emirates7 - Governments worldwide have earmarked almost $2 trillion in direct investment support for clean energy since 2020, according to a new report from the International Energy Agency (IEA).
The inaugural edition of the State of Energy Policy 2024 report indicates this figure is nearly triple the amount committed following the 2007-08 financial crisis. The report highlights that around 80 percent of this direct government spending has been allocated in China, the European Union, and the United States.
As policymakers prioritize energy security amid recent crises, government support and incentives for clean energy technologies have reached unprecedented levels. Domestic manufacturing incentives for clean energy have significantly increased, now accounting for nearly 10 percent of total government spending since the beginning of the decade, with the largest allocations directed toward low-emission vehicles, hydrogen, and batteries. The report also notes that short-term government support amounted to $940 billion during the peak of the global energy crisis.
“The unprecedented level of policy and investment support for clean energy acknowledges that these technologies not only reduce emissions but also enhance energy security,” stated Laura Cozzi, IEA Director of Sustainability, Technology, and Outlooks. “The rise in trade policies and domestic manufacturing incentives underscores that clean energy is becoming central to industrial strategies.”
Additionally, energy performance standards have seen significant policy interventions. In 2023, 35 countries—representing 20 percent of global greenhouse gas emissions—implemented new energy performance regulations.
The report provides a comprehensive overview of global energy policies by country and sector, highlighting major changes over the past year. It includes a publicly available repository, the Energy Policy Inventory, which features over 5,000 energy-related policies worldwide across various domains, including government spending, regulation, and trade.
The inaugural edition of the State of Energy Policy 2024 report indicates this figure is nearly triple the amount committed following the 2007-08 financial crisis. The report highlights that around 80 percent of this direct government spending has been allocated in China, the European Union, and the United States.
As policymakers prioritize energy security amid recent crises, government support and incentives for clean energy technologies have reached unprecedented levels. Domestic manufacturing incentives for clean energy have significantly increased, now accounting for nearly 10 percent of total government spending since the beginning of the decade, with the largest allocations directed toward low-emission vehicles, hydrogen, and batteries. The report also notes that short-term government support amounted to $940 billion during the peak of the global energy crisis.
“The unprecedented level of policy and investment support for clean energy acknowledges that these technologies not only reduce emissions but also enhance energy security,” stated Laura Cozzi, IEA Director of Sustainability, Technology, and Outlooks. “The rise in trade policies and domestic manufacturing incentives underscores that clean energy is becoming central to industrial strategies.”
Additionally, energy performance standards have seen significant policy interventions. In 2023, 35 countries—representing 20 percent of global greenhouse gas emissions—implemented new energy performance regulations.
The report provides a comprehensive overview of global energy policies by country and sector, highlighting major changes over the past year. It includes a publicly available repository, the Energy Policy Inventory, which features over 5,000 energy-related policies worldwide across various domains, including government spending, regulation, and trade.