- The World Economic Forum (WEF) urged a fourfold increase in clean fuel investment by 2030 to unlock viable projects and scale deployment.
- The report highlighted the ability of clean fuels to boost energy security and create jobs.
Global investment in clean fuels must quadruple by 2030 to meet international ambitions, according to a new World Economic Forum report. The report outlines policy, business and financing measures that can convert clean fuel goals into viable projects.
Clean fuels include liquid and gaseous fuels such as biofuels, hydrogen derivatives and lower-carbon fossil fuels. They are emerging as a core component of the energy transition. Countries see them as a tool to diversify energy supply, support jobs and reduce emissions in transport and industry.
Today, liquid and gaseous fuels supply around 56 per cent of global energy. The report, titled Fueling the Future, shows how clean fuels can build on existing infrastructure to support economic growth. WEF developed the report in collaboration with Bain & Company.
The Forum also launched a digital playbook to provide case studies and implementation guidance. WEF Energy and Materials Head Roberto Bocca said clean fuels offer a pathway to sustainability without disrupting energy supply.
Moreover, clean fuels currently represent just over 1 per cent of global clean energy investment. More than 25 countries signed the “Belem 4x” pledge at COP30 to quadruple production and use of clean fuels by 2035.
The report states that meeting this ambition will require coordinated action across policy, finance and industry. Governments and companies must bring forward more viable projects that can deliver returns and long-term economic value.
Bain partner Cate Hight said companies have shifted from asking whether to invest to asking how and when to invest. She said successful developers focus on customers, flexibility, partnerships and risk mitigation.
Despite growing interest, many clean fuel projects still face obstacles. These include high upfront costs, uncertain demand, fragmented supply chains and uneven policy environments across regions.
Therefore, the report calls for predictable, performance-based policies and public-private risk-sharing mechanisms. Closer collaboration across value chains will also be needed to align supply with demand and move more projects to investment stage.
The report uses technical and economic modelling and draws on input from more than 30 organisations participating in the World Economic Forum’s Future of Clean Fuels initiative. It defines clean fuels broadly, covering liquid biofuels, biogas, lower-carbon fossil fuels, synthetic fuels and hydrogen derivatives.
It also includes case studies from Latin America, Europe and Southeast Asia that demonstrate how different projects addressed policy, financing and technology challenges.
The clean fuels work forms part of the Forum’s broader efforts to scale climate solutions through platforms. Some of these platforms include the Future of Clean Fuels initiative, Airports Tomorrow and the Transitional Industrial Clusters initiative.