The International Monetary Fund (IMF) has warned that to achieve net-zero emissions by 2050, green investment will need to increase fivefold, from $900 billion in 2020 to $5 trillion per year in 2030. Emerging and developing countries need US$2 trillion per year, a fivefold increase from 2020. The private sector will need to provide much of the financing for these low-carbon investments. The IMF guidance comes ahead of the COP28 conference in Dubai, where policymakers and governments will discuss future climate mitigation strategies. More than 80% of the 50% emissions reduction target by 2030 can be achieved through existing technologies.
A study by the Council on Energy, Environment and Water (CEEW) shows significant differences in carbon dioxide emissions between average income earners in developed countries and the richest 10% of people in developing countries. The study suggests that developed countries, including China, should adopt a sustainable lifestyle and allocate carbon space to developing countries. Research shows that encouraging the wealthiest people to adopt low-carbon lifestyles could lead to significant emissions reductions and carbon taxes.
Hungary and Slovenia have agreed to build the first gas pipeline between the two countries, while Greece and North Macedonia are completing preparations for their first gas interconnector. This would provide alternative supply routes and allow Hungary and North Macedonia to import liquefied natural gas (LNG), which is becoming the main alternative to Russian gas. Another natural gas interconnector between Serbia and Bulgaria is nearing completion.
The solar power plant funded by the EU Modernization Fund will be built in Chernica, Ilfov County, by the end of 2026. The project, worth RON 14.3 million, will reduce energy costs in buildings such as the county's social welfare home, the Child Protective Service, Ilfov County Hospital and the Obstetrics and Gynecology Hospital by 90%. The power plant will generate 96.91% of electricity consumption and have an annual power generation capacity of 3.7 million lei. Other local authorities are also exploring renewable energy to improve energy security.
Leaders from more than a dozen African countries will gather in Germany for the G20 Africa Compact meeting to promote private investment in Africa. The summit, chaired by German Chancellor Olaf Scholz, aims to coordinate the development agenda and discuss investment opportunities. The event will include bilateral talks with African countries and a Germany-Africa Investment Summit. Germany aims to diversify supply chains, secure a skilled workforce, reduce illegal immigration and achieve a green transition.
India is expected to overtake Southeast Asia and become the second-largest producer of solar modules by 2025, mainly catering to demand in the United States. However, high production costs pose challenges due to the 25% tariff on imported solar cells. Under the Inflation Reduction Act, the United States is developing its own photovoltaic manufacturing capabilities but will still rely on imports. China’s leadership in N-type battery technology is expected to impact the market, accounting for 95% of global expansion. Vertically integrated manufacturers may still find growth opportunities.