Putting people at the centre of all clean energy transitions not only improves people’s lives but is also key to successfully implementing energy and climate policies. Local energy communities, or community-based energy projects, are showing clear benefits across the globe in deploying renewable technologies, improving efficiency, supporting reliable power supply, reducing bills, and generating local jobs. At the same time, these initiatives are garnering increased attention as effective vehicles towards more inclusive, equitable and resilient energy systems.
Digital platforms and tools are making it easier to set-up cooperatives, engage stakeholders, make investments and exchange electricity. An increasing number of countries are allocating significant funds to support community-based clean projects. The Italian National Recovery and Resilience Plan has allocated EUR 2.2 billion 1 to support energy communities and self-consumption, while the USD 370 billion United States Inflation Reduction Act of 2022 offers additional financial incentives for community-based clean energy projects. The IEA recently organised discussions to explore and share experiences about the role that energy communities can play in supporting clean energy transitions.
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