In 2023, about 510 GW of renewable energy capacity was added worldwide

The International Energy Agency (IEA) published the report “Renewables 2023: Analysis and forecasts to 2028”.

The agency notes (for the umpteenth time) the acceleration of the development of renewable energy sources. In 2023, about 510 gigawatts (GW) of renewable energy capacity were added worldwide, 50% (!) more than in 2022. This growth rate is uniquely strong and was achieved thanks to solar photovoltaics, which accounted for three-quarters of the increase in renewable energy capacity last year, and thanks to China, which installed as much solar generation capacity in one year as the entire world in 2022.

The IEA estimates that approximately 375–405 GW of solar capacity and 108–123 GW of wind capacity will be added globally in 2023. These technologies account for and will account for approximately 95% of the annually introduced renewable energy capacity during the forecast period (until 2028).

The annual increase in solar and wind capacity will double by 2028 compared to 2022 and amount to approximately 710 GW (including solar generation will increase by 540 GW in 2028 in the central scenario).

Solar energy is the clear favorite, and the IEA has significantly revised its last year's forecast for capacity growth, increasing it by as much as 700 GW for the period 2023–2027.

The agency notes that renewable energy capacity is growing so quickly that there is a real opportunity to meet the goal of tripling global renewable energy capacity by 2030. The economic benefits of solar and wind energy also contribute to this. “Onshore wind and solar photovoltaic power plants are now cheaper than new fossil fuel power plants almost everywhere, and also cheaper than existing [that is, depreciated] fossil fuel power plants in most countries,” says IEA Executive Director Fatih Birol (meaning levelized cost units of electricity).

The IEA predicts that the following important milestones could be achieved over the next five years:

• In 2024, solar and wind power together will overtake hydropower in a generation;
• In 2025, renewable energy sources will surpass coal generation in production;
• Also, in 2025, wind energy will surpass nuclear energy in production (the total global production of solar and wind power plants already exceeds the production of nuclear power plants);
• In 2026, solar photovoltaic power will surpass nuclear power;
• In 2028, solar photovoltaic power will surpass wind power.

In 2028, the share of renewable energy sources in global electricity production will reach 42%, and solar and wind energy will collectively supply 25% of global electricity.

Read more about the Energy & Climate Change news updates in the publication Areas & Producers.