The impact of the Covid-19 pandemic is being felt across the energy system, and the global response will shape our infrastructure for decades to come. The IEA is focused on analysing the impacts of the crisis, and helping governments navigate their way through the challenges and opportunities it creates.
Among the key reports coming this month is a World Energy Outlook special report on sustainable recovery that will assess how government responses to the crisis can create jobs while also putting us on a clean and resilient energy pathway. This report as well as our various high-level events will provide the basis for the IEA Clean Energy Transitions Summit on 9 July, which will bring together a grand coalition of ministers, CEOs, heads of international organisations and other key stakeholders.
At the start of 2020, global energy investment was on track for its largest annual rise in six years. But after the Covid-19 crisis brought large swathes of the world economy to a standstill in a matter of months, investment is now expected to plummet by 20%, or almost $400 billion, compared with last year, according to the latest edition of our World Energy Investment report.
Spending is expected to plunge in every major sector this year – from fossil fuels to renewables and efficiency. And while the overall share of global energy spending that goes to clean energy technologies – including renewables, efficiency, nuclear and carbon capture, utilisation and storage will jump in 2020, this is only because fossil fuels are taking such a heavy hit. In absolute terms, it remains far below the levels that would be required to accelerate energy transitions.