Why clean energy investment is failing to close the transition gap

Despite record levels of investment in clean energy, speakers at the World Economic Forum in Davos warned that the global energy transition is being slowed less by a lack of capital than by how that capital is deployed.

Around two thirds of global energy investment is now directed towards clean energy, much of it renewable. The funding, several panellists argued, is largely available. Yet progress remains uneven across regions, raising questions over whether investment is reaching the parts of the energy system most in need.

For Paraguay, the constraint is no longer generation. The country already runs its economy entirely on renewable electricity, exporting roughly half of the power it produces, largely from hydropower.