Carbon Tracker and CEEW launched a report in July 2021 titled, “Reach for the Sun: The Emerging Market Electricity Leapfrog”. The report attempts to showcase that emerging markets will not follow the same path to renewables as the developed markets. It discusses how emerging markets (developing countries) will generate all the growth in their electricity supply from renewables in this decade, thereby leapfrogging fossil fuels.
The key finding of the report is that about 88 per cent of the growth in electricity demand between 2019 and 2040 is expected to come from the emerging markets. Therefore, if these countries do not leapfrog to renewables, there will be no global energy transition. A key suggestion to the policymakers in developed countries is to identify countries where the political economy favors a leapfrog and then not only transfer policy and technology expertise but also help in reducing the cost of capital.
Read the report here