Rebounding energy investment to fall short of net zero path – IEA – Reuters

Rebounding energy investment to fall short of net zero path – IEA – Reuters

Investment in energy is on track to recover by nearly 10% in 2021 as the world emerges from the COVID-19 pandemic, the International Energy Agency (IEA) said on Wednesday, but spending will fall far short of meeting urgent climate goals.

More of the $1.9 trillion in investment is projected to shift toward electricity than ever, with more than $820 billion due to earmarked for power - the sixth year in a row it will outstrip investment in traditional oil and gas.

"The rebound in energy investment is a welcome sign, and I'm encouraged to see more of it flowing towards renewables,“ Fatih Birol, chief of the Paris-based watchdog, said in an introduction to the annual World Energy Investment report.

"But much greater resources have to be mobilised and directed to clean energy technologies to put the world on track to reach net-zero emissions by 2050", Birol added, noting clean energy investment would need to triple by 2030.

The IEA issued a blockbuster warning to the energy industry last month, saying investors should not fund new oil,