Energy lies at the core of the climate challenge, yet it also holds the key to the solution. A significant portion of the greenhouse gases enveloping the Earth, trapping the sun’s heat, stems from energy production. This results from burning fossil fuels to generate electricity and heat. Fossil fuels, including coal, oil, and gas, stand as the predominant contributors to global climate change. They are responsible for over 75 percent of global greenhouse gas emissions and nearly 90 percent of all carbon dioxide emissions.
The science is clear: to avoid the worst impacts of climate change, emissions need to be reduced by almost half by 2030 and reach net-zero by 2050. To attain this goal, it is imperative to reduce our dependence on fossil fuels and channel investments into alternative energy sources that are clean, accessible, affordable, sustainable, and reliable. Renewable energy sources, abundantly available in the form of the sun, wind, water, biomass, waste, and Earth’s heat, are replenished by nature and have minimal to zero emissions of greenhouse gases or pollutants into the atmosphere.
Although fossil fuels still contribute to over 80 percent of global energy production, cleaner energy sources are gaining traction. Presently, around 29 percent of electricity is sourced from renewables.
It’s time to stop burning our planet, and start investing in the abundant renewable energy all around us.
Antonio Guterres, United Nations Secretary-General
Here are some compelling reasons why expediting the shift to clean energy is the pathway to a healthy, habitable planet, both for the present and for future generations.
Renewable energy sources encompass the entire globe
Approximately 80 percent of the global population resides in countries that heavily rely on importing fossil fuels. This equates to around 6 billion people who depend on fossil fuels from other nations, leaving them susceptible to geopolitical shocks and crises.
In contrast, renewable energy sources are accessible in every country, with their full potential yet to be realized.
The International Renewable Energy Agency (IRENA) projects that 90 percent of the world’s electricity can and should be derived from renewable sources by 2050. Renewables provide an escape from import dependency, empowering countries to diversify their economies and shield themselves from the unpredictable price fluctuations of fossil fuels. Simultaneously, this transition fosters inclusive economic growth, creates new employment opportunities, and contributes to poverty alleviation.
Renewable energy proves to be more cost-effective
In many parts of the world, renewable energy stands as the most economical power option today. The prices of renewable energy technologies are rapidly decreasing, with the cost of electricity from solar power witnessing an 85 percent decline between 2010 and 2020. Similarly, onshore and offshore wind energy costs have decreased by 56 percent and 48 percent, respectively.
The declining costs of renewable energy make it an increasingly attractive option, especially for low- and middle-income countries, which are anticipated to generate most of the additional demand for new electricity. With these diminishing costs, there exists a substantial opportunity for a significant portion of the new power supply in the coming years to be derived from low-carbon sources. Affordable electricity from renewable sources has the potential to contribute 65 percent of the world’s total electricity supply by 2030 and could decarbonize 90 percent of the power sector by 2050. This could lead to a substantial reduction in carbon emissions, playing a crucial role in mitigating climate change. While solar and wind power costs are expected to remain higher in 2022 and 2023 compared to pre-pandemic levels due to elevated commodity and freight prices, their competitiveness improves due to much sharper increases in gas and coal prices, as reported by the International Energy Agency (IEA).
Renewable energy promotes better health
As per the World Health Organization (WHO), approximately 99 percent of the global population inhales air that surpasses air quality standards, posing a threat to their health. Moreover, more than 13 million deaths occur worldwide each year due to preventable environmental factors, including air pollution.
Unhealthy levels of fine particulate matter and nitrogen dioxide primarily result from the combustion of fossil fuels. In 2018, air pollution attributable to fossil fuels led to $2.9 trillion in health and economic costs, equating to about $8 billion per day. Transitioning to clean energy sources, such as wind and solar power, not only addresses climate change but also combats air pollution, thereby positively impacting public health.
Renewable energy fosters job creation
Investing in renewables generates three times more employment opportunities than the fossil fuel industry. According to the International Energy Agency (IEA), the shift toward achieving net-zero emissions is anticipated to result in an overall increase in jobs within the energy sector. While approximately 5 million jobs in fossil fuel production might be lost by 2030, an estimated 14 million new jobs would emerge in the clean energy sector, resulting in a net gain of 9 million jobs.
Furthermore, energy-related industries would necessitate an additional 16 million workers, particularly for roles in the manufacturing of electric vehicles, highly efficient appliances, or innovative technologies like hydrogen. This implies that a total of over 30 million jobs could be created in clean energy, efficiency, and low-emission technologies by 2030. Ensuring a just transition, with a focus on addressing the needs and rights of individuals, will be crucial to ensure that no one is left behind in this transformative journey.
Renewable energy is economically viable
In 2022, approximately $7 trillion was allocated to subsidize the fossil fuel industry, encompassing explicit subsidies, tax breaks, and unaccounted health and environmental damages that were not factored into the cost of fossil fuels.
In contrast, an annual investment of about $4 trillion until 2030 is required for renewable energy, covering technology and infrastructure, to facilitate the achievement of net-zero emissions by 2050.
The initial cost may appear formidable, particularly for countries with limited resources, necessitating financial and technical assistance for a successful transition. Nevertheless, investments in renewable energy are poised to yield substantial returns.
The reduction in pollution and climate impacts alone could result in global savings of up to $4.2 trillion per year by 2030.
Furthermore, the adoption of efficient and reliable renewable technologies can establish a less susceptible system to market shocks, enhancing resilience and energy security through the diversification of power supply options.