A minimum investment of $12 trillion is required to create new infrastructure over the next six years for tripling global renewable energy capacity by 2030, COP28 President Sultan Al Jaber said. While addressing the annual Petersberg Climate Dialogue, Al Jaber said the energy transition will not happen without significant investment and a level-up in climate finance.
He outlined four key priorities essential for advancing climate finance: infrastructure, technology, people, and support for the Global South (the developing and the under-developed countries).
Al Jaber stressed the importance of infrastructure investment, noting the necessity of allocating $6 trillion to meet the 2030 target of achieving 11TW of renewable energy capacity. He said a similar investment is needed to modernize outdated or nonexistent grids.
A historic agreement was reached at COP28 in Dubai, where world leaders committed to tripling global renewable energy capacity by 2030. This ambitious target aligns with the International Energy Agency’s assessment that tripling renewable energy capacity and doubling energy efficiency are crucial steps in limiting the global temperature rise to 1.5 degrees Celsius.
Looking ahead to COP29 in Baku, Azerbaijan, Al Jaber highlighted the importance of establishing a New Collective Quantified Goal (NCQG) for climate finance. This new goal aims to mobilize additional funds from developed countries to support climate action in developing nations, building upon the $100 billion yearly commitment made in 2020.
Artificial intelligence can be a game changer by multiplying efficiencies and helping solve intermittency and storage, Al Jaber said. “Every country must invest in its people, developing a new set of skills for a new green economy. And we must invest in the Global South. Right now, over 120 developing countries attract less than 15 per cent of global cleantech investment. Public, private, and development finance must work in tandem in creative catalytic models that turn billions into trillions,” he said.
Al Jaber called for ambitious nationally determined contributions (NDCs) ahead of COP29, urging governments to prioritize green infrastructure and set explicit renewable energy targets. He emphasized the importance of transparent cost assessments and highlighted the role of smart policies in incentivizing private sector investment.
The energy transition would unfold gradually and variedly across regions, Al Jaber said while stressing the necessity of building the new energy system before phasing out the current one. He supported UNFCCC Secretary-General Simon Steill’s call for comprehensive NDCs covering all emissions and sectors and pushed for the need for a holistic, inclusive approach to climate planning involving all government sectors.
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