Global green transition spending tops $14 trillion amid rising CO₂ emissions
From 2004 to 2024, the world has spent over $14 trillion on the green transition, a figure more than 100 times the investments made to combat hunger through the World Food Programme. This is significant because despite such massive funding, global CO₂ emissions set a new record last year, highlighting the insufficiency of current efforts.
Spending on renewables, electric vehicles, heat pumps, hydrogen, carbon capture, and power grids continues to rise rapidly, increasing more than $2 trillion annually—about 2% of the global GDP. However, these figures exclude substantial economic growth losses caused by higher energy costs.
Over the past two decades, oil, coal, and gas have continued to supply 87% of the world's energy consumption, indicating no real energy transition has occurred despite investments.
In fact, the global energy system remains largely unchanged, with fossil fuels still dominant. This raises concerns about meeting emission reduction targets and achieving sustainable development goals.
Therefore, true decarbonisation requires not only substantial investment but also systemic policy and innovation changes that accelerate the shift away from fossil fuels.
