There’s no time to waste — public capital is a key conduit to a just transition

(Atlantic Council, Washington, 8 November 2022) It is abundantly clear that achieving net-zero carbon emissions by mid-century is necessary to avoid the worst climate outcomes. However, the path to decarbonizing the energy sector is not “one-size-fits-all” between developed and developing markets.Looking at the future energy mix globally, new renewables capacity will dominate with developing countries representing more than half of new capacity investment, driven primarily by China and India. Public capital plays an essential role in accelerating energy infrastructure projects in both developed and developing markets. Governmental organizations such as export credit agencies (ECAs) and development finance institutions (DFIs) provide essential liquidity tools, risk management expertise, and credit support that enables meaningful private sector investment.