Governments Invest Nearly $2 Trillion in Clean Energy Since 2020, Says IEA Report
A new report from the International Energy Agency (IEA) reveals that governments worldwide have invested almost $2 trillion in clean energy since 2020. The report, State of Energy Policy 2024, highlights that 80% of this spending is from China, the European Union, and the United States.
Government support and incentives for clean energy technologies have reached new highs as policymakers focus on energy security. Domestic manufacturing incentives for clean energy have grown substantially, with low-emissions vehicles, hydrogen, and batteries receiving the largest allocations.
At the consumer level, short-term government support during the global energy crisis totaled $940 billion. IEA Director Laura Cozzi said, “The unprecedented level of policy and investment support for clean energy is a recognition that these technologies not only reduce emissions but help safeguard energy security.”
Energy performance standards have also seen significant policy intervention, with 35 countries passing new regulations in 2023 alone. The report provides a comprehensive global picture of energy policies, including a publicly available repository called the Energy Policy Inventory, which contains over 5,000 energy-related policies worldwide.
Doubts Revealed
IEA -: IEA stands for International Energy Agency. It is an organization that helps countries with energy policies and provides information about energy.
Clean Energy -: Clean energy is energy that comes from sources that do not pollute the environment, like solar, wind, and hydro power.
Trillion -: A trillion is a very big number. It is 1 followed by 12 zeros (1,000,000,000,000).
China -: China is a large country in Asia. It has the most people in the world.
European Union -: The European Union, or EU, is a group of 27 countries in Europe that work together on many issues, including energy.
United States -: The United States, or USA, is a large country in North America. It is known for its technology and economy.
Domestic Manufacturing Incentives -: These are rewards or benefits given by a country to its own companies to make products within the country.
Energy Performance Standards -: These are rules that make sure products and buildings use energy efficiently and do not waste it.
Emissions -: Emissions are gases released into the air, often from cars and factories, that can harm the environment.
Energy Security -: Energy security means having a reliable and steady supply of energy, so people and businesses can use it whenever they need.