Leaders Emphasize Renewables on UN Sidelines – Reuters

By Valerie Volcovici and Simon Jessop

NEW YORK – A coalition comprising some of the largest global companies, financial institutions, and cities has called on governments to implement policies they believe could unlock up to $1 trillion in clean energy investments by 2030.

The initiative, known as Mission 2025 and supported by the Energy Transitions Commission in the UK, advocates for strategies such as establishing new capacity targets and providing tax incentives or long-term electricity contracts. These measures could strengthen the investment case for the clean energy sector.

As countries engage in discussions this week during the U.N. General Assembly, the rising global energy demand necessitates an increased reliance on renewable energy sources to reduce fossil fuel consumption.

Leaders from nations including Kenya, Barbados, and the European Union are expected to share their plans to triple renewable energy capacity by 2030, a pivotal commitment made at last year’s COP28 summit in Dubai.

Additionally, U.S. President Joe Biden is scheduled to address the U.N. General Assembly for the last time during his presidency. A separate event will highlight his administration’s clean energy initiatives under the $360 billion Inflation Reduction Act enacted in 2022.

White House National Climate Adviser Ali Zaidi indicated that Biden would demonstrate how the U.S. has fundamentally changed its approach, emphasizing economic opportunities and the potential for bolstering manufacturing and infrastructure to support the middle class.

In a more optimistic tone, the International Energy Agency reported that the goal of tripling clean energy capacity is attainable, although significant efforts will be needed to overcome challenges like permitting and grid connections.

The agency also cautioned that simply increasing renewable energy sources won’t reduce energy prices or fossil fuel usage without a focused strategy to build and modernize 25 million kilometers of electricity grids by 2030, along with the addition of around 1,500 GW of energy storage capacity.

African leaders are particularly eager to expand their electricity portfolios to drive development and to provide access to millions who still lack electricity. The presidents of the African Development Bank and the World Bank recently discussed their initiative to extend electricity access to over 300 million people across the continent, for which they are seeking $30 billion in private sector investments.

"You cannot really grow the global economy without energy," stated Akinwumi Adesina, president of the African Development Bank, during an event hosted by the Global Energy Alliance for People and Planet. "You cannot industrialize in the dark."