IEA: RE growth to reach $1.7 trillion in 2023

renewable

The International Energy Agency is urging the Association of Southeast Asian Nations (ASEAN)-member states to increase investments in renewable energy (RE) to fulfill the targets outlined in the Paris Agreement.

The IEA states that countries that take action on their commitments will not only mitigate climate change but also experience economic benefits by investing more in RE.

In an ABS-CBN News report, IEA Deputy Executive Director Mary Warlick highlighted at the Asian Clean Energy Forum 2023 that the RE industry is expected to grow to $1.7 trillion this year.

According to the Renewable Energy Policy Network for the 21st Century (REN21) in their Renewables 2023 Global Status Report, there was a 4.7% rise in the demand for clean energy due to significant inflationary effects experienced across various sectors as a result of high energy prices.

Director of REN21 Membership and Institutional Partnerships Laura Williamson, has stated that in order to meet the rising global demand, the capacity of solar power needs to be doubled, while the capacity of wind power should be increased by 3.7 times.

The United Nations Economic and Social Commission for Asia and the Pacific has urged countries to expedite financial support in order to achieve the Sustainable Development Goal of enhancing renewable energy in member states by 2030.

In addition to investing in clean energy, the US Embassy in the Philippines emphasized the need of addressing aging infrastructure and implementing advanced energy technology to reduce energy costs and greenhouse gas emissions.

US Embassy in the Philippines Deputy Chief of Mission Heather Variava stressed the urgent need for action, particularly in climate-vulnerable countries like the Philippines.

The IEA is advocating for global cooperation with the Asian Development Bank (ADB), which plays a pivotal role in leading the region.

According to Ramesh Subramanian, Director General for Asia and the Pacific at ADB, the main challenge is ensuring the financial viability of the proposed programs related to energy transition.

Subramanian further emphasizes the significance of public-private partnerships in attaining the global objective.