Global investment in sustainable energy technology and infrastructure is projected to reach $2 trillion this year, doubling the amount allocated to fossil fuels, as per a report by the International Energy Agency.
Total energy investment is anticipated to surpass $3 trillion in 2024 for the first time, according to the IEA's annual World Energy Investment report.
Approximately $2 trillion will be allocated to sustainable technologies, such as renewables, electric vehicles, nuclear power, grids, storage, low-emissions fuels, efficiency enhancements, and heat pumps, while the remaining funds will be directed towards gas, oil, and coal.
The combined investment in renewable power and grids exceeded the spending on fossil fuels for the first time in 2023.
IEA Executive Director Fatih Birol stated, "For every dollar invested in fossil fuels today, nearly two dollars are being invested in sustainable energy."
"The increase in sustainable energy expenditure is supported by robust economics, ongoing cost reductions, and considerations for energy security," he further added.
China is expected to lead in clean energy investment in 2024 with an estimated $675 billion, followed by Europe with $370 billion and the United States with $315 billion.
Investment in solar photovoltaic (PV) is surpassing all other electricity generation technologies, with a projected growth to $500 billion in 2024, primarily driven by the declining prices of solar modules.
On the other hand, global upstream oil and gas investment is expected to rise by 7% to $570 billion in 2024, following a similar increase in 2023. This growth is largely attributed to national oil companies in the Middle East and Asia.
Despite these positive trends, there are still gaps in energy investment, particularly in emerging and developing economies outside of China.
