Global renewables switch to high gear
Global growth in capacity of renewables to rise by 107 GW in 2023 to more than 440 GW.
Image for illustration purposes.
France, Paris: Global growth in capacity of renewables to rise by 107 GW in 2023 to more than 440 GW.
The world’s total renewable electricity capacity is expected to rise to 4,500 GW, equal to the total power output of China and the US combined, representing the largest absolute increase ever.
The IEA’s new Renewable Energy Market Update tributes this blast-off to the global energy crisis. It is expected that the new renewable power projects will increase by a third in 2023 thanks to the growing policy momentum, higher fossil fuel prices, and energy security concerns.
New policy measures in the US and India over the next two years, Europe turning to renewables in response to the energy crisis and China securing its leadership position all account for almost 55 % of the global increase slated for 2023 and 2024.
IEA Executive Director Dr Fatih Birol said solar and wind are leading the rapid expansion of the new global economy. “This year, the world is set to add a record-breaking amount of renewables to electricity systems – more than the total power capacity of Germany and Spain combined. The global energy crisis has shown renewables are critical for making energy supplies not just cleaner but also more secure and affordable – and governments are responding with efforts to deploy them faster. But achieving stronger growth means addressing some key challenges. Policies need to adapt to changing market conditions, and we need to upgrade and expand power grids to ensure we can take full advantage of solar and wind’s huge potential,” said Birol.
Solar PV additions will account for around two thirds of the 2023 global renewable capacity increase and are expected to grow in 2024, according to the report. Large-scale solar PV plants are growing alongside smaller systems. Higher electricity prices are stimulating the increase in rooftop solar PV, empowering end-users to reduce their energy bills.
Manufacturing capacity for all solar PV production segments is expected to more than double to 1,000 GW by 2024. This is led by China, and increasing supply diversification in the US, India and Europe. The report states that the world will have enough solar PV manufacturing capacity by 2030 to comfortably meet the level of annual demand projected in the IEA’s Net Zero Emissions by 2050 Scenario.
Wind power projects are predicted to recover and rise sharply in 2023, growing by almost 70 % due to the completion of projects delayed by COVID-19 restrictions in China and supply chain issues in Europe. Continued growth in 2024 will depend on whether governments provide better policy support. The wind turbine supply chain the world over is not growing fast enough to match the accelerating demand in the medium-term due to increasing commodity prices and supply chain challenges.
The forecast for renewable capacity in Europe has been revised upwards by 40 % compared to their situation before the conflict in Ukraine which forced European countries to boost solar and wind in order to reduce their reliance on Russian natural gas.
Policies need to focus on timely planning and investment in grids in order to securely and cost-effectively integrate high shares of variable renewables in power systems, says the IEA.
Source: ESI Africa
#IEA#Net Zero Emissions by 2050 Scenario#Renewable Energy Market Update