Paris: The International Energy Agency (IEA) announced that global energy investment is projected to reach a record US$3.3 trillion in 2025. This increase comes despite challenges from geopolitical tensions and economic uncertainty, with clean energy technologies expected to receive twice as much investment compared to fossil fuels.
According to Emirates News Agency, the IEA's World Energy Investment 2025 report indicates that investment in clean technologies, including renewables, nuclear, grids, storage, low-emissions fuels, efficiency, and electrification, is set to achieve a record US$2.2 trillion. This marks a significant emphasis on sustainable energy solutions.
The report highlights that solar investments, encompassing both utility-scale and rooftop installations, are anticipated to reach US$450 billion in 2025, making it the most substantial component of the global energy investment portfolio. Additionally, battery storage investments are increasing rapidly, surpassing US$65 billion this year.
Furthermore, the report notes a projected decline in upstream oil investment for the first time since 2020, with a 6 percent decrease expected. This downturn is attributed to lower oil prices and demand expectations, signaling a shift in focus towards cleaner energy alternatives.
