Analysis: How to Make Climate Investments Flow to Distributed Renewables
The power system of tomorrow will be determined by decisions made today, but time is running out to invest in a brighter and more inclusive future. As the impacts of climate change have become pronounced in the world around us, the financial flows dedicated to climate action have grown.
Great strides have been made in funding large-scale renewable projects in particular, but overall, investment trends remain misaligned with the world’s future needs.
Small scale renewable projects or distributed renewable energy (DRE) have great potential to fill the gap.
Technological breakthroughs in solar cells and battery technologies have accelerated the potential of DREs to bring power to many of the 800 million people who live without electricity, and beyond that to another 2 billion people who continue to suffer from energy poverty globally.