Home → News → Renewable Energy → BlackRock targets a $4 trillion green energy transition by 2035
BlackRock, the global investment management company, announced its intention to advance the transition towards green energy globally, through huge investments amounting to $4 trillion by the mid-2030s. These ambitious plans require close cooperation between the public and private sectors, especially in the Asia-Pacific region, which is a major center for investment opportunities in the field of clean energy.
The BlackRock Investment Institute issued a comprehensive analysis on the potential impact of the world's transition to low-carbon energy sources on investment portfolios. According to estimates, the annual investments required to achieve this goal may reach double previous estimates, equivalent to $4 trillion.
In a related context, Michael Dennis, head of alternatives strategy and capital markets in the Asia-Pacific region at BlackRock, stressed the need to increase capital in both the public and private sectors to finance this huge transformation.
Dennis pointed out that the Asia-Pacific region is at the heart of investment opportunities in the field of energy. There are many opportunities available in both developed and emerging markets.
A report issued by BlackRock Group in 2023 showed that 56% of institutional investors plan to increase their investments in green energy during the next three years, while 46% of them consider the energy transition to be one of the main investment priorities in the near future.
On the other hand, experts believe that supportive government policies are necessary to achieve huge investment goals in the field of green energy, and the Climate Change Mitigation Act that was signed in the United States in 2022 is an example of these innovative policies. This law provided massive government funding to finance projects aimed at reducing greenhouse gas emissions.
It is expected that about 60% of the investments needed to transition towards green energy in emerging markets will come from the private sector. This reflects the trend towards mixed financing and transferring assets into sustainable projects.
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