BAKU, Azerbaijan, January 10. Companies worldwide have totally invested over $500 billion over the last 18 months into energy transition projects given the UN climate agenda, Trend reports via the energy transition investment assessment report of S&P Global Commodity Insights (a division of Standard & Poor's agency).
According to the assessment report, the dynamics imply an active investment in the energy transition, particularly in the development of renewable energy sources, know-how, and technology.
Overall, according to the research, energy transition funding has altered dramatically in scale and pace as supply chains, permitting, and regulators strive to keep up with the increasing project pipeline.
A large influx of capital is observed in areas like the production of batteries and the search for new technologies to reduce their cost, while capital investment in carbon capture and storage projects slightly lags, the report noted.
The S&P Global Commodity Insights data showed that 82 percent of private capital energy transition investment was in electrification and the associated deployment of renewable power over the last 18 months, while only 18 percent was in decarbonization technologies for heavy industry, which accounts for the majority of hothouse gas.
Meanwhile, eight out of ten US dollar investments in renewable energy sources fell on projects carried out in developed countries and China, concluded the report.