Energy
Regulatory issues are the top concern and the factor that will most affect capital-spending decisions this year for 47% and 46%, respectively, of the 225 financial executives from energy firms who responded to KPMG’s global 2012 energy survey in April. For 2012, 60% of executives expect their firms’ capital spending to increase, with 26% predicting an increase of more than 10%. Changes in alternative energy R&D spending are not expected by 72% of executives. Shale gas and oil are the alternative energy sources in which 61% of firms will invest the most. Sixty-one percent of executives expect renewable energy spending in general to fall. Sixteen percent of executives said that their firms were very likely to acquire at least one other firm, while 19% said an acquisition was somewhat likely. Eight percent and 6% of executives said their firms were somewhat likely and very likely to be acquired, respectively. Seven percent and 5% of respondents said their firms were very likely and somewhat likely to enter a joint venture, respectively. Staff increases are expected by 48% of executives.
Source: KPMG