PARIS | Invest heavily in a stimulus energy that will create jobs, favorable climate, and growth: this is the complex equation that wants to solve the international energy Agency (IEA) with its post-COVID 19 presented Thursday.
“Governments have an opportunity such as we do meet once in the life, to revive their economies and employment, while accelerating the transition towards an energy future which is more resilient and cleaner,” stresses Fatih Birol, the executive director of the IEA.
The Agency based in Paris, which advises developed countries on energy policy, suggests that global investment of about 1 000 billion per year over the next three years, representing approximately 0.7% of global GDP.
And this, while it has already alerted on a historic fall of investments in the energy this year because of the health crisis, and economic. The IEA notes that the stimulus packages, focused on the economy and health, are still few place-specific energy.
But with these are well invested, it is estimated that a series of important goals could be achieved: to accelerate global economic growth by 1.1 percentage points per year, create or save 9 million jobs annually, but also reduce greenhouse gas emissions and air pollution while enabling access to electricity for hundreds of millions of poor households.
These estimates, contained in a report of over 160 pages, have been carried out in the framework of a partnership with the international monetary Fund (IMF).
The IEA therefore recommends investments to expand power grids, develop the hydro-electric dams, extend the life of nuclear power plants or to improve the energy efficiency.
These measures should reduce the risk of black-out, improve flexibility and allow to integrate more widely in the renewable energies such as wind and solar.
The agency also advocated public support to innovation for technology, such as hydrogen, batteries, small nuclear reactors, modular, or the capture and sequestration of CO2.
Among other topics, the IEA is interested still in the transport, advocating for incentives to encourage the purchase of more efficient vehicles, but also the support for public transport or the expansion of the networks of high-speed train…
“This report presents the data and analysis showing that a future cleaner energy, just and secure is at hand”, according to Fatih Birol, who hopes to convince a “grand coalition” of ministers, bosses, investors, and other decision-makers.