Report: Renewables Set to Break New Records Despite Headwinds in 2022

Emmanuel Addeh 

New capacity for generating electricity from solar, wind and other renewables increased to a record level worldwide in 2021 and will grow further this year, the International Energy Agency (IEA) has said.

The world added a record 295 gigawatts of new renewable power capacity in 2021, overcoming supply chain challenges, construction delays and high raw material prices, according to the body’s latest renewable energy market update. 

Global capacity additions are expected to rise this year to 320 gigawatts,  equivalent to an amount that would come close to meeting the entire electricity demand of Germany or matching the European Union’s total electricity generation from natural gas, the report said.

Also, solar energy is on course to account for 60 per cent of global renewable power growth in 2022, followed by wind and hydropower, the IEA noted.

In the EU, annual additions jumped by almost 30 per cent to 36 gigawatts in 2021, finally exceeding the bloc’s previous record of 35 gigawatts set a decade ago.

 “Cutting red tape, accelerating, permitting and providing the right incentives for faster deployment of renewables are some of the most important actions governments can take to address today’s energy security and market challenges, while keeping alive the possibility of reaching our international climate goals,” IEA Executive Director Fatih Birol, said.

Renewables’ growth so far this year is much faster than initially expected, driven by strong policy support in China, the European Union and Latin America, which are more than compensating for slower than anticipated growth in the United States. 

But in the absence of stronger policies, the amount of renewable power capacity added worldwide is expected to remain flat in 2023, as continued progress for solar is offset by a 40 per cent decline in hydropower expansion and little change in wind additions.