Powering Up theGlobal SouthThe cleantech path to growthOcto ber 2024Executive SummaryGlobal South countries are deploying cleantech rapidly,and will continue to doCapex parity opens the door.Thehalving of solar and battery costs in 2023 meansso as their path to growth.that theup-front cost of solar has fallen to thesame level as fossil generation,andThe GlobalSouth needs energy.Across Africa,Latin America,South Asia andthe purchase cost of electric vehicles is fallingto below that of petrol vehicles.ThisSoutheast Asia,energy demand per person is only 32 GJ peryear,a fifth of theencourages cleantech solutions over fossil in spite of the higher cost ofcapital.amount in the Global North,and 41%of people live in countries where electricityChinese supply makes change easier.China has already announced enoughdemand per person is below theglobal energy minimum of 1 MWh/y.cleantech capacityto supply all of the demand of the Global South,and since 2023The GlobalSouth lacks fossil fuels.With 60%of the global population,the Glo balSouth has only 20%6 of fossil fuel production and reserves,and oil and gas productionThe revolution will continue.By 2030 theGlo bal South is likely to increase itsare in decline.As a result,it is already a net importer of fossil fuels,with Indiaforelectricity generation from solar and wind by over four times,to above 2,000 TWhper year.But is rich in renewables.The Global South has 70%of global renewable potential,The cheapest route to growth in history.The rapid growth of renewables providesand 50%6 of cleantech minerals.Their renewable resource is nearly 400 times largerthe foundation for higher levels of electricity supply,which in tum will drive growth.than their current fossil fuel production.By 2040,total electricitysupply could be up to 40%higher than business as usual.Three quarters ofthe Global South is in the sweet spot.73%of the Global SouthPeak fossil fuel demand.Fossil fuel demand forelectricitywill peak by 2030 in the(by energydemand)falls under fourcriteria that encouragecleantech adoption:Global South,and the remaining areas of demand growth arelimited as theresult ofongoing electrification and efficiency.The Global South will not serve to prop upThe revolution has begun.In 2024,87%of Glo bal South capex on electricityWe need to do more.Two key areas of the Global South are not yet adoptinggeneration will flow into clean energy,and the IEA expects new solar and windcleantech-low income countries (6%ofenergy demand)and fossil fuel exporterscapacity to increase by60%to 77 GW.Solar and wind generation has been growing(21%of demand).But even here we see signs of change,for examplein Ethiopia andat 23%peryear for the past 5 years,supplies 9%of electricity generation,and is onlyColombia.5 years behind theGlobal North.Electrification is already at 75%of Global NorthHow to speed up change.Many solutions exist to speed up change includinglevels,and growingfaster.domestic policy to encourage theadoption of cleantech and attract invest ment,Leaders are outpacing the Global North.One fifth of the Global South,from BrazilMDB reform,catalytic and concessional finance directed especially to poor andto Morocco,from Bangladesh to Egypt and Vietnam,has alreadyovertaken thevulnerable countries,and technology transfer.As COP29 approaches,now is theGlobal North in terms of the share of solar and wind in electricity generation,orthetime for NDCs to reflect thenew economic reality of cleantech.share of final energy from electricity.2