World energy investment needs to grow to $48 trillion
The investment would need to rise from the current $1.6 trillion a year to $2 trillion by 2035. The energy efficiency baseline would need to quadruple to reach $550 billion, according to the report by the organization working to ensure reliable, affordable and clean energy.
More than 80 percent of the total $48-trillion investment would go into energy supply and the rest in energy efficiency, the report said.
Government investment has so far grown the fastest in the renewable energy sector, comprising now 15 percent of all annual funds spent on energy together with biofuels and nuclear power. Oil and other fossils industries still take the majority of money - more than 1 trillion a year.
The amount spent on the renewables will increase to nearly $10 trillion for renewables in the course of the next 20 years, the report says.
The IEA has launched research into alternative energy sources after the 1973-1974 oil crises, when several Arabic countries, members of the Organization of Arab Petroleum Exporting Countries or the OAPEC, embargoed oil export for 5 months, pushing the oil price from $3 to $12. ■