The International Energy Agency (IEA) announced on Thursday that the world experienced a 50 percent surge in renewable energy capacity in 2023 compared to the previous year.
This marked the fastest growth rate in two decades and the 22nd consecutive year of setting new records in renewable capacity additions, as reported by the Paris-based IEA. The significant increase was attributed to China, which is both the largest emitter of greenhouse gases and, according to the IEA, the "world's renewable powerhouse."
The driving force behind the rise lies in the massive expansion of solar and wind power, coupled with a gradual reduction in fossil fuel usage. These efforts are crucial in the global pursuit of limiting the rise in global temperatures to 1.5 degrees Celsius from pre-industrial levels, a target set to combat climate change. Despite the notable progress, the IEA warned that the world is not on track to achieve the goal of tripling renewable capacity by 2030, a target established during the UN's COP28 climate summit in Dubai the previous month.
The COP28 agreement also called for a transition away from fossil fuels, but it lacked a specific timeline and fell short of the "phase-out" demanded by many nations, although opposed by major oil producer Saudi Arabia. The IEA's annual report on the sector anticipates a 2.5-fold increase in global renewable capacity from 2022 levels by the end of the decade, which, while significant, still falls short of the COP28 tripling goal.
IEA Executive Director Fatih Birol emphasised the decreasing costs of onshore wind and solar panels, stating that they are now more economical than fossil fuel plants in most countries. Birol highlighted the need for accelerated financing and deployment of renewables in emerging and developing economies to meet the tripling goal.
The report also revealed that renewable capacity will reach nearly 510 gigawatts in 2023, with solar photovoltaics accounting for three-quarters of global additions. China, in particular, stood out by commissioning as much solar PV last year as the entire world did in 2022. Wind power additions in China rose by 66 percent year-on-year. While progress in Europe, the United States, and Brazil reached all-time highs, the IEA acknowledged that the wind industry faces challenges due to supply chain disruptions, higher costs, and prolonged permitting timelines.
Despite the positive trends, experts cautioned that the growth in renewable energy is still not rapid enough to avert climate catastrophe. The need for urgent action and the transformation of energy systems was emphasised, with calls for increased pressure on governments to translate commitments into tangible results.
