Evidence has emerged linking supply chains for renewable energy products to modern slavery and human rights abuses, says a new report by the Clean Energy Council of Australia and law firm Norton Rose Fulbright. Abuses most often occur in the later tiers of the supply chain and are hard to document. The main points of exposure include the manufacture of components and the extraction of raw materials. In some instances, such as producing polysilicon, a key component in solar panels, the primary market that uses the product linked to modern slavery is renewable energy. In other cases, renewable energy is just one of many end users.

The consumption of hydrogen by G7 countries could grow seven-fold by 2050, says the International Renewable Energy Agency (IRENA). G7 countries could be front-runners in low-carbon and green hydrogen deployment because of access to capital, presence of heavy industry, availability of renewables, existing local green hydrogen industry and technical know-how. Continuously low renewable power costs have made green hydrogen an attractive option for hard-to-abate sectors like chemical production, steelmaking, long-haul aviation and shipping, says IRENA.

Cutting fossil fuel subsidies will free up more cash for the energy transition. Over $1 trillion of external finance needs to be mobilised by 2030 to support the decarbonisation efforts of emerging markets and developing countries, except China. Total annual investment needs for these countries is estimated to be $1 trillion in 2025 and $2.4 trillion by 2030. Reducing fossil-fuel subsidies would free up fiscal space and improve incentives for private investment created by instruments such as carbon tax mechanisms.