Governments need to be smarter with energy policy

Power generation spend needs to double in 20 years to meet surge in electricity demand

Spending on power generation will have to double over the next 20 years to keep up with soaring demand, posing a stark challenge for governments and investors to deliver low-carbon, secure and affordable energy. “Annual investment in power generation will have to increase from $400 billion annually now to $800bn by 2030,” Guy Turner, chief economist at Bloomberg New Energy Finance, told delegates at WEC 2013. To ensure the vast amounts of new investment materialise, Turner said, governments will have to strike the right balance between predictability and flexibility. They have to provide stable, long-term direction for investors, but also ensure policies keep up with market and technological