Wind and solar power plants will produce 33% of the world’s energy by 2030

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As highlighted in a report by the Rocky Mountain Institute (RMI), photovoltaic systems and wind turbines together contribute to a significant one-third portion of global energy generation. Currently, these renewable energy sources represent just 12% of the overall global electricity production.

If this increase were to occur, it would signify a near-complete achievement of the global climate objectives. In alignment with the call made by Sultan al-Jaber, President of the UN Climate Summit (COP28), there is a pressing need to triple renewable energy production by 2030. This strategy is crucial for curbing greenhouse gas emissions and successfully attaining the targets outlined in the 2015 Paris climate agreement.

The more, the cheaper

As per the report, the expense of solar energy is projected to decline to $20 (€17.80) per megawatt-hour (MWh) by 2030, a substantial reduction from the current level of about $40 (€35.70) per MWh. This phenomenon can be attributed to the dynamic expansion of solar energy investments and the influence of scale, which will enhance the economic viability of such projects.

Kingsmill Bond emphasizes that rapidly adopting renewable energy offers not only increased energy security but also long-term deflation in energy prices. This is due to the nature of renewable technology, where costs decrease with the expansion of scale.

A record year for RES

Early indications of the robust expansion of Renewable Energy Sources (RES) are already evident. This year is poised to witness a remarkable surge, with the global installed capacity for renewable energy sources projected to increase by 107 GW – marking the most substantial increase ever recorded.

Around two-thirds of this remarkable growth can be attributed to photovoltaics, while wind farms are also set to maintain a parallel growth trajectory. More insights about this trend can be found in the accompanying article. Could 2023 potentially be a groundbreaking year for global RES growth?

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