In just two short years, renewable sources of energy will overtake coal as the leading global electricity provider. This momentous shift marks an important stride in our journey toward sustainability.
The world is transitioning to renewable energy sources to protect our planet from the hazardous effects of climate change and bolster global energy security. In 2022, the world experienced a surge in the adoption and use of renewable energy as a result of a global energy crisis triggered by Russia’s invasion of Ukraine. This spurred European nations and businesses to rapidly develop alternative ways to power their countries that don’t rely on Russian gas. As per the International Energy Agency (IEA), these five years from 2022-2027 are projected to see twice as much renewable power capacity added compared to the previous five-year period due to a combination of efforts to fight climate change and security concerns.
The Inflation Reduction Act (IRA), passed by the US federal government in late 2022, has provided major incentives for renewables development, and transparent returns on mature technologies with 10-year tax credits have increasingly attracted investors. Private investments in renewables in the United States had already reached $10 billion in 2020, and that number is expected to remain high.
Moreover, China’s 14th Five-Year Plan has led it to account for nearly half of new global renewable power capacity additions during this time frame. It is predicted that over 2,400 gigawatts of renewable power capacity will be added worldwide over these five years – equivalent to the entire current electricity capacity of China – and this figure is 30% higher than what was anticipated just one year prior. IEA executive director Fatih Birol commented on this unprecedented growth: “Renewables were already expanding quickly, but the global energy crisis has kicked them into an extraordinary new phase of even faster growth as countries seek to capitalize on their energy security benefits.”
By early 2025, renewables are anticipated to become the single largest source of global electricity generation – surpassing coal – owing to its continued expansion partly due to supportive legislation and policy initiatives implemented worldwide. It can be said with confidence that we are witnessing an incredibly exciting shift towards cleaner sources of energy at an unprecedented rate!
Jonas Muthoni is an entrepreneur and renewable energy expert. He is the founder of MicroGridMedia.com, a website dedicated to bringing the latest news and information about solar energy and other renewable energy sources to the public. Jonas is passionate about promoting sustainable energy solutions and educating the public about the benefits of renewable energy. He is a regular speaker at industry events and conferences and is committed to driving the transition to a cleaner and more sustainable energy future.