- Press Releases
June 24 (Renewables Now) - Asia Pacific investments in wind and solar generation could reach USD 1.3 trillion (EUR 1.09trn) in the decade to 2030, doubling compared to the previous decade, according to Wood Mackenzie.
This is more than a half of the region’s total expected power generation investments in the current decade of USD 2.4 trillion, which, the analyst firm said, are leading the world.
Fossil fuel power investments are projected to decline by around 25% to USD 54 billion a year.
The decade will see rolling back of subsidies across Asia and continuing strengthening of policy targets and cost declines. According to WoodMac, subsidy-free renewable power will not be competitive to coal power in most Asian markets until 2025 or later.
Asia Pacific wind and solar investments will be led by Mainland China, Japan, India, South Korea and Taiwan region. In the 2021-2030 period, annual wind and solar additions will average at around 140 GW, representing two-thirds of average total power capacity additions in the region by 2030.
China’s 1,200 GW of wind and solar capacity goal by 2030 will require the installation of over 534 GW of renewables over the next decade, which will boost annual wind capacity to over 40 GW from 2021 to 2030, principal consultant Xiaoyang Li said this week as WoodMac held its Asia Pacific Power and Renewables Conference.
WoodMac forecasts that the carbon emissions from Asia Pacific’s power sector will peak at 7.3 billion tonnes in 2025.
“Although we expect a 47% drop in carbon emissions from the power sector from its peak of 7.3 Bt in 2025, inertia in the coal power fleet will prevent Asia Pacific from reaching carbon-free power by 2050,” research director Alex Whitworth said and added that implementing technologies such as carbon capture and storage and green fuels like hydrogen, ammonia and biomass into coal and gas generation will be key in cutting power sector emissions.
(USD 1.0 = EUR 0.838)