Which Is The Fastest Growing Source Of Power On Earth?
As global warming and climate change threaten our planet, the growth of renewable energy has become more crucial than ever. Renewable energy comes from natural sources that are constantly replenished, such as sunlight, wind, water, plants, and geothermal heat. In contrast to fossil fuels like oil, coal, and natural gas—which are finite and release greenhouse gases into the atmosphere when burned—renewable energy sources are clean and sustainable. According to the U.S. Energy Information Administration, renewable energy accounted for nearly 12% of total U.S. energy consumption and about 17% of electricity generation in 2019. With concerns about energy security, energy access, climate change, and air pollution driving an urgent need to transition away from fossil fuels, renewable energy is the fastest growing source of power globally.
Solar Power Growth
Solar power capacity has seen tremendous growth over the past decade. According to data from Bloomberg New Energy Finance, solar power generation capacity increased by over 50 times from 2004 to 2014, growing from 4.7 GW to 227 GW. In 2016, solar power was the fastest growing source of new energy worldwide, accounting for around 47% of all new power capacity added globally.
The International Energy Agency (IEA) reported the total global solar PV capacity at the end of 2016 was 303 GW, up from around 1 GW in 2000. In 2016 alone, solar PV capacity increased by 50% compared to 2015. The IEA projects global solar PV capacity to reach over 1,000 GW by 2022. Much of the growth has been driven by China, which now boasts over a quarter of the world’s total solar PV capacity.
According to the Solar Energy Industries Association (SEIA), in the United States the solar industry has grown by over 10,000% in the past decade, from 1.2 GW in 2008 to 30 GW in 2016. The amount of solar energy installed in 2016 was double what was installed in 2015. SEIA expects solar installations to triple over the next 5 years, with total installed capacity reaching 100 GW by 2021, enough to power 20 million homes.
Wind Power Growth
Wind power has seen rapid growth over the past decade as costs have declined and technology has improved. According to the U.S. Department of Energy, total installed wind power capacity in the United States grew from 10,000 megawatts in 2006 to over 120,000 megawatts in 2021, an over 10-fold increase in just 15 years (https://go.gale.com/ps/i.do?id=GALE%7CA346626657&sid=googleScholar&v=2.1&it=r&linkaccess=abs&issn=00108049&p=AONE&sw=w). The American Wind Energy Association reports that wind generated around 9% of total U.S. electricity in 2021, up from just 1.5% in 2006. Similarly, annual wind power generation increased from 26 billion kWh in 2006 to 338 billion kWh in 2021.
Globally, wind power capacity and generation have also risen substantially. According to the Global Wind Energy Council, worldwide installed wind capacity grew from 74 gigawatts in 2006 to over 840 gigawatts by the end of 2021, more than a 10-fold jump. The GWEC estimates global wind generation increased from 136 terawatt-hours in 2006 to over 1,500 terawatt-hours in 2021.
While growth rates are expected to slow somewhat, most projections still show robust expansion of wind power in the years ahead as technology improves, costs decline further, and more regions invest in wind farms.
Other Renewables
In addition to solar and wind power, there are a few other renewable energy sources that are experiencing growth, but not nearly as rapidly. These include hydropower, geothermal power, and biomass energy.
Hydropower harnesses the energy from flowing water to generate electricity. It accounts for over 16% of electricity generation globally, making it the largest source of renewable power. However, most suitable sites for large hydro dams have already been utilized, limiting growth potential. Smaller run-of-river projects still provide opportunities for expansion.1
Geothermal energy utilizes underground reservoirs of steam or hot water to drive turbines and produce electricity, or directly for heating purposes. It currently provides less than 1% of global electricity generation, but has potential for growth in countries with substantial geothermal resources like Iceland and Indonesia.2
Biomass power is generated by burning organic matter like wood, agricultural waste, and trash in power plants. It accounts for nearly 2% of global electricity production. While biomass can provide firm renewable capacity, sustainability concerns exist around impacts on land use, biodiversity and emissions.3
Fossil Fuels Decline
The share of fossil fuels in the global energy mix has been declining in recent years. According to the International Energy Agency (IEA), the share of fossil fuels in total primary energy demand fell from 81% in 2020 to 80% in 2021 (1). This marked the lowest fossil fuel share since 2000. The IEA projects the share will continue falling, reaching 74% by 2030 if current climate pledges are fully implemented (2).
