World Energy Transitions Outlook 2022

In News

• IRENA launched the World Energy Transitions Outlook 2022 at the Berlin Energy Transition Dialogue.

Key Highlights of the World Energy Transitions Outlook 2022

• World Energy Transitions Outlook outlines priority actions till 2030 to keep 1.5°C alive.
• Aim: It calls on governments to fast-track energy transition for more energy security, resilience and affordable energy for all.
• Goals: The Outlook sets out priority areas and actions based on available technologies that must be realised by 2030 to achieve net zero emissions by mid-century.
  • Renewables will have to scale-up massively across all sectors from 14 percent of total energy today to around 40 per cent in 2030.
  • Global annual additions of renewable power will triple by 2030 as recommended by the Intergovernmental Panel on Climate Change.
  • At the same time, coal power will have to resolutely be replaced, fossil fuel assets phased out and infrastructure upgraded.
• Electrification: The Outlook sees electrification and efficiency as key drivers of the energy transition, enabled by renewables, hydrogen, and sustainable biomass.
• End-use decarbonisation: will take centre-stage with many solutions available through electrification, green hydrogen, and the direct use of renewables.
• Electromobility: is seen as a driver of energy transition progress, growing the sales of electric vehicles (EV) to a global EV fleet 20 times bigger than today.
• Current Need?
  • The world’s largest energy consumers and carbon emitters from the G20 and G7 must show leadership and implement ambitious plans and investments domestically and abroad.
  • They will need to support the global supply of 65 per cent renewables in power generation by 2030.
  • Climate finance, knowledge transfer and assistance will have to increase for an inclusive and equal world.

Issues/ Challenges

• High fossil fuel prices, energy security concerns and the urgency of climate change underscore the pressing need to move faster to a clean energy system.
• It also takes stock of progress across all energy uses to date, clearly showing that the current pace and scale of the renewables-based transition is inadequate.
• The energy transition is far from being on track and anything short of radical action in the coming years will diminish, even eliminate chances to meet our climate goals.
• It’s a political choice to put policies in place that comply with the Paris Agreement and the Sustainable Development Agenda.
• Investing in new fossil fuel infrastructure will only lock-in uneconomic practices, perpetuate existing risks and increase the threats of climate change.

Way forward/ Suggestions

• Short-term interventions addressing the current energy crisis must be accompanied by a steadfast focus on mid- and long-term goals of the energy transition.
• Accelerated transition: Governments are facing multiple challenges of energy security, economic recovery and the affordability of energy bills for households and businesses. Many answers lie in the accelerated transition.
• The Outlook sees investment needs of $5.7 trillion per year until 2030 including the imperative to redirect $0.7 trillion annually away from fossil fuels to avoid stranded assets.
• Investing in the transition will bring concrete socioeconomic and welfare benefits, adding 85 million jobs worldwide in renewables and other transition-related technologies between today and 2030.
  • These job gains will largely surpass losses of 12 million jobs in fossil fuel industries.
  • More countries will experience greater benefits on the energy transition path than under business as usual.
• Enabling a rapid transition that complies with climate and development goals requires political commitment to support the highest level of international cooperation.
• A comprehensive set of cross-cutting, structural policies covering all technological avenues and just transition objectives is needed to achieve the necessary deployment levels by 2030.
• Increasing ambition in the National Determined Contributions and national energy plans under the Glasgow Climate Pact must provide certainty and guide investment strategies in line with 1.5°C.
• Achieving Sustainable Development Goals and universal access to modern energy by 2030 must remain a vital pillar of a just and inclusive energy transition.
• A holistic global policy framework can bring countries together to enable international flow of finance, capacity and technologies.

Source:DTE