Food for thought based on an article by Swiss online news magazine Republik.
The global energy landscape is undergoing a fundamental transformation. While some nations are still rolling back their climate policies, investments in renewable energy already exceed those in fossil fuels by a factor of two. Countries such as Turkey and Pakistan are rapidly expanding their solar capacity, and even traditional oil producers in the Gulf region are diversifying their economies. What drives this shift is not only the concern for the planet, but also the economic and geopolitical potential of clean technologies.
Renewable energy sources and Power-to-X (PtX) technologies are changing the balance of power in the global energy system. Unlike fossil fuels, they can be produced locally and offer thermodynamic advantages: less energy is wasted during extraction, conversion, and transport. Sun and wind are available almost everywhere, and the technologies to convert and store this energy—through hydrogen, synthetic fuels, or eMethanol—can be adapted and scaled efficiently. This accessibility allows countries to strengthen their energy independence, reduce vulnerability to external shocks, and create new industrial opportunities.
China recognized these opportunities early, aligning its industrial policy with new energy technologies as early as the 1990s. Other countries followed: South Korea, the UK, and the EU launched strategic programs to secure positions in solar, wind, and battery value chains. The United States joined the race in 2022 with the Inflation Reduction Act. This wave of green industrial policy has accelerated global competition and innovation in Power-to-X and related sectors.
At the same time, the war in Ukraine and tensions in global supply chains have shown how risky it is to depend on imported fossil fuels or critical minerals from a few suppliers. Various countries have responded by investing in renewable power and electric mobility, achieving both economic and environmental resilience. Even oil-exporting nations are now investing in renewable projects and critical materials to secure influence in the post-fossil economy.
To make this new phase of climate geopolitics sustainable, political frameworks must adapt. Experts propose three key strategies:
- Reforming global climate governance (such as the UNFCCC) to focus more on industrial transformation and investment in clean technologies.
- Building strategic investment partnerships that connect industrialized and developing countries to strengthen renewable energy supply chains.
- Creating climate clubs—alliances of countries that coordinate markets, tariffs, and technology standards for low-carbon industries like hydrogen, eFuels, or sustainable steel.
These steps could trigger what some call a “green spiral”: cooperation and competition reinforcing each other, driving technological progress and accelerating the global energy transition. In this new energy order, power will no longer come from oil barrels—but from innovation, technology, and sustainable production – exactly what the vision of SPIN is.