28 January 2022 |Virtual
The energy transition entails numerous interlinkages and synergies between the energy sector itself and the broader socio-economic system of which it forms a crucial part. IRENA continues to capture an increasingly comprehensive picture of the socio-economic impacts of the energy transition. IRENA’s modelling work demonstrate that steps towards a decarbonised energy future will positively affect economic activity, jobs - outweighing losses in the fossil fuel industries- and welfare, provided a holistic policy framework is in place. However, global aggregates mask important differences in how the energy transition affects regions and countries and how benefits are distributed.
Therefore, these overall benefits notwithstanding, spatial, temporal, educational and sectoral aspects of the transition will need close scrutiny to guard against potential misalignments and to reach energy transition targets while addressing distributional challenges for just and inclusive outcomes. In particular, countries with weak domestic supply chains and those with heavy dependence on fossil fuel revenues need to undergo structural changes to take advantage of opportunities inherent in the energy transition.
An analysis of key drivers and dynamics at global, regional and country level provides indispensable insights for policymakers. Along with a high level of transition ambition, a comprehensive policy framework can maximise benefits and minimise disruptive effects. Steady deployment policies remain essential for the continued expansion of renewable energy capacities around the world, thus for the energy transition's success.
IRENA’s Policy Talks provide a forum for renewable energy policy discussions where experiences and best practices in policy design and implementation can be shared to support the efficient deployment of renewable energy, and the maximisation of the benefits realised. The Policy Talks generate feedback from IRENA Member States, policy makers and experts, which provides key input to support IRENA’s implementation of the Work Programme in the policy realm, to ensure relevance and accuracy. This event explored how governments can effectively design measures in the post-COVID era and how to ensure that these distinct policy fields form a coherent whole to bring about a just and inclusive transition for all.