A new report by CAN International exposes how the transition to renewable energy is systematically overlooking people’s needs and rights, as well as countries’ sovereignty.
The study, which analyses recent developments in 16 countries, finds that the current transition is failing to be just and equitable, prioritising profits over people, and de facto replicating the same old injustices of the fossil fuel industry.
Four rich countries, together with their corporations, are continuing to engage in extractivist practices: Canada and Australia (extracting transition minerals), Germany (pushing for a risky and unlikely “green” hydrogen market) and Japan (extracting forests, under the claim of scaling up “renewable” energy). China and the UAE follow suit.
Across the 16 countries analysed, 47% of the prospective renewable energy capacities would come from “giga” projects (>1GW). The report exposes how these projects – among other export-oriented projects developed by and for foreign companies – pose significant risks for local communities and workers and divert essential resources from needed domestic action.
Jacobo Ocharan, Head of Political Strategies at CAN International, said: ‘’The transition to renewables is being built on the same flawed foundation of extraction and exclusion that defined the fossil fuel era. A people-centered, equitable approach supported by strong public policies, international cooperation, and alternative ownership models is essential to ensure that the benefits of renewable energy are widely shared, and its risks minimised.’’
Janet Milongo, Energy Transition Senior Manager at CAN International, said: ‘’We must fundamentally shift course. This requires systemic change, and international and national policies that put people first and hold corporations and governments accountable. As documented in the report, successful alternatives already exist, such as the solar rooftop boom in Pakistan, the widespread adoption of ‘balcony solar’ kits in Germany, and a growing number of renewable energy projects led by Indigenous Peoples and communities in Canada and Australia. We need bold policies to urgently scale up these solutions, with justice at their core – ensuring that no one is left behind.”
With a series of upcoming multilateral moments (NDCs assessment, COP30, G20 summit), the report provides recommendations to governments and policymakers:
- Establish a Just Transition Global Mechanism at COP30 to foster international cooperation around renewable energy and transition minerals.
- Strengthen international and national policies to hold corporations accountable, mandate human rights due diligence, and community engagement.
- Support community-led renewable energy and alternative models of ownership, and ensure that Indigenous Peoples, tenants, poorer and rural households are not left behind.
Julie Ducasse, Renewable Energy Coordinator at CAN International, lead author, said: “In too many places, the private sector is turning potential benefits (local jobs and ownership, lower bills, improved access to energy, economic diversification) into missed opportunities. It is time for countries and communities to reclaim these benefits. This is not a distant ideal: when the right policies and incentives are in place, locally driven and people-led projects are thriving. This is also not a matter of justice only: without the active participation of communities and households, the transition will simply not happen at the scale and pace needed.”
Caroline Avan, Head of Programme, Natural Resources and Just Energy Transition, Business & Human Rights Resource Centre, said: “The case has never been clearer: a people-centered energy transition is the only way to deliver a fast and fair energy transition. As the Renewable Energy Tracker clearly demonstrates, we are at a tipping point: renewable energies are not only the essential infrastructures of our future global energy system, but they also have the potential to contribute to advancing human rights, build a fairer global economic order and achieve climate justice for all. The time is ripe for convergence of actions between policymakers, companies and civil society.”
Frosina Antonovska, Climate and Energy Policy and Network Coordinator for Western Balkans, CAN Europe, said: “While countries in the Western Balkans are still struggling to develop their coal phase-out strategies and advance just transition toward a renewable-based, decentralised and nature-friendly energy system, they now face an additional challenge – the growing pressure of foreign extractivism interests. To ensure that the benefits of the transition are shared equitably, people and local communities must be at its core. Otherwise, we risk deepening existing inequalities and vulnerabilities and ultimately undermining any climate justice efforts.”
Stefan Gsänger, Secretary General of World Wind Energy Association, said: “The third edition of the Renewable Energy Tracker is an impressive piece of work and an important tool for measuring countries’ progress towards a worldwide transformation to 100% renewable energy. It is especially useful that this year’s edition also analyses socio-economic progress, including community energy.”
Sunil Acharya, Just Transition Campaign Manager, Recourse, said: “A just transition cannot be outsourced to private investors. International Financial Institutions (IFIs) claim to enable clean energy but continue to push a failed privatisation model. They must stop funding false solutions and instead back public and community-led renewable energy systems that deliver affordable power and energy sovereignty.”