How to reach net-zero: Incentives for clean electrification

Reaching net-zero by mid-century will rely on massive, clean electrification. There are six critical actions for the 2020s that will enable that necessary scale up in electricity deployment.

The second action is setting up appropriate incentives for renewables deployment. This includes power market design as it can make or break the investment case. To incentivise clean electrification, we will need financial incentives and subsidies (e.g., zero-interest loans for heat pumps) as well as standards and regulations (e.g., quotas for electric vehicle sales). The removal of all remaining fossil fuel subsidies is also a prerequisite to set the right incentives.

Watch the video to find out what other actions are needed to ensure a prosperous, greener economy is in reach.