UPDATED 1 Sept: The EI library in London is temporarily closed to the public, as a precautionary measure in light of the ongoing COVID-19 situation. The Knowledge Service will still be answering email queries via email , or via live chats during working hours (09:15-17:00 GMT). Our e-library is always open for members here: eLibrary , for full-text access to over 200 e-books and millions of articles. Thank you for your patience.
New Energy World™
New Energy World™ embraces the whole energy industry as it connects and converges to address the decarbonisation challenge. It covers progress being made across the industry, from the dynamics under way to reduce emissions in oil and gas, through improvements to the efficiency of energy conversion and use, to cutting-edge initiatives in renewable and low-carbon technologies.
Cleaning up: new tools that support green energy finance
4/6/2025
8 min read
Feature
Access to finance might make or break the energy transition. Here, the turbulence in green energy finance is examined, alongside the importance of driving accountability in environmental performance. Two recently-launched tools that help calculate avoided emissions might be just the trick, writes New Energy World Senior Editor Will Dalrymple.
The green economy accounted for $7.9tn at the end of March 2025, according to a new report produced by London Stock Exchange Group (LSEG). This market, which LSEG defines as renewable energy, clean water, energy efficiency, and recycling products and services, consists of about a twelfth (8.6%) of the value of listed equity markets. Considered on its own, it’s the fourth biggest sector after technology, industry and healthcare. The Americas region has the greatest capitalisation; Asia has the most revenues; and emerging market revenues are growing twice as fast as developed markets.
While their 2024 performance kept up with the market, in 1Q2025 the green economy stood slightly lower (3%) than the market. The report identifies three factors in the current ‘turbulence’ being experienced by the market: geopolitical tensions, shifting trade policies and rapid technological change, including from AI.
Although that growth may seem impressive – amounting to 5.6% growth over the past five years – it’s a drop in the ocean compared to the total amount of investment required to achieve net zero by 2050. LSEG’s own estimates, published in 2022, ranged from $109–275tn.