CO2 emissions from power generation will peak in 2026, and be 4% lower in 2040 than they were in 2016, says Bloomberg New Energy Finance.
Much of this will be due to ‘unstoppable’ renewable energy sources undercutting the majority of existing fossil fuel power stations, with the cost of solar dropping 66% by 2040, and onshore wind by 47%.
In that time, almost three-quarters of the projected $10.2trn (£8trn) investment in new power-generating technology will go towards renewables.
The report highlights how China and India could be a $4trn opportunity for the energy sector, accounting for 28% and 11% of all power-generation investment by the end of the next decade.
In addition, it shows that solar energy is at least as cheap as coal in Germany, Australia, Spain and the US, but will also be less expensive in China, India, Mexico, Brazil and the UK by 2021.