The global renewable energy market is making up for losses during the pandemic

As per the International Energy Agency, the renewable energy market is experiencing a recovery following the challenges posed by the pandemic, including issues related to inflation and disrupted supply chains. It is anticipated that 2023 will emerge as a record-breaking year for this sector.

The report released by the International Energy Agency forecasts that the renewable energy projects scheduled for implementation in 2023 will collectively possess a capacity of 440 gigawatts (GW).

Renewable energy growth by technology

Photovoltaic systems are clearly the dominant technology among the projects to be implemented in 2023. The total installed capacity of these new projects is anticipated to reach 287 gigawatts (GW). This marks a notable increase from the 220 GW installed in the previous year.

Wind energy has also experienced substantial growth, with offshore wind farms launched in 2023 boasting a total capacity of 17 GW, compared to 11.4 GW in 2022. In the case of onshore wind farms, there has been an almost 40 GW increase, rising from 63 GW in 2022 to over 107 GW in 2023.

However, it’s worth noting that the only segments of the renewable energy market that have seen declines compared to the previous year are hydropower and biomass-based energy.

Catalysts for renewable energy growth

The significant advancement of the renewable energy sector can be attributed in large part to the increasingly favorable policies of the European Union, the United States, and India. It’s noteworthy that the impetus for the introduction of new regulations within the EU is, to a significant extent, driven by concerns about energy security due to Russian aggression against Ukraine. This situation has pushed European countries to seek innovative solutions.

China’s role as a global leader in the renewable energy industry is also on the rise. Projections indicate that by 2024, they will contribute approximately 70% of the power generated by all offshore wind energy projects and 50% of the power from photovoltaic (PV) projects.

For the complete report, you can refer to the link provided.

Source: IEA.org