New Energy Breaks The Trillion Dollar Buy-In Mark

Clean-energy investing is poised to top the money backing oil and gas after hitting a record $1 trillion; ‘Investment in clean-energy technologies is on the brink of overtaking fossil-fuel investments, and won’t look back,’ says BloombergNEF

Rachel Koning Beals, February 1, 2023 (MarketWatch)

“…[According to a recent BloombergNEF report, investment] in sectors such as renewables, nuclear, zero-emission vehicles or recycling projects totaled $1.1 trillion last year, matching spending on fossil fuels…[Including the additional $274 billion invested in the power grid, energy transition investment hit $1.38 trillion in 2022]. Global green spending was up more than 30% on the previous year, and marks the first time the investment total crossed the threshold to rank in the trillions…

click to enlarge

…[G]lobal fossil fuel investments, including upstream, midstream, downstream and unabated fossil power generation…is estimated at $1.1 trillion in 2022…Almost every clean-energy sector covered in the report achieved a new record level of investment in 2022, including renewable energy, energy storage, electrified transport, electrified heat, carbon capture and storage (CCS), hydrogen and sustainable materials. Only nuclear power investment did not set a record, staying flat…[Hydrogen] received the least financial commitment at just $1.1 billion…[But it was] the fastest-growing sector with investment more than tripling…

click to enlarge

…Nearly half of the total global investment in new renewables was in China…[Not included in the $1.1 trillion, climate-tech corporate finance, the new equity financing from public markets or private investors. totaled $119 billion in 2022,] a 29% decline from the year before, driven entirely by a fall in public share offerings during a challenging year in global equity markets…[V]enture capital and private equity financings held up well, growing 3% on the year…[The world must invest an annual average of $4.55 trillion for the remainder of this decade in order to get on track under BNEF’s net-zero scenario.” click here for more

click to enlarge

Tweet