Net-zero track needs $4.18t annual investment in 2026-2030

This is double the required $2.06t annual investment between 2022-2025.

To stay within the net-zero track, investments need to triple between 2022-2025, and double in 2026 and 2030, the BloombergNEF said in its Energy Transition Investment Trends 2022.

Citing its New Energy Outlook, BloombergNEF reported investment in the transition to clean energy will need to average $2.06t between 2022 and 2025. This is three times the $755b total seen in 2021.

Of this share, 60% will likely go to renewable energy and electrified transport over the three-year period. This is equivalent to $667b and $583b, respectively, which is doible the actual amount recorded last year.

“There is another doubling of investments needed thereafter, to an average $4,189 billion per annum over the years 2026-2030,” the report read in part.

About two-fifths of this will be needed for next-generation low-carbon technologies, such as hydrogen, carbon capture and storage, and nuclear.

In 2021, China saw the highest energy investment with $266b, up 60% from 2020. It is followed by the United States at $114b, reflecting a 17% increase from the previous year.

Also among the top 10 countries in terms of investments were Germany ($47b), United Kingdom ($31b), and France ($27b). Japan, meanwhile, dropped to sixth place from fourth place at $26b.

India ($14b), South Korea ($13b), Brazil ($12b), and Spain ($11b) were included in the top 10 countries with the highest energy transition investments.