A large increase in the value of the clean technologies market, a growing number of jobs in the RES sector, but also risks related to lack of diversification of the supply chain – Energy Technology Perspectives 2023, a report published in December by the International Energy Agency (IEA), indicates the main opportunities and risks for countries developing renewable energy sources. 

“The energy world is at the dawn of a new industrial age – the age of clean energy technology manufacturing – that is creating major new markets and millions of jobs but also raising new risks, prompting countries across the globe to devise industrial strategies to secure their place in the new global energy economy”, according to a major new IEA report. 

The analysis shows the global market for key mass-manufactured clean energy technologies will be worth around USD 650 billion a year by 2030 – more than three times today’s level – if countries worldwide fully implement their announced energy and climate pledges. The related clean energy manufacturing jobs would more than double from 6 million today to nearly 14 million by 2030 – and further rapid industrial and employment growth is expected in the following decades as transitions progress. 

At the same time, the current supply chains of clean energy technologies present risks in the form of high geographic concentrations of resource mining and processing as well as technology manufacturing.  For example, the Democratic Republic of Congo produces over 70% of the world’s cobalt, and just three countries – Australia, Chile and China – account for more than 90% of global lithium production.  

“(…) The world would benefit from more diversified clean technology supply chains,” said IEA Executive Director Fatih Birol. “As we have seen with Europe’s reliance on Russian gas, when you depend too much on one company, one country or one trade route – you risk paying a heavy price if there is disruption”. 

The report is available HERE