Actions speak louder than words when it comes to renewables

One speech at the UN this week grabbed more headlines than all of the Climate Week events in New York managed to generate. 

But when it comes to renewables, progress on the ground is more important than attention. 

And here the facts are clear: renewable energy is cheaper and growing faster than fossil fuels.  

Fortescue Executive Chair and GH2’s founder Dr Andrew Forrest put it like this at the start of the Global Renewables Summit in New York: “Without ending fossil fuels, there will be no lasting stability. The news is good – the economics are with us. Green energy is everywhere. You feel it every day – on your face, your skin, the wind blowing through your hair. It’s the financially sensible decision.” 

European Commission President Ursula von der Leyen agreed, as she opened the summit hosted by the Global Renewables Alliance: “The energy transition has truly taken off. In 2024, almost two trillion dollars were invested worldwide in clean energy, and for every euro spent on fossil fuels, more than two went into clean energy. And the economic case is clear… Clean energy is not only about addressing climate change. It is, in my view, also about energy security and about prosperity.” 

Much has been said about China’s incredible pace of deployment in renewables and green hydrogen. But it is not only China. Take Texas, a state almost synonymous with oil drilling. The state has become the USA’s largest wind producer and a national leader in solar. In India, the pace of renewable installations is spectacular and Australia’s construction of solar and battery storage is off the charts.  

Converting renewable electricity into molecules to reach the last mile of decarbonisation: we need to move faster 

We are making huge strides towards direct electrification, but there is still an urgent need to scale up the production and use of renewable green hydrogen and ammonia to decarbonise sectors like shipping, iron and steel, fertilisers and chemicals. This did not receive the attention needed during New York Climate Week. 

This is where things need to move faster and what GH2 is committed to. 

As part of the World Economic Forum’s Sustainable Development Impact Meetings, GH2’s Jonas Moberg brought together key players to discuss Financing Instruments for Long-Term Green Ammonia Contracts. Together with Hans Olav Raen, CEO Yara Clean Ammonia, and Caroline Pontoppidan, EVP Maersk, they considered how to derisk large-scale renewable fuels projects and identified the most appropriate financial instruments to bridge the gap between short-term procurement and long-term development. GH2 is following up this meeting with a larger group of developers, ship-owners and financial institutions, to identify appropriate solutions and risk-sharing strategies all in the context of the major IMO vote in mid-October.

The climate benefits of hydrogen are a combination of how cleanly it is produced and where it is deployed. At a session on Wednesday hosted by GH2, the Environmental Defense Fund and the Natural Resources Defense Council we discussed the first part of this equation. We considered progress made by the International Organization for Standardization (ISO) on an international standard to measure emissions associated with hydrogen production. As we make clear in this blog, the standard must improve to provide a rigorous underpinning for a truly clean hydrogen industry which governments can use as they develop their own policies and regulations. These standards are not just about producing truly clean hydrogen but are central to how we define green fuels and products associated with green hydrogen: ammonia for ships and fertilisers or iron and steel for cars and construction. GH2 will shortly be consulting on a set of principles to define truly green iron which will be launched at COP30 – watch this space! 

Joe Williams,

Deputy CEO, GH2