Members of the Utilities for Net Zero Alliance (UNEZA) have announced a joint intent to invest more than $116bn per year in clean power generation and system grid infrastructure globally in the coming years.
Almost 50% of the total investment planned and committed targets transmission and distribution infrastructure.
Launched at COP28 in 2023, UNEZA includes 32 of the largest utilities and energy companies in the world, such as Adani Green Energy, Hitachi Energy and TAQA.
The alliance aims to expand and modernise grid infrastructure and signal increased demand for equipment and materials using an action plan to address the barriers to scaling investment.
Alongside its investment commitment, UNEZA members have published recommendations to policymakers designed to alleviate power supply chain constraints, covering wind, solar, hydro, grids and storage.
The recommendations call for policymakers to harmonise standards of equipment across regions and jurisdictions; promote free flow of supplies; establish forward-looking integrated and long-term system planning; promote policy and regulatory business model innovation; and maintain a healthy skills supply chain.
UN Climate Change high-level champion for COP28 H.E. Razan Al Mubarak commented: “As we advance toward our net zero goals, UNEZA demonstrates the power of collaborative efforts to deliver on the 2030 Climate Solutions and the UAE Consensus to triple renewables and double efficiency by 2030.”
International Renewable Energy Agency (IRENA) director-general Francesco La Camera added: “Our top priority is to build and upgrade the grids needed to meet the global target of tripling renewable power capacity by 2030. IRENA estimates the world’s investment needs for infrastructure at $720bn every year by 2030; the bulk will need to come from the private sector.”
In April at the 14th IRENA Assembly, UNEZA members adopted the UNEZA Roadmap to 2030, which targets 849GW in renewables portfolios, a 2.6-times increase from 2023.
