Confronted with the escalating threat of the climate crisis, the global community still relies on an energy and transportation system that is 80% powered by fossil fuels. Transforming this system requires all stakeholders to assume responsibility and take action to ensure a fair and practical transition.
The good news is that the world is on the brink of an energy revolution. Cost-effective renewable energy technologies harnessing the potential of wind, solar, hydro, wave and geothermal power are being deployed at scale. According to the United Nations Environment Programme’s Critical Transition report (October 2024), global renewable energy generation capacity increased fivefold between 2011 and 2023.
As investments in renewable energy systems expand, it is equally important to plan for a just and inclusive transition—one that takes into account the 750 million people still lacking access to electricity and the 2.4 billion without clean cooking fuels, particularly in developing countries. Ensuring fairness is critical to the success of the global energy transition.
The energy transformation also requires significant mineral inputs. Building power grids, installing solar panels, and producing batteries all involve large-scale mineral consumption. According to the Critical Transition report, achieving net zero by 2050 will require a sixfold increase in mineral production compared to 2022 levels. Considering that these same minerals are also used in smartphones and data centers fueling the digital economy, their strategic importance to 21st-century economies is clear.
These realities highlight the critical role of coal, minerals, and precious metals in both today’s energy production and the technologies driving the renewable transition. Responsible extraction and processing of these resources—while mitigating environmental and social impacts—are essential. This includes value sharing, creating added economic value, and fostering economic diversification.
To rapidly scale renewable energy worldwide, governments must modernize and expand energy infrastructure, particularly electricity transmission grids. Achieving net zero by 2050 will require global electricity demand and supply to rise nearly fourfold—from 28 million terawatt hours (TWh) in 2022 to around 100 million TWh. Developing advanced energy storage systems is also crucial to this goal.
To reach net zero, three priorities stand out: greater efficiency in renewable technologies, a more circular economy, and more responsible approaches to mining. A new, circular, and efficient energy system must encompass the full cycle of producing, storing, transmitting, and consuming clean energy.