Strategies for an affordable and just clean energy transition – analysis

Issues of affordability and equity are at the center of debates about the clean energy transition in many countries. The global energy crisis has exposed the vulnerabilities and risks inherent in today’s fossil fuel-based energy system, while making the benefits of the transition – such as greater energy security, improved air quality, reduced emissions and reduced exposure to volatile fuel prices – even greater . However, even as clean energy technologies become increasingly cost competitive, they still require a step change in investment to overcome the inertia favoring existing fuels and technologies.

As the cost of living increases around the world, important questions have arisen about how to pay for the clean energy transition, as well as how to share the costs and benefits. Low-income households in particular run the risk of being left out of the transition if they cannot afford the upfront costs.

New IEA special report entitled Strategies for an affordable and just clean energy transition, explores these challenges and how they can be addressed. Her first-of-its-kind analysis provides a comprehensive evidence base for this discussion and a pragmatic perspective on policy approaches that can ensure affordability and equity as the transition progresses.