World Energy Investment 2024

INTERNATIONAL ENERGY AGENCY The IEA examines the full spectrum of energyissues including oil, gas and coal supply anddemand, renewable energy technologies,electricity markets, energy efficiency, access toenergy, demand side management and muchmore. Through its work, the IEA advocatespolicies that will enhance the reliability,affordability and sustainability of energy in its 31member countries,13association countries andbeyond. SpainSwedenSwitzerlandRepublic of TürkiyeUnited KingdomUnited States IEA member countries: AustraliaAustriaBelgiumCanadaCzech RepublicDenmarkEstoniaFinlandFranceGermanyGreeceHungaryIrelandItalyJapanKoreaLithuaniaLuxembourgMexicoNetherlandsNew ZealandNorwayPolandPortugalSlovak Republic The European Commissionalso participates in the workof the IEA This publication and any map included herein arewithout prejudice to the status of or sovereigntyover any territory, to the delimitation ofinternational frontiers and boundaries and to thename of any territory, city or area. IEA association countries: ArgentinaBrazilChinaEgyptIndiaIndonesiaKenyaMoroccoSenegalSingaporeSouth AfricaThailandUkraine Second revised version,June2024Information notice found at:www.iea.org/corrections Source: IEA.International Energy Agency Website:www.iea.org The report also includes a new regional section covering 10 majoreconomies and regions. It also assesses additional efforts needed tomeet the COP28 goals to transition away from fossil fuels, triplerenewable capacity and double the rate of improvements in energyefficiency by 2030. Abstract This year’s edition of theWorld Energy Investmentprovides a fullupdate on the investment picture in 2023 and an initial reading of theemerging picture for 2024. The report provides a global benchmark for tracking capital flows inthe energy sector and examines how investors are assessing risksand opportunities across all areas of fuel and electricity supply,critical minerals, efficiency, research and development and energyfinance. The report highlights several key aspects of the current investmentlandscape, including persistent cost and interest rates pressures, thenew industrial strategies being adopted by major economies to boostclean energy manufacturing, and the policies that support incentivesfor clean energy spending, notably from the increasingly importantviewpoints of energy security and affordability. This year’s edition provides an expanded analysis on the sources ofinvestment and sources of finance in the energy sector, including newinsights on the role of development finance institutions in energyinvestments across emerging and developing economies. It will alsolook at how investment trends in clean energy compare with those infossilfuels,as well as the geographic distribution of theseinvestments. Table of contents Overview and key findings .............................................................................3Tracking COP28 Progress .......................................................................17Finance.........................................................................................................24Overview...................................................................................................25Trends for financial market actors ............................................................34Trends for financial instruments ...............................................................45Implications...............................................................................................54Power ...........................................................................................................56Overview...................................................................................................57Generation................................................................................................62Final investment decisions (FIDs) ............................................................70Grids and storage .....................................................................................77Implications...............................................................................................82Fuel supply ...................................................................................................85Overview...................................................................................................86Upstream oil and gas................................................................................90LNG and refining ....................................................................................100Methane..................................................................................................105Coal ........................................................................................................108Bioenergy ...............................................................................................111Hydrogen ........................................