2030 climate goals require $1 trillion in annual investment, report finds

A landmark report on behalf of 45 world leaders concludes that around $1 trillion in renewable energy and up to $130 billion in hydrogen will need to be invested annually by 2030 to avoid climate change The catastrophic effects of change.

The report calculates that the world needs to quadruple the amount Renewable Energy By 2030, the system will be deployed every year in 2021 and significantly expand hydrogen production to achieve net-zero emissions and stop global warming from burning fossil fuels.

Up to 8TW of additional renewable energy capacity will be needed by 2030, up from around 3TW last year, according to research jointly published by the International Energy Agency, the International Renewable Energy Agency and the United Nations ahead of the COP27 climate summit in November.

Supply of “renewable” and “low carbon” hydrogen, the latter of which uses carbon capture technology to capture emissions, also needs to increase to about 150 tonnes by 2030 – meaning doubling annually from 2023.

The report was commissioned by 45 governments representing 70% of the global economy who signed a pledge at the UN climate summit, dubbed the “breakthrough agenda” to make clean technology affordable by 2030 and easy to use. They include the US, EU countries, Australia, Egypt and Nigeria.

The findings focus on five key sectors: electricity, road transport, steel, hydrogen and agriculture, which together account for more than 50% of current global emissions.

Proposals on how to achieve the target include negotiating international standards for “low carbon” hydrogen, higher minimum energy performance standards for energy-intensive equipment and a common target date by which all new road vehicles must achieve zero emissions.

Countries, and even within states and territories, are currently taking a piecemeal approach to these goals.

“Progress is not moving fast enough to achieve the goals agreed by countries under the breakthrough agenda,” it added.

Countries and companies must work together to create and scale markets for clean technologies, including through purchase commitments and processes, and provide coal-producing countries with financial and technical assistance to move away from fossil fuels, the report said.

It warned that one of the biggest hurdles was the “cooperation gap”, which could delay “decades” from reaching net zero.

Although due to the global energy crisis Russia invades UkraineTough economic conditions have prompted countries to take protectionist stances as demand for renewable energy escalates.

“We are entering the first real global energy crisis. . .[which is]said Fatih Birol, executive director of the IEA. “It’s important to separate fact from fiction. . . clean energy is not a driver, but a lasting solution to the current and next energy crisis.”

Given that richer nations have urged poorer nations not to develop fossil fuel reserves to curb global warming, developing countries have called on European nations to demand alternative gas supplies to replace gas they no longer import from Russia, which developing nations see as hypocrisy.

“We cannot leave Africa with only renewable energy,” Senegalese President Macky Sall said at this month’s Africa Adaptation Summit. “No country can grow on renewable energy alone.”

Irena director-general Francesco La Camera urged international cooperation on clean energy, saying that while it was “more needed than ever”, the energy, food and inflation crises meant “the concept of cooperation has been challenged”.

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