Transition to clean energy a huge economic opportunity: UN climate chief Stiell

Despite setbacks from an unfavourable COP29 finance outcome and U.S. withdrawal from the Paris Agreement, UN Climate Chief Simon Stiell remains optimistic about the $2 trillion clean energy boom.

In an interview with Hindustan Times, he discusses how countries, including India, can benefit from the energy transition. Edited excerpts:

How does UNFCCC plan to mobilise countries to submit updated NDCs for 2035?

Over 170 countries have indicated they are working on their new national climate plans, and the vast majority plan to submit this year. Brazil and the UK have already submitted bold new plans, because it’s entirely in the interests of their economies and their citizens.

From the conversations I’ve been having, countries are taking the work on their new NDCs extremely seriously, which isn’t surprising given these plans will be key to ensuring their country benefits from the clean energy boom – worth $2 trillion (Rs. 174 lakh crore) already.

In India alone, estimates suggest that increasing clean energy investment by 2 percent of GDP every year will generate about 13 million new jobs each year. In short, updating these national climate plans is vital to create stronger economies and societies, with more jobs, equality, better health and rising living standards.

How can the world address climate change now that the U.S., the largest historical polluter, has backed out?

The door remains open for the United States to continue leading on climate action. Some of the largest US states—some with economies bigger than many G20 countries—have signalled they intend to continue strong climate actions because of the huge economic growth, job benefits, and competitive advantages this brings.

The global clean energy boom presents a massive economic opportunity, with enormous profits, economic growth and jobs for those who embrace it. The nations that set the strongest targets and plans will ultimately be the biggest economic winners. For India too, this is a moment of transformation—building on its leadership on solar energy and in global climate negotiations to become an entrenched global clean energy superpower, to the vast benefit of its citizens, businesses and nation-wide economy.

What signals are you getting from developing countries on increasing ambition, particularly after COP29

Major developing countries like Brazil are submitting plans now because it’s entirely in their national economic interest to do so. But we can’t ignore that for many developing nations – especially the most vulnerable – more and better climate finance is essential, as they struggle under huge debt servicing costs and deal with sky-high costs of capital.

The new global climate finance goal we agreed in Baku was an important step forward. But it will clearly not initially meet every need. I see $300 billion as a baseline not an endline. This year we need to work out how we go further.

What role can India play in climate negotiations going forward?

Climate negotiations benefit from an active and engaged India. As both a respected and influential developing country and a clean energy powerhouse, India can push for stronger commitments from other countries while championing fair climate finance.

But climate cooperation isn’t just about negotiation. It’s about working together to achieve what we agree. To turn words on paper into vast solar arrays, windfarms, storm shelters, and resilient infrastructure. This is where India has so much more to gain still, and to offer the world.

In addition, Prime Minister Modi’s LiFE initiative can inspire millions of people and communities to change behaviours and embrace sustainable consumption and a circular economy.