What will the G20 summit bring to renewable energy?

Introduction: According to statistics from the International Renewable Energy Agency, energy use and consumption account for two-thirds of global carbon emissions. To ensure that the global average temperature does not rise by more than 2 degrees Celsius by the end of this century, at least 164 countries have set various forms of renewable energy targets, which is four times higher than the figure in 2005 (43 countries), and the new installed capacity of renewable energy has significantly increased in the past three years.

Shortly after the G20 Energy Ministers' Meeting in Istanbul, Türkiye, in early October, a separate sub forum was set up in the "International Energy Change Forum" co sponsored by the National Energy Administration, the Jiangsu Provincial Government and the International Renewable Energy Agency on November 7, with "G20 Renewable Energy Cooperation Prospects" as the theme.

Next year, China will host the G20 summit for the first time, and at the recently concluded Istanbul G20 Energy Ministers Meeting, energy issues were put on the agenda for the first time, placing renewable energy issues on a higher level of international multilateral stage, allowing countries to further share knowledge and experience and achieve the transformation of renewable energy.

In September, the United Nations Sustainable Development Council (SDC) adopted the 2015 Development Agenda, which includes one goal of ensuring affordable renewable energy access and working together to build a cleaner and more sustainable future.

Increasing the proportion of renewable energy, both technically and economically feasible

According to the International Renewable Energy Agency, the use and consumption of energy account for two-thirds of global carbon emissions. To ensure that the global average temperature does not rise by more than 2 degrees Celsius by the end of this century, at least 164 countries have set various forms of renewable energy targets, which is four times higher than the figure in 2005 (43 countries), and the new installed capacity of renewable energy has significantly increased in the past three years. However, in order to achieve a sustainable future, it is also necessary to promote the development and application of renewable energy.

From a series of goals reached at the just concluded G20 Energy Ministers' Meeting in Türkiye, we can see that G20 cooperation not only has special strategic significance for improving global climate change, but also can promote renewable energy financing and strengthen knowledge and technology exchanges among countries. So how will G20 promote the development of renewable energy?

There are mainly five aspects: first, analyze the cost of renewable energy; Secondly, reduce financing risks for renewable energy; Thirdly, further clarify the development paths of each country and stimulate technological potential; Fourthly, engage in technological exchanges for renewable energy development; Fifth, strengthen the application of modern biomass energy.

At the G20 Renewable Energy Cooperation Prospects Forum on the 7th, Adnan Z., Director General of the International Renewable Energy Agency Amin stated that it is technically and economically feasible to increase renewable energy consumption to 36% of total energy consumption by 2030. However, while considering energy transformation, it is necessary to consider the cost issues of environmental pollution and carbon emissions, because if these environmental costs are included in energy development costs, people's perspectives on the cost of renewable energy will vary greatly. Therefore, high-level energy discussions among G20 countries can be conducted to gain a deeper understanding of technology and implementation barriers, provide feedback, and analyze the role of various countries and technologies in reducing the cost of renewable energy. Only then can we ultimately find a path for the development of renewable energy.

Strengthen communication and avoid investment risks

In promoting the development of renewable energy, the International Renewable Energy Agency believes that biomass energy will play a significant role. AdnanZ Amin stated that by 2030, biomass energy can account for 60% of all renewable resource usage. However, from the current development of biomass energy, it remains to be discussed in depth how to safely and reliably manufacture and produce biomass energy at low cost and sustainably. In addition, AdnanZ Amin also believes that due to different policy systems in different countries, it is necessary to find suitable technological methods. While considering the development of biomass energy technology, it is also necessary to further consider how to integrate it into the power generation field and improve its application rate.

After considering technological feasibility, financing is also a crucial issue in the development of renewable energy, which is currently faced by both developed and emerging countries. It is understood that some European countries with mature renewable energy development are gradually considering reducing renewable energy subsidies, allowing them to improve competitiveness through market mechanisms and stimulate technological development. However, caution must be exercised when formulating or changing policy frameworks to avoid increasing investment risks.

The UK has recently lost a significant amount of investment funds due to a sudden reduction in renewable energy subsidies, causing a volatile investment environment in its market. Energy investment itself is a long-term investment, and factors such as policy uncertainty, bank distrust, and exchange rate conversion can have a negative impact on the investment environment. It is worth noting that the G20 Energy Ministers' Meeting in Türkiye launched a commitment to the world in the Action Plan for Promoting the Development of Renewable Energy, saying that it would provide all people with low-cost, reliable and sustainable renewable energy development models to ensure that the investment environment in this field is guaranteed through exchanges among countries. This may be an important means to promote the development of renewable energy.