G20 leaders have decided to accelerate efforts to triple total renewable energy capacity and underscore the global need for over $4 trillion of annual investments until 2030, endorsing recommendations from the International Renewable Energy Agency (IRENA) for global renewable energy adoption.
In a declaration adopted on Saturday, 9 September 2023, the group cited a report, developed by IRENA in collaboration with India’s Ministry of New and Renewable Energy (MNRE), titled ‘Low-Cost Financing for Energy Transitions,’ which estimates a need for over $4 trillion in annual investments by 2030. IRENA noted that the report provides a toolbox to increase the availability of low-cost capital in G20 countries and beyond.
According to IRENA’s World Energy Transitions Outlook (WETO) 2023 released earlier this year, the world needs to triple global renewable power capacity to just over 11 000 GW by 2030 to maintain the possibility of limiting global warming to 1.5°C, and the agreement taken by G20 supports this objective.
IRENA Director-General Francesco La Camera stated: “The adoption of a renewable energy target aligned with the goals of the Paris Agreement is a significant milestone for the energy transition.”
“Over the past decade, thanks to rapidly falling costs, renewable energy has emerged as the most cost-effective energy solution for meeting the growing needs of global populations while simultaneously combating climate change.”
“IRENA is proud to have played a role in the G20’s decision to adopt this target. We will maintain close collaboration with our member countries to deliver on this ambition.”
La Camera also stressed the importance of building on this political momentum as the world prepares for COP28 emphasizing that an ambitious action agenda that is inclusive of both developed and developing countries at COP28 will be essential to addressing the climate challenge.