Study: Europe Must Invest €300 Billion in Next 2 Years to Meet Climate Goals

A new study has found that Europe needs to invest over €300 billion in the next two years in order to reach its climate goals. The research, which was conducted by researchers at the Swiss Federal Institute of Technology in Zürich, built on 56 relevant technology and investment studies from academia, industry, and the public sector. EU countries were the main focus of the study, but data from the UK, Norway, and Switzerland was also taken into account.

The researchers found that investment is most desperately needed in power generation from renewable energies. To drive forward the decarbonisation of all areas of life, around €75 billion needs to be invested in solar and wind power plants in the coming years. This is €24 billion more per year than in the recent past. Similarly, the expansion of distribution networks and railways requires 40% to 60% additional financial input compared to the 2016-2020 period.

Potential environmental impact:

The study highlights the need for significant investment in renewable energy sources and the expansion of distribution networks and railways. By investing in these areas, Europe can reduce its dependence on fossil fuels and decrease its carbon emissions. The study also suggests that less investment will be required in fossil fuel infrastructure in the future, as conventional power plants are expected to require 70% less capital within a few years.

However, the researchers note that the main challenge is not the availability of funding. The main challenge is to implement the necessary political policies quickly enough to ensure that capital flows into the right projects. By creating the right policies, Europe can promote the expansion of renewable energy and help to achieve its climate goals.