The real economic impact of clean energy
Deutsche Welle
February 26, 2026
AI-Generated Deep Dive Summary
The US Energy Secretary, Chris Wright, has sparked controversy by claiming that the transition to renewable energy is harming Europe's economy. Speaking during a visit to Europe, Wright urged the International Energy Agency (IEA) to shift focus from clean energy to fossil fuels, arguing that policies promoting energy transitions have reduced economic opportunities for Europeans. He criticized the IEA's commitment to reducing greenhouse gas emissions as a "destructive illusion," warning that the US might withdraw from the agency if it continues its climate goals.
However, experts like Sam Alvis of the Institute for Public Policy Research refute Wright's claims, emphasizing that renewable energy has not hurt Europe's economy. Over 25% of Europe's energy now comes from clean sources, with solar and wind being the cheapest forms of energy available. The cost of solar panels has dropped by 90% over the past decade, making renewable energy more accessible and economically beneficial. This shift is particularly crucial for regions like Spain, where a rapid transition to wind and solar energy has significantly reduced electricity costs.
Wright's argument also conflicts with evidence showing that extreme weather events linked to climate change have caused $120 billion in damages globally. While his report downplays the economic impact of rising temperatures, experts highlight the long-term benefits of transitioning to clean energy, including energy security and reduced dependence on volatile fossil fuel prices. Europe's recent concerns about rising LNG imports from the US after losing Russian supplies further underscore the need for sustainable energy solutions.
The
Verticals
worldpolitics
Originally published on Deutsche Welle on 2/26/2026