It's that time of year when the G20, or Group of 20, meets to discuss the major challenges and opportunities facing the global economy. So, what will world leaders and finance ministers be discussing in 2022? Read on to find out why energy is top of the agenda this year and what that means for everyday Australians.
This year's G20 Summit will explore ways to expedite a Sustainable Energy Transition while securing the global economy for sustainable evolution. After all, if the threat of climate change is to be surmounted, it’s going to require a team effort from countries all around the world, including maintaining their economies along the way.
Still wondering what all this means? We’ve got you covered.
What is the G20 Summit and Why is it Important?
In 1999, the G20 began as a meeting of world finance ministers and central bank governors. In the midst of economic challenges, these representatives came together with the aim of securing international financial stability through agreeing on policies. In 2008, the leaders of the G20 countries came together in the first Summit, now held every year.
The focus of the G20 meetings (held throughout the year) and the Summit, held once a year in different locations, is still economic financial stability throughout the world. In 2022, one of the primary areas of focus is the global transition to clean energy, and how best to tackle this major shift for economies around the world.
The G20 represents 60% of the world’s population, 80% of global GDP and 75% of international trade.
Countries involved are:
Argentina, Australia, Brazil, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Republic of Korea, Mexico, Russia, Saudi Arabia, South Africa, Turkey, the United Kingdom, the United States, and the European Union. Spain is also invited as a permanent guest.
What is this year’s focus?
In 2022, the G20 Summit will be held in Bali, Indonesia. Just following COP27 in early November (which focuses purely on global climate action), the 2022 G20 will be held on November 15-16. In response to the global pandemic and global economic challenges, this year’s theme is “Recover Together, Recover Stronger”. There are three main ‘pillars’ of focus under Indonesia’s G20 presidency:
- Global Health Architecture
- Digital Transformation
- Sustainable Energy Transition
With the question no longer being “if” but “how” the world transitions to sustainable energy, it’s vital for countries around the world to work together to maintain healthy economies and ensure new technologies are as efficient as possible.
Working groups in 2022 include the Energy Transitions Working Group and the Environment Deputies and Climate Sustainability Working Group. Topics of discussion will include Securing Energy Accessibility, Increasing Smart and Clean Energy Technology, and Promoting Energy Financing. All very worthwhile and necessary conversations, if we do say so ourselves!
Focusing on Sustainable Energy Transition
In 2021, the G20 Summit in Rome was accused of ‘lacking ambition’ in their outcomes. Leaders committed to the key Paris Agreement goal of limiting global warming to 1.5 degrees celsius above pre-industrial levels but did not set a target date for zero emissions. They also pledged action against dirty coal plants, and reaffirmed the commitment to activate $100bn for developing countries towards the cost of adapting to climate change (a previously agreed, but unmet target).
In 2022, the G20 is set to again discuss the very real impacts of climate change, with particular emphasis on the economic implications and the urgent need for a transition to sustainable energy sources. Their focus is on the significant investment required for the transition to clean energy, and discussing how to make the evolution most efficient. As mentioned, leading up to the Summit, there are working groups and meetings to discuss important topics in the area.
In Australia, the ongoing discussion is around what we are committed to, and how we can achieve our commitments. Companies like Plico support a sustainable transition to clean energy by providing high quality, affordable solar + battery solutions for consumers who are ready to make the change.
What does all this mean for you?
In Australia, the legislation has now enshrined a target reduction in emissions by 43 per cent below 2005 levels by 2030, and net zero emissions by 2050. With electricity production and consumption contributing among the highest portion of emissions in Australia, the move towards clean energy is critical. Underpinning this move with legislation and support for investment is key, if it’s to be successful.
Put simply, the way we produce and consume energy must change if we’re to meet the challenge of climate change head on. What’s more, the shift must be achievable and sustainable for businesses, employment, consumers and the economy as a whole. And things are changing.
What about Plico’s role in the Sustainable Energy Transition?
Plico is working at the heart of this movement, providing affordable and effective solar + battery solutions to consumers, allowing Australians to make this move now. We’re passionate about making the move to clean energy as accessible as possible for everyone.
As part of our contribution to our future grid we are participating in the RACE (Reliable Affordable Clean Energy) for 2030, helping develop tools to match renewable energy purchasing with user demand. RACE for 2030 is developing customer-focused innovations to ensure we decarbonise the economy, deliver economic benefits and provide clean and reliable energy services for consumers.
AND We’re proud to announce our participation in Project Symphony – WA’s largest DER Orchestration Pilot. Project Symphony is an exciting and innovative project where customer distributed energy resources (DER) like rooftop solar, batteries and major appliances will be orchestrated as a Virtual Power Plant (VPP) to participate in a future energy market unlocking greater economic and environmental benefits for the West Australian community.
Participation in initiatives like these are helping elevate our Virtual Power Plant as the most viable privately-owned energy storage network in WA. So, when you become a Plico member, you can rest assured you’re joining with a community that’s truly doing its part in the transition to clean energy.
If you're looking to transition your household to clean energy and want to find out whether solar + battery is a good fit, we’ve written an article just for you. As you’ll see, there are more benefits than you might think. You can calculate your projected savings with our Solar Savings Calculator or get in touch with one of our switched-on team members by calling 1300 175 426 to see how a solar + battery system can help you save.