The IRENA report reveals the challenges in meeting the goals of the Paris Agreement. From outdated infrastructure to investment inequality, the challenges that hinder the global energy transition are identified, along with key proposals for structural change.The transition to a sustainable global energy system faces multiple barriers that jeopardize the goals of the Paris Agreement and the target of limiting global warming to 1.5°C. According to the “World Energy Transition Outlook 2024” report from the International Renewable Energy Agency (IRENA), achieving these goals requires tripling installed renewable capacity and doubling energy efficiency by 2030. However, structural, financial, and technological barriers continue to be significant challenges.

**Structural Barriers and Global Inequality**

One of the main limitations is outdated energy infrastructure, designed for fossil fuels. “Modernizing the power grids is essential to integrate renewable energy at a large scale,” the report emphasizes. In addition, the lack of adequate regulatory frameworks and insufficient energy planning creates uncertainty for investors, hindering the transition.

Another critical issue is the inequality in access to financing and clean technologies. In 2023, advanced economies accounted for 47% of global investment in renewable energy, while over 150 developing countries, which represent half of the world’s population, received only 10%. “This perpetuates energy inequalities and limits development opportunities in the Global South,” the report outlines.

**The Challenge of International Financing**

International financing plays a decisive role in closing this gap. “It is crucial to channel resources to countries with the greatest need and potential for renewable energy, especially in Africa,” the IRENA report states. However, high initial costs, along with perceived risks in emerging markets, make it difficult to mobilize private capital.

To address these challenges, the report proposes mechanisms such as the new Quantified Collective Goal (NCQG), which will be debated at COP29, and risk-reducing strategies that facilitate private investment. “Public funding must act as a catalyst to reduce risks and attract private capital,” IRENA emphasizes.

**Geographical Concentration of Investment**

Another highlighted obstacle is the geographical concentration of renewable energy investment. While economies like China, the United States, and Brazil lead in investment, less-developed countries face significant difficulties. “Despite their high renewable resource potential, African countries are unable to attract significant financial flows,” the report adds.

This disparity has serious implications: it limits access to clean energy, reduces the global impact on the fight against climate change, and perpetuates an unequal energy transition. Therefore, IRENA stresses the need to develop strong regulatory frameworks and increase international collaboration to mobilize resources toward the Global South.

**COP28 Goals and the Path to 2030**

COP28, held in Dubai, set ambitious targets for 2030, including tripling global installed renewable energy capacity and doubling energy efficiency. These commitments aim to decarbonize the global energy system and limit warming to 1.5°C.

To achieve this, solar photovoltaic capacity will need to be quadrupled, reaching 5,457 GW by 2030, and electrifying sectors such as transportation, industry, and construction will be crucial. “These goals require coordinated action between governments, businesses, and investors, along with an economic structural shift,” the report states.

**Overcoming Barriers in the Global Energy Transition** is essential to ensure a sustainable, equitable, and prosperous future. The IRENA report makes it clear that international collaboration, inclusive financing, and the development of modern infrastructure are key to closing the gap between developed and developing countries. As the document states, “A just and inclusive energy transition is not only a climate imperative but also an opportunity to transform the global economy.”