Focus on Renewable Energy Takes Center Stage at UN Side Events
On Tuesday, a coalition consisting of some of the world's largest companies, financial institutions, and cities urged governments to implement policies that could unlock up to $1 trillion in clean energy investments by 2030. The group, known as Mission 2025 and supported by the UK's Energy Transitions Commission, proposed measures such as establishing new renewable energy capacity targets, providing tax incentives, and offering long-term power purchase agreements to drive investment in the sector.
These discussions took place on the sidelines of the United Nations General Assembly, where leaders are grappling with the challenge of meeting rising global energy demand without relying more heavily on fossil fuels. The push for renewables is a central theme this week, with leaders from Kenya, Barbados, the European Union, and others set to outline their efforts to triple their renewable energy capacity by 2030—a key promise made at last year's COP28 summit in Dubai.
In a separate event, U.S. President Joe Biden is expected to deliver his final address to the U.N. General Assembly, highlighting his administration's achievements in promoting clean energy, particularly through the $360 billion Inflation Reduction Act passed in 2022. According to White House National Climate Adviser Ali Zaidi, Biden's message will emphasize the economic opportunities presented by the shift to renewables, such as the potential to revitalize U.S. manufacturing, upgrade infrastructure, and strengthen the middle class.
The International Energy Agency (IEA) offered a somewhat optimistic assessment, stating that the goal of tripling global clean energy capacity is achievable—but only if countries address significant challenges, such as streamlining the approval process for projects and upgrading grid infrastructure. The IEA noted that merely increasing renewable energy output won't reduce fossil fuel consumption or lower energy costs unless there is a concerted effort to modernize and expand electricity grids by adding 25 million kilometers of new lines by 2030, along with 1,500 GW of energy storage.
African nations, in particular, are keen to expand their electricity generation capacity, both to foster economic development and to provide electricity access to the millions of people still living without it. On Monday, the presidents of the African Development Bank and the World Bank discussed their initiative to connect over 300 million Africans to the electricity grid. They are seeking $30 billion in private sector investments to support the project.
"You can't grow the global economy without energy," said African Development Bank President Akinwumi Adesina during an event hosted by the Global Energy Alliance for People and Planet. "Industrialization cannot happen in the dark."