Rystad predicts global emissions peak by 2026 as clean power surges

illuminem summarises for you the essential news of the day. Read the full piece on Oil Price or enjoy below:

🗞️ Driving the news: Rystad Energy forecasts that global carbon emissions will peak by 2026, driven by the accelerating adoption of clean electricity and electrification, particularly in the transport sector
• The rapid growth of renewables, including solar and wind, is expected to push the world toward a 1.9°C warming scenario by 2040, despite the resilience of oil and gas in the near term
• Renewables will see record additions, with over 700 GW expected to be added in 2024-2025, further decarbonizing the energy sector

🔭 The context: Global clean electricity’s share of primary energy has surged from 9% in 2015 to over 14% in 2025, marking an unprecedented shift in the energy system
• The report outlines three key steps to achieving global emissions reduction: cleaning up and expanding the power sector, electrifying most industries and transport, and addressing residual emissions
• This transition is already reshaping investments, with low-carbon technologies attracting more capital than fossil fuels, and the gap expected to widen in the coming years

🌍 Why it matters for the planet: Rystad's prediction that emissions will peak by 2026 signals a critical turning point, suggesting the world is moving toward a decline in emissions, driven by renewable energy
• However, current nationally determined contributions (NDCs) fall short of the levels needed to meet the 1.5°C target outlined in the Paris Agreement
• The shift to low-carbon energy is essential to mitigating the worst impacts of climate change and to securing a sustainable future for all sectors reliant on energy

⏭️ What's next: Looking ahead, Rystad forecasts that by 2030, low-carbon investments will capture 46% of global energy capital, surpassing fossil fuel investments
• Oil and gas will continue to play a significant role, particularly in petrochemicals and transport, but their growth will slow as clean energy technologies dominate the capital flows
• The next decade will be crucial in accelerating the energy transition, with policy decisions and investment in renewables shaping the energy system by 2040

💬 One quote: "Today’s capital flows determine the 2040 energy system. The shift toward low-carbon investments is inevitable, and it will define the future of global energy." — Jarand Rystad, CEO, Rystad Energy

📈 One stat: Renewable energy investments currently surpass $900 billion annually, outpacing the $735 billion invested in oil and gas

Explore carbon credit purchases, total emissions, and climate targets of thousands of companies on Data Hub™ — the first platform designed to help sustainability providers generate sales leads!

Click for more news covering the latest on energy transition