Global renewable energy capacity will double by 2027

The International Energy Agency (IEA) predicts the growth of global renewable energy capacities to double by 2027 – up to 5.64 thousand GW. Reuters reports about it with the reference to the IEA report.

It is predicted that the global energy capacity will increase by 2.4 thousand GW in 5 years, which is equal to the total power capacity of China today. Compared to the forecast from 2021, this year’s expectations have increased by 30%.

Problems with energy security due to the war in Ukraine contribute to an increase in investment in renewable energy sources. The expansion of renewable energy capacity is also due to the actions of the US, China and India – the governments of the countries are introducing market reforms to support the construction of new energy complexes faster than previously planned.

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 capitalise on their energy security benefits. The world is set to add as much renewable power in the next five years as it did in the previous 20 years,” said IEA Executive Director Fatih Birol.

According to the IEA, renewables will account for more than 90% of global electricity growth over the next 5 years. Thus, this industry will become the world’s largest source of energy by the beginning of 2025.

Global electricity generation from solar panels will almost triple by 2027, becoming the world’s largest source of energy, while wind generation will double. At the same time, the demand for biofuel will increase by 22% by 2027.

As GMK Center reported earlier, according to the Bruegel analytical center, since September 2021, EU countries have allocated about €600 billion to fight against the energy crisis and protecting consumers from price spikes. At the end of November, Germany allocated more than €262 billion for energy support, Italy – €90.7 billion, France – €69.2 billion, Spain – €38.5 billion.