Despite economic uncertainties and differing regulatory environments, investment in green technologies continues to expand. According to the report, the green economy is among the fastest growing global sectors, behind the technology industry. The study highlights advantages for companies that generate revenues from green products and services.
Across the market, green revenues grow at roughly twice the rate of conventional business lines. Companies with significant shares of green revenues also tend to benefit from lower capital costs. Firms with more than 50 per cent of their turnover in green markets often achieve valuation premiums of 12 to 15 per cent, indicating increased investor confidence.
Declining technology costs are accelerating these developments. Since 2010, the cost of solar photovoltaics and lithium batteries has fallen by about 90 per cent, and offshore wind by around 50 per cent. As a result, a growing proportion of low-carbon solutions is cost competitive. The report estimates that 55 per cent of the global emissions reductions required for decarbonisation can be achieved with solutions that are already cost effective, while a further 20 per cent can be reached with minor additional costs. Five per cent depend on behavioural changes. Around 20 per cent of required deep-decarbonisation technologies still face significant cost disadvantages and will require coordinated policy and industry support to reach cost maturity.
These cost reductions are linked to substantial investments in clean energy, particularly in China. In 2024 China invested an estimated USD 659 billion in clean-energy technologies and is expected to account for more than 60 per cent of new global renewable-energy capacity additions through 2030. The country also leads in patents related to solar energy, electric vehicles and battery technologies, influencing supply chains and shifting innovation dynamics.
The report includes 14 case studies from companies in the World Economic Forum’s Alliance of CEO Climate Leaders. These examples illustrate how enterprises are using green markets to strengthen competitiveness. The publication concludes with a framework describing how companies can scale technologies to cost maturity, support regulatory development and mobilise diversified finance to address opportunities in the green economy.
