During an online summit hosted by the International Energy Agency (IEA), UN Secretary General, Antonio Guterres, had one important message for attendees in regard to a global recovery plan.
“Coal has no place in Covid-19 recovery plans.”
The summit hosted 40 government ministers that represented 80% of global energy use. While the aim of the meeting was to discuss how governments can invest in renewable energy to boost economic recovery.
A big part of the meeting was pointing out that many countries are handling stimulus packages incorrectly.
What Are Countries Doing Wrong?
Instead of stimulating sectors of the economy that will be around for years to come, many countries are pouring resources into fossil fuels. Even more alarming is that a significant portion went into stimulating the coal industry.
This is simply a waste of money.
The coal industry was on its last legs before COVID-19 struck. Thus, stimulating a dying industry is counterproductive.
Renewable sources are the future of the energy sector and will be around for decades to come. And most importantly, they just make financial sense. After all, we have reached the point where they are now cheaper than many fossil fuels, including coal.
They are also not subject to price gouging or other factors. Simply set them up and capture the wind or sun. This will result in a more resilient and cost-effective energy sector.
As a result, the $3 trillion dollar plan to invest in renewable energy is the best course of action.
Why It’s Important to Act Now
The global lockdown due to COVID-19 has slowed the world’s economy, to say the least. It is far worse than the recession of 2008, but recovery from that recession led to the highest levels of carbon the world has ever seen.
As such, if the world does not prioritize renewable energy and green projects, we are likely to see even bigger carbon increases. This would accelerate climate change to an irreversible level.
Thus, the world’s recovery plan needs to address climate change.