IRENA Outlines Agenda to Put Energy Transformation at Heart of Sustainable Economic Recovery

CEW IRENA logo 400

June 24, 2020

Governments can align immediate economic stimulus needs with medium to long-term decarbonisation and sustainable development objectives by targeting policy measures and public spending towards the energy transformation, a new report by the International Renewable Energy Agency (IRENA) finds.

Post-COVID recovery: An agenda for resilience, development and equality outlines immediate stimulus action for the next three years (2021-2023) as well as measures for a mid-term 2030 recovery perspective over the next decade. It provides practical insights and recommendations for governments as they drive investment and policy actions for post-COVID-19 economies. The report shows that on an annual basis, scaling-up public and private energy spending to USD 4.5 trillion per year would boost the world economy by an additional 1.3%, creating 19 million additional energy transition-related jobs by 2030. Jobs in renewables alone could triple to 30 million by 2030. Every million dollars (USD) invested in renewables would create three times more jobs than in fossil fuels.

“Renewables have proven to be the most resilient energy sources throughout the current crisis”, said Francesco La Camera, Director-General of IRENA. “This evidence should allow governments to take immediate investment decisions and policy responses to overcome the crisis. With today’s recovery plan for governments, IRENA uses its global mandate on energy transitions to inform decision-making at this critical time, while staying on course toward a fully decarbonised system by 2050.”

Doubling annual transition investments to USD 2 trillion over the next three years will provide an effective stimulus and can leverage private sector investments by a factor 3-4. Reforming fossil fuel prices, retiring fossil fuel assets, driving green financing and bailouts, and strategically investing in energy transition must be immediate priorities, IRENA’s report advises.

The annual USD 2 trillion invested would boost GDP by 1% and create additional 5.5 million transition-related jobs in three years. Underpinning labour and industrial policies are required to leverage local capacities and skills and create industries and jobs across the value chain.

Any recovery strategy should include innovative solutions and emerging technologies such as green hydrogen with the potential to eventually deliver a net zero energy system. By investing in their commercialisation, governments and businesses can ensure sustained long-term growth.

Renewable-based power generation would become the backbone of future energy markets, supported by transition-related industries like battery storage. But renewable heating and cooling must also be scaled up along with energy efficiency. Renewable-based transport can expand with incentives for electric vehicles (EVs) and continued infrastructure investment (including smart grids and EV charging stations), as well as emerging fuel solutions.

“Now is the time to invest in a better future”, said La Camera. “Government policies and investment choices can create the necessary momentum to enact systemic change and deliver the energy transformation away from fossil fuels. Driving a structural shift towards cleaner energy systems and more resilient economies and societies is more urgent than ever. Most of all, this is a global agenda, and we must leave no one behind.”

Rooted in IRENA’s first Global Renewables Outlook, which shows that transforming the global energy system in line with the Paris Agreement is possible, the new report focuses on how and where investments and policy interventions can accelerate economic recovery while simultaneously steering the way to a decarbonised energy system.

Go HERE for the full report 

Source

Related Articles


Latest Articles


Changing Scene

  • BC Hydro Making it Easier and More Affordable to Connect New Homes

    BC Hydro Making it Easier and More Affordable to Connect New Homes

    July 24, 2025 BC Hydro is supporting the construction of new housing developments in growing communities by advancing changes to streamline upgrades and reducing the cost of new customer connections to BC Hydro’s electricity grid. “As communities across B.C. grow, so does the need for essential housing. We are committed to ensuring we’re ready to… Read More…

  • Mitrex Sets Record with Largest BIPV Solar Panel Mural at SunRise Residential in Edmonton

    Mitrex Sets Record with Largest BIPV Solar Panel Mural at SunRise Residential in Edmonton

    July 22, 2025 Building-Integrated Photovoltaics (BIPV) manufacturer, Mitrex proudly announces that its transformative SunRise Residential project in Edmonton, Alberta, has earned the Guinness World Record for the largest solar panel mural globally. This landmark project showcases Mitrex’s innovative BIPV solar panels, blending cutting-edge solar technology with vibrant cultural artistry to redefine sustainable architecture. Sustainable Architecture with BIPV Spanning over 30,000 square feet, the Mitrex eFacade PRO plus… Read More…

  • Nexans Unveils a Cable Made with 100% Recycled Materials

    Nexans Unveils a Cable Made with 100% Recycled Materials

    July 24, 2025 Nexans has reached a major milestone in its sustainability journey by developing a prototype cable made entirely from recycled materials — a first in the company’s history. This innovation combines technical performance, industrial feasibility, and a drastically reduced environmental footprint, marking a decisive step forward in circular economy. A cross-continental success story… Read More…

  • EFC Welcomes New Manufacturer Member: MGM Transformers

    EFC Welcomes New Manufacturer Member: MGM Transformers

    July 24, 2025 Since 1974, MGM Transformers has produced tough and trusted transformers designed to get the job done right. As a leading manufacturer, the company employs a highly experienced and dedicated engineering team that excels in custom designs. MGM Transformers is committed to excellent quality and service, offering industry-leading lead times and exceptional customer service. MGM Transformers specializes… Read More…