From Blueprint to Reality 2026

The World Economic Forum’s Transitioning Industrial Clusters initiative comprises 40 active industrial clusters, which collectively deliver an estimated 877 million tonnes of CO2e abatement potential, contribute $508 billion towards global GDP and protect or create 4.6 million jobs.25 2.1 What we can learn from select low-carbon clusters Progress in these clusters relies on both low-carbon projects – such as hydrogen production or carbon capture – and the development of shared, enabling infrastructure. Low-carbon infrastructure includes transport and storage (T&S) or hydrogen pipelines and storage hubs that connect multiple projects. This report highlights the following three broad models or archetypes for financing and developing low-carbon projects within industrial clusters (see Table 1): Government-enabled financing In countries with a robust and supportive policy environment, where investors have a clear view of government support mechanisms, projects can raise financing from multiple sources, including commercial project financing alongside capex investment from developers. Public capital-led financing This approach occurs in locations where there is some strategic policy direction, but – given that external investors and financiers sense less certainty around government incentives – cluster administrators play a more active role in de- risking projects. Single developer-led financing In locations where projects cannot directly access government support, but there is strong demand for clean technologies, individual developers often deploy substantial capital to move projects forward, taking on early-stage technology and market risk. A key enabler in these cases is their ability to drive down costs and secure long-term offtake agreements. 877 million tonnes of estimated potential 4.6 million $508 billion contribution towar ds global GDP Government-enabled financing Policy environment: Advanced, clear regulations and incentives for projects. Financing: Projects achieve bankability due to regulatory certainty, unlocking private sector investment at scale. Governance: Cluster administration is largely facilitative; private actors set the pace.Public capital-led financing Policy environment: Moderate, with some strategic direction and enabling regulation but less certainty. Financing: Cluster administrators (often public authorities) act as anchors – seeding projects, offering guarantees or directly co-investing. Governance: Cluster administrators often intervene financially and play a central role to align stakeholders and de-risk investment.Single developer-led financing Policy environment: Limited incentives or guidance for low-carbon projects in clusters. Financing: A single developer drives project and infrastructure development. Governance: Little coordination at the “supra-cluster” level; project success relies on the sponsor’s commitment and available capital.Three cluster archetypes TABLE 1CO 2e abatementactive industrial clusters in the Forum’s Transitioning Industrial Clusters initiativejobs protected or created40 From Blueprint to Reality: A Stronger Business Case for Shared Energy Infrastructure 13