UN Chief Urges Aligning AI-Driven Digital Growth with Clean Energy

United Nations (UN) Secretary-General António Guterres on Monday called for bold policy shifts and investment reforms to accelerate the global transition to clean energy.

Speaking in New York at an address titled “A Moment of Opportunity: Supercharging the Clean Energy Age,” Guterres emphasized the pivotal role of energy in shaping humanity’s future and said the clean energy transition must become the “defining project of our time.” “Fossil fuels are running out of road. The sun is rising on a clean energy age. Just follow the money."

He highlighted that global investment in clean energy reached $2 trillion in 2023, which was $800 billion more than fossil fuels and nearly 70% above levels seen a decade ago.

Drawing on fresh data from the International Renewable Energy Agency (IRENA), he noted that solar power, once four times as costly as fossil fuels, is now 41% cheaper, while offshore wind costs have fallen by 53%. Over 90% of new renewable electricity capacity now generates power at a lower cost than the cheapest fossil fuel alternatives.

Six Priority Actions for Accelerating Clean Energy

Guterres outlined six key opportunity areas that governments and businesses must act on to unlock the full potential of clean energy:

1. Strengthen National Climate Plans Ahead of COP30

In his speech, Guterres urged the countries ahead of the upcoming COP30 summit in Brazil this November to submit updated Nationally Determined Contributions (NDCs). These plans must:

• Cover all emissions across the entire economy.

• Align with the 1.5°C climate limit, and

• Integrate energy, climate, and sustainable development priorities into one unified strategy.

He called on leaders to present their plans during the UN General Assembly High-Level Week in September and to adopt clear regulations that support a pipeline of clean energy projects. These policies should promote public-private partnerships, carbon pricing, and end both subsidies and public finance for fossil fuels.

2. Invest in Grid Connectivity and Storage

Guterres highlighted a major infrastructure gap, noting that for every dollar invested in renewable generation, only 60 cents go to grids and storage — a ratio he said should be one-to-one. “We are building renewable power — but not connecting it fast enough,” he warned.

He said that the volume of renewable energy projects awaiting grid connection is triple the amount added last year, and fossil fuels still dominate the global energy mix. He called for investments in modern, flexible, and digital grids, including regional integration to support future energy systems that are “clean, secure, and fit for the future.”

3. Align Digital Growth and AI with Clean Power

With demand for electricity soaring due to rising global temperatures and the growth of digital technologies, Guterres said governments must ensure all new electricity demand is met through renewable sources. He sounded the alarm on AI’s massive energy appetite:

• A typical AI data center consumes as much electricity as 100,000 homes

• The largest centers may soon use 20 times that amount

• By 2030, data centers could consume as much power as Japan uses today

He called on all major tech companies to commit to powering their data centers with 100% renewable energy by 2030. “The future is being built in the cloud. It must be powered by the sun, the wind, and the promise of a better world."

4. Ensure a Just Energy Transition

Guterres called on governments to ensure a just and inclusive transition, with:

• Support, education, and training for fossil fuel workers, youth, women, and Indigenous Peoples

• Social protections to prevent exclusion, and

• International cooperation to assist low-income nations that are highly dependent on fossil fuels

5. Align Trade Policy with Climate Goals

Guterres urged countries to align trade and investment policies with clean energy goals. He explained, “We have a moment of opportunity to use trade and investment to supercharge the energy transition.”

He emphasized the need for:

• Cutting tariffs on clean energy goods

• Unlocking South-South cooperation

• Diversifying and securing supply chains, and

• Modernizing outdated investment treaties, including reforms to Investor-State Dispute Settlement (ISDS) provisions.

6. Reform Global Financial Systems

Only one in five dollars of clean energy investment over the past decade went to emerging and developing countries outside China, Guterres said. To meet global climate goals and ensure universal energy access, investment in these countries must rise fivefold by 2030.

He called for a comprehensive reform of the global financial architecture, including:

• Dramatic increases in the lending capacity of multilateral development banks

• Scaling up debt-for-climate swaps

• Taking effective action on debt relief

• Creating a new approach to risk that reflects the opportunity of clean energy, the rising cost of climate change, and the risk of stranded fossil fuel assets

“We must unite to solve the complex challenges facing some developing countries — such as the early retirement of coal plants,” he said.