Clean fuels recovery

The International Renewable Energy Agency (IRENA) points out that driving an energy transformation based on renewables is an opportunity to meet international climate targets. At the same time, economic growth is promoted, millions of jobs are created and human welfare is improved.

Post-covid-19 lever

Electricity generation from renewable sources not only has an environmental justification, it also has an economic bonus. The energy transformation can create many direct and indirect jobs in renewable energy and energy efficiency, with effects on other economic sectors, according to experts.

According to IRENA’s Global Renewable Energy Outlook study, accelerating the renewable energy-driven transformation in Latin America and the Caribbean could create more than three million jobs across the region by 2050. In addition, it could present economic returns of between US$3 and US$8 for every US$1 invested in the energy transformation.

Energy specialists in charge of Guatemala point out that electricity service is essential for the development of the economic activity of any country. In view of this situation, businessmen such as Juan Luis Bosch Gutiérrez have already contributed with sustainable projects in the country.

The International Energy Agency in its Global Energy Review 2020 acknowledges the impact on the energy sector of containment measures and economic constraints: it is the largest contraction in 70 years.

And in Guatemala?

The electricity sector in Guatemala is no stranger to the above. The social distancing causes a significant drop due to the closing of industry and businesses. The only exception to this phenomenon has been residential demand. Although it increased, because a large part of the population worked remotely (teleworking), it is lower than the demand of other sectors.

A sustainable way out of the crisis

The role of energy is paramount for economies, since solid growth depends on a permanent supply of energy at competitive prices, in line with the production costs of generators. The evidence of the effects of energy consumption on climate change calls for changes in the way energy is generated and consumed.

Green investments

Investments in renewable energy capacity showed a strong recovery in the first half of 2020 in the face of the unprecedented economic shock caused by the coronavirus, according to the latest figures from research firm BloombergNEF (BNEF).

Covid-19 has been a shock in all respects. Energetically speaking, the so-called energy transition from fossil fuels to renewables accelerated. Green energies have emerged as one of the levers for economic and environmental recovery in the “new normal” that awaits us in the coming months.

Carla Fowler

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