- Press Releases
May 12 (Renewables Now) - Global renewable energy additions reached a record 295 GW in 2021 and are expected to grow further to 320 GW in 2022 despite higher raw material prices and supply chain challenges, according to a report by the International Energy Agency (IEA).
Announcing its latest Renewable Energy Market Update on Wednesday, IEA said that renewables are expanding faster than expected this year on policy support in China, the EU and Latin America, while the outlook in the US is dimmed by uncertainty over new incentives for wind and solar and trade actions against solar imports.
It warned that if there are no stronger policies, renewable additions will plateau in 2023 as solar will continue to advance, but hydropower expansion will decline 40% and wind additions will be relatively unchanged.
“Energy market developments in recent months - especially in Europe - have proven once again the essential role of renewables in improving energy security, in addition to their well-established effectiveness at reducing emissions,” IEA executive director Fatih Birol said and urged governments to cut red tape, speed up permitting and provide the right incentives for faster deployment of renewables.
Solar installations are expected to reach 200 GW in 2023, boosted by accelerating growth in China and India. Onshore wind additions are set to recover slightly in 2022 and 2023 after a 32% drop in 2021 from exceptionally high numbers in 2020. IEA said that wind industry growth is handicapped by policy uncertainties and long and complex permitting regulations.
Of the renewable capacity additions last year, 36 GW were in the EU, which marked an almost 30% increase from a year ago and beat the previous decade-old record of 35 GW.