Renewable energy could boost post-coronavirus economy by $98 trillion

As the world rebuilds a battered economy post-coronavirus, investing in renewable energy could boost global GDP by $98 trillion over the next 30 years, the International Renewable Energy Agency (IRENA) says.

The organisation has published its Global Renewables Outlook, that looks at pathways towards renewable energy in 10 regions across the world.

The report examines building blocks of an energy system along with investment strategies and policy frameworks needed to manage the transition. It explores ways to cut global CO2 emissions by at least 70% by 2050.

It argues that in the coming years, a new perspective on deeper decarbonisation shows a path towards net-zero and zero emissions, particularly around green hydrogen and electrification in heavy industry.

According to the report, a sustained investment into green energy would also quadruple jobs in the sector to 42 million, expand employment in energy efficiency to 21 million and add 15 million in system flexibility.

IRENA’s Director-General Francesco La Camera said: ‘Governments are facing a difficult task of bringing the health emergency under control while introducing major stimulus and recovery measures.

‘The crisis has exposed deeply embedded vulnerabilities of the current system. IRENA’s Outlook shows the ways to build more sustainable, equitable and resilient economies by aligning short-term recovery efforts with the medium-and long-term objectives of the Paris Agreement and the UN Sustainable Development Agenda.’

‘By accelerating renewables and making the energy transition an integral part of the wider recovery, governments can achieve multiple economic and social objectives in the pursuit of a resilient future that leaves nobody behind.’

Read the Global Renewables Outlook report