Renewable energy - powering a more secure future

Energy is at the heart of the climate challenge and the key to solving it.

A large proportion of the greenhouse gases that blanket the Earth and trap the sun's heat are produced through energy production, that is, by burning fossil fuels to generate electricity and heat.

Fossil fuels, such as coal, oil and gas, are by far the largest contributor to global climate change, accounting for more than 75% of global greenhouse gas emissions and nearly 90% of all carbon dioxide emissions.

The science is clear: To avoid the worst effects of climate change, emissions need to be cut nearly in half by 2030 and reach net zero by 2050.

To achieve this, we need to end our dependence on fossil fuels and invest in clean, accessible, affordable, sustainable and reliable alternative energy sources.

Renewable energy is all around us, supplied by the sun, wind, water, waste and the Earth's heat, replenished by nature and emitting almost no greenhouse gases or pollutants into the air.

Fossil fuels still account for more than 80 percent of global energy production, but clean energy is gaining ground. About 29 percent of its electricity is currently generated from renewable sources.

Here are five reasons why accelerating the transition to clean energy is a healthy, livable planet for today and future generations.

1. Renewable energy is everywhere

About 80 percent of the world's population lives in countries that are net importers of fossil fuels, and about 6 billion people depend on fossil fuels from other countries, making them vulnerable to geopolitical shocks and crises.

In contrast, renewable energy is available in all countries, but its potential has not yet been fully exploited. The International Renewable Energy Agency (IRENA) estimates that 90% of the world's electricity can and should come from renewable sources by 2050.

Renewable energy offers a pathway away from import dependence, enabling countries to diversify their economies, protecting them from the unpredictable price fluctuations of fossil fuels, while driving inclusive economic growth, job creation and poverty reduction.

2. Renewable energy is cheaper

Renewable energy is actually the cheapest energy option in most parts of the world today. The price of renewable energy technologies is falling rapidly. Between 2010 and 2020, the cost of solar power will fall by 85%. The cost of onshore and offshore wind energy fell by 56% and 48% respectively.

Falling prices have made renewable energy more attractive across the board, including for low - and middle-income countries, where much of the additional global demand for new electricity will come from. As costs fall, there is a real chance that much of the new electricity supply in the coming years will be provided by low-carbon sources.

By 2030, cheap electricity from renewable sources will provide 65% of the world's total electricity supply. By 2050, it could decarbonize 90% of the power sector, massively reducing carbon emissions and helping to mitigate climate change.

The International Energy Agency (IEA) said that while solar and wind costs are expected to remain higher in 2022 and 2023 than they were before the pandemic due to widespread increases in commodity and freight prices, they have actually become more competitive due to sharp increases in gas and coal prices.

3. Renewable energy is healthier

According to the World Health Organization (WHO), about 99% of the world's people breathe air that exceeds air quality limits, threatening their health, and more than 13 million deaths worldwide each year are due to avoidable environmental causes, including air pollution.

Particulate matter and nitrogen dioxide, which are harmful to health, come mainly from the burning of fossil fuels. In 2018, air pollution from fossil fuels caused $2.9 trillion in health and economic costs, or about $8 billion per day.

Therefore, switching to clean energy sources, such as wind and solar, will not only help fight climate change, but also help address air pollution and health issues.

4. Renewable energy creates jobs

Every dollar invested in renewable energy creates three times as many jobs as the fossil fuel industry. The International Energy Agency estimates that the transition to net zero emissions will lead to an overall increase in energy sector jobs: while about 5 million jobs could be lost in fossil fuel production by 2030, an estimated 14 million new jobs will be created in clean energy, resulting in a net gain of 9 million jobs.

In addition, an additional 16 million workers are needed in energy-related industries, for example, to take on new roles in the manufacturing of electric vehicles and ultra-efficient appliances or in innovative technologies such as hydrogen. This means that more than 30 million jobs could be created in clean energy, efficiency and low-emission technologies by 2030.

Ensuring a just transition that puts people's needs and rights at the heart of the energy transition is critical to ensuring that no one is left behind.

5. Renewable energy makes economic sense

In 2020, about $5.9 trillion will be spent subsidizing the fossil fuel industry, including through explicit subsidies, tax breaks, and health and environmental damages that are not accounted for in fossil fuel costs.

By comparison, about $4 trillion a year will be needed to invest in renewable energy by 2030, including investments in technology and infrastructure, to get us to net-zero emissions by 2050.

For many countries with limited resources, the upfront costs can be daunting, and many will need financial and technical support to make the transition. But investment in renewable energy will pay off. Reducing pollution and climate impacts alone could save the world up to $4.2 trillion a year by 2030.

In addition, efficient and reliable renewable energy technologies can create a system that is less susceptible to market shocks and improve resilience and energy security by diversifying power supply options.