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International Energy Agency Delivers Report on the State of the Clean Energy Revolution

6 April 2011

The International Energy Agency (IEA) introduced the Clean Energy Progress Report: IEA input to the Clean Energy Ministerial at the second Clean Energy Ministerial (CEM2), held 6–7 April 2011 in Abu Dhabi, UAE. The report provides recommendations and background analyses for the ministerial sessions; highlights progress in the deployment of clean energy technologies globally; outlines the status of public spending on research, development, and demonstration; and discusses recent policy developments.

Key Findings

The report explains that, despite recent renewable energy annual growth rates of 30 to 40 percent and carmakers’ release of first-generation electric vehicles, formidable clean energy challenges remain. Demand for traditional fossil-based energy continues to outpace demand for clean energy. Achieving a sustained global clean energy pathway requires significant scale-up and acceleration, including increased energy efficiency efforts, deployment of advanced biofuels and electric vehicles, and large-scale demonstrations of carbon capture and storage and smart grid technologies.

The report asserts that smarter, more ambitious strategies are needed to ensure that renewable energy technologies can compete with conventional energy technologies. While some renewable technologies are currently competitive, most still cost more than fossil-based technologies that receive government subsidies (e.g., tax credits, infrastructure development, and funding for large-scale demonstration).

The report also notes that the economic competitiveness of clean energy technologies suffers from the relative immaturity of these technologies and the failure of fossil-based energy prices to reflect external environmental costs, including greenhouse gas emissions. Technology deployment is also reported to be hampered by noneconomic barriers, such as administrative burdens, grid integration issues, and lack of public awareness or acceptance. Accelerating clean energy technology deployment will require concerted public and private commitments supported by ambitious policies.

Recommendations

The report recommends that the Clean Energy Ministerial serve as an international forum for commitment, action, and shared learning. Other recommendations include the following:

  • Continue to grow public investment in technology innovation
  • Unleash the potential of energy efficiency across all sectors by determining the highest priority end-use technologies and developing supportive policies
  • Sustain renewable energy momentum with smarter policies
  • Foster electric vehicle market introduction through long-term commitments
  • Leverage local and regional leadership to develop integrated clean energy systems

Progress Update

To view selected policy and deployment trends and graphics from this report, see the country policy and deployment data page on the Clean Energy Solutions Center website, cleanenergysolutions.org.