As renewables have become a compelling investment proposition, investment into new renewable power has grown from less than USD 50 billion per year in 2004, to about USD 300 billion per year in the recent years, exceeding investments into new fossil fuel power by a factor of three in 2018. Yet, renewable investments remain below their potential. Scaled up renewable energy investment, on the foundation of sound enabling policy frameworks, is critical to accelerate the global energy transformation and reap its many benefits, while achieving climate and development targets.

By addressing key risks and barriers, public finance, including climate finance, plays an important role in bridging the financing gap and attracting further investment from the private sector to renewables. Institutional investors, such as pension funds, insurance companies, endowments and sovereign wealth funds, have the potential to scale up major investments. IRENA’s Sustainable Energy Marketplace showcases several financial instruments and funds available to source investment for individual projects.

Unlocking Renewable Energy Investment: The role of risk mitigation and structured finance

Scaling up renewable energy calls for mobilising a massive investment increase. Renewables bring far reaching benefits in terms of human health, energy access, environmental protection and the response to climate change, along with the potential to create new jobs around the world.

• June 2016
• |
• Finance & Investment
• |
• English
• |
• United Kingdom, Indonesia

Recent Publications

Energy subsidies: Evolution in the global energy transformation to 2050

The energy sector lacks a standard definition of subsidies. This paper contribut...

Global Renewables Outlook: Energy transformation 2050

This outlook highlights climate-safe investment options until 2050, policies for transitio...

Renewables Readiness Assessment: Republic of Azerbaijan

As Azerbaijan seeks to diversify its economy, a renewable-based energy system would offer ...

Renewable energy finance: Green bonds

Renewables have emerged as a major recipient of green bond proceeds. This brief highlights...

More

Related Content

World Economic Forum and IRENA Partner for Sustainable Energy Future

23 September 2020 | Press Releases

Finance for Renewables in Developing Countries Is on the Rise

17 September 2020 | Articles

Institutional Capital: Closing the Energy Transformation Investment Gap

01 January 0001 | Articles