Daily Management Review

IEA projects global clean energy spending to grow to $2 trillion in 2024


The International Energy Agency has projected that global spending on clean energy technology and infrastructure will exceed $2 trillion in 2024, despite the fact that increased financing costs deter new projects, particularly in emerging and developing nations.

According to the IEA study, these monies will be utilized for research and development in fields like nuclear power, electric vehicles, renewable energy, low-emission fuels, and electricity distribution and storage systems.

This year, total energy investments are predicted to surpass $3 billion for the first time, marking the first instance in which funds allocated to clean energy and grids would surpass those allocated to fossil fuels.

The IEA draws attention to the low amount of money spent on clean energy in growing economies, such as Brazil and India, with the exception of China. Even if their investments would hit $300 billion by 2024, that would still only account for 15% of the total worldwide.

According to the report, this amount is significantly less than what is needed to meet the rising energy demand in many of these countries, where the high cost of borrowing capital is impeding the development of new projects.

source: iea.org