Enviro News Asia, New York — Global renewable energy deployment helped the world avoid nearly US$500 billion in fossil fuel costs last year, highlighting the growing economic impact of the clean energy transition, United Nations Climate Change Executive Secretary Simon Stiell said.
Speaking at the Build Clean Now Industry Acceleration Summit in New York on September 21, Stiell said renewable energy capacity additions reached a record 693 gigawatts (GW) last year, according to new data from the International Renewable Energy Agency (IRENA).
The 693 GW of new renewable capacity was equivalent to more than half of the total installed power capacity of the United States, Stiell said.
He also pointed to the scale of investment in clean energy, which exceeded US$2 trillion last year and supported economic activity and employment in countries around the world.
Stiell said these developments demonstrate that international cooperation and national climate policies have already contributed to changes in the global energy system, although the transition remains uneven and significant gaps persist.
Closing the Gap Between Pledges and Action
Stiell said global efforts have reduced the projected temperature increase from more than 4 degrees Celsius to approximately 2.6 degrees Celsius. However, he said further emissions reductions are required to limit warming and eventually bring the temperature increase back below 1.5 degrees Celsius.
He called for stronger international cooperation focused on implementing existing climate commitments, national plans and targets.
The implementation agenda is expected to feature prominently at COP31 in Türkiye and COP32 in Ethiopia, while countries will also assess progress toward existing commitments through the second global stocktake in 2028.
Stiell said the UN Climate Change secretariat is examining ways to improve coordination between governments and the private sector and to strengthen the role of the Global Climate Action Agenda in delivering action in the real economy.
The Action Agenda brings together businesses, investors, governments, cities, regions and other stakeholders to advance climate-related projects and initiatives alongside the formal UN climate negotiations.
COP31 and Climate Finance
Stiell said the COP31 process could support faster implementation by strengthening institutions, accelerating technology transfer, improving access to climate finance and supporting countries pursuing just transitions.
The Turkish COP31 Presidency, working with Australia, has established Action Agenda targets, including an objective for electricity to account for 35 percent of global energy use by 2035.
Stiell urged governments, businesses and investors to bring practical solutions to COP31 in Antalya and accelerate the implementation of climate projects, particularly in developing countries.
He also highlighted the UN carbon market as a potential channel for investment and called for stronger efforts to meet existing climate finance commitments.
The broader objective is to advance the Baku to Belém Roadmap toward mobilizing US$1.3 trillion in climate finance.
Carbon Removal and Natural Carbon Sinks
Stiell said reducing fossil fuel emissions must remain central to climate action while acknowledging a role for carbon dioxide removal (CDR).
He stressed that CDR should complement rather than replace efforts to move away from fossil fuels.
Protecting and restoring natural carbon sinks will also be necessary, he said, while governments, investors and technology developers need to address the challenges associated with scaling carbon removal responsibly.
AI and the Climate Challenge
Stiell also called on the technology industry to address the growing environmental footprint of artificial intelligence.
He said AI could contribute to climate solutions, including improved early warning systems for climate-related disasters and more efficient electricity grids.
However, he warned that rapidly expanding AI infrastructure is increasing energy demand and, in some cases, adding pressure on fossil fuel-based power systems.
He called on technology companies to establish credible climate targets, improve energy efficiency, disclose energy and water consumption, and increase the use of renewable energy to power data centres.
Stiell said developing countries should also have access to useful and affordable AI technologies so that the digital transition does not widen existing inequalities in the global climate transition.
Clean Energy and Economic Resilience
The UN climate chief linked the clean energy transition with economic resilience, noting that climate-related disasters are affecting health systems, agricultural production, food prices and economies.
He said dependence on fossil fuels can also expose households and businesses to price volatility, particularly during periods of geopolitical disruption.
Stiell argued that renewable energy investment can support economic growth while reducing dependence on fossil fuels.
He also cited data showing that renewables overtook coal as the world’s largest source of electricity last year.
Stiell concluded by calling for continued international cooperation through the UN climate process, saying that governments and other stakeholders must accelerate implementation of existing climate commitments. (*)
