The Developing World Needs To Increase Investment In Clean Energy Sevenfold

Developing countries are the ones that are going to increase greenhouse emissions the most in the coming years and to put them on a sustainable path, investments in clean energy there should multiply by more than seven times here to 2030.

The developing world needs to increase investment in clean energy sevenfold

Developing countries are the ones that are going to increase greenhouse emissions the most in the coming years and to put them on a sustainable path, investments in clean energy there should multiply by more than seven times here to 2030.

This is the main conclusion of the International Energy Agency (IEA) and the World Bank (WB) in a report published this Wednesday, where they estimate that it would have to go from less than 150,000 million dollars in 2020 to around one trillion annual by the beginning of the next decade.

The problem is that last year, in the context of the Covid-19 crisis, these investments were reduced by 8%, and that in the current situation, capitals are reluctant to go to markets that they consider to be more risky.

Among other things because they do not benefit from the same guarantees or from such favorable financial conditions. As if that were not enough, the problem of debt sustainability that has worsened there has also led to a reversal in certain operations.

“Countries do not start this journey in the same situation – many do not have access to the funds they need for a rapid transition to a healthier and more prosperous energy future – and the damaging effects of the covid crisis are lasting longer in some parts of the developing world, “warns IEA Executive Director Fatih Birol.

The two organizations stress that unless much stronger action is taken and current trends are reversed, their carbon dioxide (CO2) emissions will increase by 5 billion tonnes in the next two decades.

In the same period, those of the developed countries will decrease by 2 billion tons and those of China will stabilize.

The study authors note that the most recent trends point to a widening gap in investments in clean technologies between rich countries and emerging economies.

And that despite the fact that in developing countries the cost of reducing these emissions is half that in developed ones, in part because in the former it is possible to jump directly to more efficient technologies without having to dedicate funds to the closure or abandonment of others. more polluting projects that are already underway elsewhere.

Originally published at Market research telecast

Leave a Reply