Investment

Choices shaping our energy futures

Investment made today in energy infrastructure will leave its mark for decades to come, so the energy sector presents exceptional opportunities, but also challenges for investors and governments who must deliver capital at the right time and in the right place, while also considering long time horizons.

Key findings

Global energy investment in clean energy and in fossil fuels, 2015-2023

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Clean energy investment is extending its lead over fossil fuels, boosted by energy security strengths

The recovery from the slump caused by the Covid-19 pandemic and the response to the global energy crisis have provided a significant boost to clean energy investment. Comparing our estimates for 2023 with the data for 2021, annual clean energy investment has risen much faster than investment in fossil fuels over this period (24% vs 15%). Our new analysis highlights how the period of intense volatility in fossil fuel markets caused by the Russian Federation’s invasion of Ukraine has accelerated momentum behind the deployment of a range of clean energy technologies, even as it also prompted a short-term scramble for oil and gas supply.

We estimate that around USD 2.8 trillion will be invested in energy in 2023. More than USD 1.7 trillion is going to clean energy, including renewable power, nuclear, grids, storage, low-emission fuels, efficiency improvements and end-use renewables and electrification. The remainder, slightly over USD 1 trillion, is going to unabated fossil fuel supply and power, of which around 15% is to coal and the rest to oil and gas. For every USD 1 spent on fossil fuels, USD 1.7 is now spent on clean energy. Five years ago this ratio was 1:1.

World Energy Investment 2023