Wind power has the potential to unlock largely untapped socioeconomic and environmental opportunities in the developing world over the next four years and could provide up to 2.2mn energy jobs in fast-growing economies.

By prioritising investment in renewables and boosting a green economy recovery from the global coronavirus (COVID-19) pandemic, countries such as India, the Philippines and South Africa could stimulate rapid economic growth, the Global Wind Energy Council (GWEC) said in a report.

Up to 20 GW of additional onshore and offshore wind capacity could be built in the five countries, which could save up to 714mn tonnes of CO2 emissions over the lifetimes of the wind farms.

 

Clear policies

The GWEC said in its report, called Capturing Green Recovery Opportunities from Wind Power in Developing Economies, that clear policy commitments were needed to mobilise private investment in wind energy in the developing world.

The report focuses on five countries – Brazil, India, Mexico, the Philippines and South Africa – each of which face particular challenges due to COVID-19, but which have significant untapped wind energy resources that could unlock rapid economic growth under green recovery measures.

The report attempts to define the impact of pursuing a green recovery strategy, where public policy shifts towards the clean energy transition to accelerate deployment of wind projects over the next five years.

The report finds that a green recovery has the potential to help the countries meet their energy and climate goals and would enable them to realise a range of socioeconomic benefits from long-term job creation to cleaner air and water conservation.

As report comes as G20 finance ministers and central bank governors meet in Jakarta to discuss sustainable finance under Indonesia’s G20 presidency.

“Governments need to use forums such as the G20 to turn promises, targets and ambitions into decisive interventions that provide the foundations for local communities and the private sector to make the energy transition a reality,” said GWEC CEO Ben Backwell.

“The transition to clean energy is a key priority for Indonesia’s G20 presidency this year, and this report shows the scale of opportunities at stake: a transformed world delivering jobs for people, value for economies and zero emissions, helping us all reach net zero.”

 

Country by country

The report found that current wind capacity forecasts for 2022-2026 in the five countries amount to 42.3 GW. By pursuing a more aggressive green recovery, the five have the potential to install 61.2 GW, almost 50% more than currently forecast.

The report finds that the total upside for green recovery measures across the five countries examined includes 2.23mn full-time equivalent jobs over a 25-year lifetime of wind projects, and nearly 20 GW of additional wind power installations. This is enough to power roughly 25mn homes each year from 2026 onward, and potentially save the equivalent of 714mn tonnes of CO2 emissions over wind farm lifetimes.

Brazil, for example, could create an extra 575,000 jobs over wind farm lifetimes if it opted for a green recovery over a business as usual approach.

The country could add billions of gross value to the economy and power millions more homes with clean energy using this approach – all while seeing a more than 40% reduction in carbon emissions over that time.

India could save an extra 229mn tonnes of CO2e over the lifetime of a wind farm – around 25 years – while also creating more than a million green jobs.

Mexico could more than double its projected carbon emissions equivalent saved by replacing fossil fuel generation if it pursued a green recovery approach for wind energy. This could be transformative, generating nearly one-quarter of a million new jobs and adding $3.5bn in gross value to the economy, over a wind farms lifetime.

In South Africa, the coal to clean journey – kick-started with an $8.5bn financing package agreed at COP26 – could deliver an extra 250,000 jobs and more than $10bn gross value added to the economy over 25 years if an ambitious green recovery is pursued.

This would also deliver enormous decreases in carbon emissions equivalent, as well as save more than 50mn litres of water annually from 2026.

The Philippines could see more than $1.1bn of gross value added to the economy, with more than 1,650 MW of wind installations completed under a more ambitious approach. Those installations would support a 70% increase in jobs as well as saving more than 65mn tonnes of carbon emissions equivalent.

“Policy commitments, investment in expansion of grid and transmission infrastructure, as well as simplifying the permitting schemes for renewable energy projects are the common recommendations across each country studied in this report. Addressing these barriers proactively, in co-ordination with the wind energy industry and other relevant stakeholders, can support accelerated deployment of wind energy and a green recovery in emerging economies,” Backwell said.

Mike Blanch, associate director, BVGA Associates, which co-wrote the report, said: “Wind energy can deliver a green economic recovery and cheap energy. The report includes recommendations on how to strengthen policy, transmission and permitting to create jobs and establish local supply chains.”