. On 17 June 2014, Martin Wolf, associate editor at The Financial Times, cautioned investors that exploration and production (E&P) companies might lose value if and when two-thirds of the oil companies’ current reserves become unburnable or “stranded reserves” because of the limit of cumulative CO2 emissions being reached after the first third was burned. [Martin Wolf, “A Climate Fix Would Ruin Investors,” Financial Times, June 17, 2014.] This is a timely topic for an enhanced understanding among SPE members and the E&P industry. The discussion fits perfectly into the larger, important issue of sustainability. Statoil’s chief economist, Eirik Wærness wrote “The Double Energy Challenge,” on 22 December 2014 in Sysla magazine. He shares his perspective here. How and when do you see the phasing out of oil and gas and the growth of renewables really taking center stage? The world’s fossil fuel resources are enormous, but far from everything will be produced. The age of sail in global shipping did not end because of lack of wind. Coal, oil, and gas will still be available in the ground after we have replaced fossil fuels in the energy mix. Some of the resources will be too expensive to find, develop, and produce, compared with other alternatives. In addition, climate change considerations suggest that some of the resources should and will be left in the ground.