Empowered Energy Transition: IRENA Report Reveals Socio-Economic Impacts And Advocates Progressive Policies For 40 Million Jobs By 2050

In a crucial analysis released ahead of COP28, the International Renewable Energy Agency (IRENA) underscores the pivotal role of progressive policies in realizing widespread socio-economic benefits from the global energy transition.

The report reveals that adhering to the 1.5°C pathway aligned with the Paris Agreement could lead to an average annual GDP increase of 1.5% by 2050, generating 40 million additional jobs in the energy sector, with renewables contributing 18 million of those positions.

Volume 2 of IRENA’s World Energy Transitions Outlook 2023 provides policymakers with insights into the socio-economic impacts of the energy transition, urging governments to design policies that maximize positive outcomes.

While acknowledging the potential of the energy transition to boost the global economy, IRENA emphasizes the need to address persistent inequalities and ensure equitable distribution of opportunities.

IRENA Director-General Francesco La Camera stresses the importance of addressing both technological and socio-economic aspects of the energy transition. The analysis reveals regional disparities, with Asia anticipated to hold 55% of global renewable jobs by 2050, compared to 9% in Sub-Saharan Africa.

The report highlights the need for holistic policy interventions that transcend the shift from fossil fuels to renewables, emphasizing international collaboration, equity, and systemic changes.