While recognizing that a well-designed regulatory framework that comprehensively addresses the legal, regulatory and institutional aspects is a key determinant of investment in the clean energy transition (figure 2), this Investment Policy Monitor focuses on some of the main incentives and disincentives to clean energy investment. It expands on the findings and analysis presented in the World Investment Report 2023: Investing in sustainable energy for all (WIR23) and further draws from the insights and the discussion at the WIF. First, it reviews and analyses renewable energy policies around the world and identifies the key policy tools utilized by countries in different regions and at different levels of development to promote investment in renewables (section 1). Second, it provides an overview of existing clean energy transition policies in technologies and fuels that would allow the decarbonization of the traditional power sector (section 2). Third, it highlights trends in the evolution of fossil fuel subsidies around the world, which represent a disincentive to the promotion of investment in clean electricity generation (section 3). Finally, it highlights the main findings and policy implications (section 4).
This resource provides further guidance related to the Direct Foreign Investment Supplement of the Climate Investment Planning and Mobilization Framework (CIPMF).