Investments in renewables increase by 17% and reach US$ 1.8 trillion in 2023

Inputs break records, but are still insufficient to make the world reach the goals stipulated by the Paris Agreement
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Investimentos em renováveis aumentam 17% e atingem US$ 1,8 trilhão em 2023
Photo: Freepik

You global investments in renewable energy increased 17% and totaled around U$$ 1.8 trillion in 2023, according to report of BloombergNEF released this Tuesday (30).

This number represents a new level record annual investment in energy transition, even in a year marked by geopolitical turbulence, high interest rates and cost inflation.

The value includes expenses with solar and wind sources, purchase of electric vehicles, construction of hydrogen production systems, in addition to the implementation of other technologies. 

However, the study points out that the The numbers presented are not nearly enough to make the world reach carbon neutrality until the middle of this century, as predicted by the Paris Agreement

The report assesses that for this to happen, global spending on clean energy sources would have to achieve, average, US$ 4.8 trillion per year between 2024 and 2030. This is almost three times the total investment observed in 2023.

“Our report shows how quickly clean energy opportunities are growing and yet how far we still are (from the global decarbonization goal),” said Albert Cheung, deputy director at BloombergNEF. 

“Spending on investments in the energy transition grew by 17% last year, but they need to grow by more than 170% if we want to achieve carbon neutrality”, highlighted the executive. 

 Global investments in renewables in recent years: 

 Source: BloombergNEF

The report also concludes that the investments in the global clean energy supply chain, including equipment factories and battery metal production, are expected to continue growing and reducing prices of equipment in most sectors.  

“This is good news for the energy transition,” said Antoine Vagneur-Jones, head of trade and supply chains at BloombergNEF. 

Main markets

Still according to the survey, the country that recorded the largest contributions to renewable energy last year was China, with approximately US$ 676 million in investments, the equivalent of 38% of the global total. 

Although it remains dominant, the leadership chinese was reduced compared to other nations, such as the European Union, the USA and the United Kingdom – which together surpassed China with US$ 718 million invested in 2023. 

Picture of Henrique Hein
Henry Hein
He worked at Correio Popular and Rádio Trianon. He has experience in podcast production, radio programs, interviews and reporting. Has been following the solar sector since 2020.

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