Environment

Climate change mitigation pathway: The 24-hour economy

It is increasingly perceived as an integrated sustainability solution for transforming how global cities function.

As the sun soars and global cities set record temperatures, climate change is rewriting daily schedules and routines. The 24-hour economy is no longer a buzzword; it is an evolving adaptation of city functionality in the face of rising temperatures and shifting work patterns, from Bangkok to Paris, Accra to Melbourne.

Public spaces, transportation and businesses are searching for cooler evening hours. This emerging trend is more visible in the Global North compared to the Global South. The development and adaptation of the 24-hour economy are influenced by local needs for climate action, economic participation and social inclusion in a rapidly urbanising environment.

As of 2025, 80 cities across 60 countries have adopted the 24-hour economy framework. The shift in the economic pattern of functionality could aid in addressing climate change, promote energy efficiency and help face rising temperatures.

According to UN Habitat, if the world shifts to an around-the-clock urban system, we can balance energy demand, reduce emissions and increase climate resilience.

With rising temperatures and frequent heat waves, more commercial activities are shifting to cooler evening hours to reduce reliance on air conditioning in cities like Paris and Seoul. Public parks, plazas and libraries are open in the evenings to provide thermal comfort and safe spaces.

In Ghana’s smart grid integration, there is a facility for off-peak tariffs and a time-of-use energy system to reduce grid overload. The 24 economy will also reduce the underutilisation of infrastructure, support the circular use of resources, enable shared nighttime infrastructure and allow multiple uses of transportation and storage. Nighttime activities help mitigate extreme heat and enhance urban residents’ quality of life.

This economy will diversify business models, support MSMEs and promote the creative sector by providing employment opportunities through multi-shifts, to drive economic activity beyond daylight hours and by aligning with decent work and economic growth (SDG 8).

This shift promotes safer, inclusive urban environments, transport and services for community residents, aligning with sustainable cities and communities (SDG 11). Opportunities will be created for marginalised and shift work populations to reduce inequalities (SDG 10) by distributing energy demand through night operations, which support resilience to heat waves and align with climate change (SDG 13).

The 24 economy reflects cultural and economic shifts and pressures. Though the sector is growing, it is also facing many challenges, including shrinking profits, rising operational costs and inflation. Many countries worldwide have reported that nighttime participation is declining, especially among younger demographics, due to economic pressures and safety concerns.

The 24-hour economy is a pathway to mitigating climate change, fostering inclusive growth and advancing overall economic development. For the 24 economy to thrive and grow, integrating governance is crucial to ensuring the safety of community residents.

Ensuring that public places are well lit and adequate and safe transportation is available during the nighttime is very important for the sustainability of the 24-hour economy. The 24-hour economy could also strengthen cross-sector collaborations.

A vital call for action is to improve street lighting, provide safety and increase the availability of low-cost transportation. A 24-hour economy is a pragmatic climate solution, as it presents opportunities for energy optimisation, spreads energy consumption and strengthens urban resilience. It is increasingly perceived as an integrated sustainability solution for transforming how global cities function.

© ZAWYA 

GLOBAL BUSINESS AND FINANCE MAGAZINE

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