Why ASX energy shares in this beaten down sector could rally in 2021

The imminent death of fossil fuels has been trumpeted by all manner of analysts for decades now.

Tied into that are the forecasts of an ever-declining market – and share prices – for the companies that dig up and process fossil fuels.

Topping the list of energy sources we’ve repeatedly heard are destined for the near-term scrapheap is coal. Particularly thermal coal, the variety used to generate electricity, over coking coal, which sees more use in the manufacture of steel.

Now coal shares, and the investors who back them, have become increasingly controversial as the world tries to de-carbonise in an effort to mitigate climate change.

But here’s the thing.

According to the International Energy Agency’s (IEA) latest