NewClimate Institute

The Allianz Climate and Energy Monitor ranks G20 member states on their attractiveness as potential destinations for investment in low-carbon electricity infrastructure. It takes into account their current and future investment needs in line with a 2° C global warming trajectory. Consistency with the Paris Agreement, negotiated by 195 countries at the end of 2015, would require a full decarbonization of the global economy before the end of the century. This transformation will be particularly challenging for the energy sector – the largest source of carbon emissions.

The inaugural report of the 1 Gigaton Coalition, entitled Narrowing the Emissions Gap: Contributions from renewable energy and energy efficiency activities, is now available, and details the emissions saved after analysing nearly 6,000 renewable energy and energy efficiency activities in developing countries. They show the potential for further emissions reductions if programmes and initiatives are supported further to replicate successful projects more widely.

The transition from fossil fuels to cleaner, safer energy technologies is under way. To pinpoint where decarbonization is happening most rapidly—and to extract lessons and best practices that can be applied to other areas of the global economy where progress is needed in the fight against climate change—this study by ClimateWorks, NewClimate Institute, Ecofys, and Climate Analytics compares past projections with actual developments in renewable energy, coal consumption, and passenger vehicles. Key findings include: Decarbonization of the power sector is happening faster than predicted.

This report studies the development of criteria for assessing the compatibility of financial investments with the international goal to limit global temperature increase to below 2°C above pre-industrial levels. The findings are intended as a starting point and a key input for a longer term process to develop consensus-based 2°C investing criteria. The focus here is placed on investments in projects and physical assets, in particular of development and climate finance organisations.

A highly efficient use of energy is thus fundamental to limit GHG emissions. Yet, energy efficiency receives much less attention than the decarbonization of the energy supply.