Coal has seen the steepest decline among fossil fuels. Global coal demand fell by 4.5% in 2020 and another 4.5% in 2021, marking the largest two-year decline since at least 1960 (3). The declines have been driven by reduced coal power generation in advanced economies like the U.S. and Europe as well as slowing growth in coal consumption in China and India.
Oil and natural gas have fared better than coal so far, but are also projected to see declining market shares in coming decades. The IEA predicts oil demand will peak in the mid-2020s. Natural gas is expected to keep growing in the near term before plateauing in the 2030s.
What’s Driving Renewables Growth?
There are several key factors driving the rapid growth of renewable energy sources like solar and wind power worldwide:
Improving technologies – Both solar panel and wind turbine technologies have improved dramatically in efficiency and lowered in cost over the past decade. Solar panels are now over 20% more efficient than just 5 years ago. Innovations like thinner silicon wafers and improved inverters have boosted solar efficiency.
Falling costs – As technology improves, costs fall. The cost of solar energy has dropped over 70% in the last 10 years. The lifetime cost of wind power has fallen by nearly 40% in the past decade. As renewables get cheaper they become more competitive with fossil fuels.
Policy incentives – Government tax credits, subsidies, and renewable energy standards have made investing in solar and wind more financially appealing. Over 130 countries now have renewable energy policies and targets in place. The renewable portfolio standards enacted in many U.S. states require utilites to increase their renewable energy mix.
Future Projections
Expert forecasts predict continued strong growth for renewable energy in the coming years and decades. The International Energy Agency (IEA) projects that 90% of new power generation capacity added between 2019 and 2024 will come from renewable sources.[1] This will be driven by further reductions in cost and increased competitiveness with fossil fuels. The share of renewables in global power generation is expected to rise from 26% in 2018 to 44% by 2040 under the IEA’s stated policies scenario.
Many experts believe the growth will be even faster than these mainstream forecasts predict. Greenpeace and other environmental organizations have consistently produced the most accurate projections, forecasting more rapid declines in renewable energy costs and higher adoption rates. They predict renewables could supply 65-70% of global electricity by 2040 if governments accelerate policy support and clean energy investments.[2]
Challenges
While renewable energy sources like solar and wind are rapidly growing, they face some key challenges related to grid integration, storage, and transmission constraints. According to this source, solar and wind are variable and intermittent sources of energy. They only generate power when the sun is shining or wind is blowing. This can create challenges for grid operators who need to match power supply with consumer demand at all times.
Since renewable sources are not available on-demand like fossil fuels, adequate energy storage is critical. But storing large amounts of energy from renewable sources is still expensive. As this analysis points out, batteries are still limited in capacity and developers are exploring alternative storage methods like pumped hydro and compressed air. However, storage technology has not advanced as quickly as renewable power generation.
Transmission infrastructure is another challenge for renewables. Solar and wind farms are often located far from population centers. Building new transmission lines to transport this renewable power is costly and faces regulatory hurdles. Upgrading existing transmission networks also requires major investments. According to experts, these grid integration and transmission challenges must be overcome to realize the full potential of renewable energy.
Solutions
Many innovative solutions are being developed and implemented to address the challenges facing renewable energy expansion. Smart grid technology allows for two-way communication between energy producers and consumers, balancing supply and demand more efficiently.
Energy storage innovations like advanced batteries and pumped hydro storage enable renewable sources to provide power when the sun isn’t shining or wind isn’t blowing. Large-scale energy storage is key to increasing renewables’ reliability and viability.
Upgrading transmission infrastructure with high-voltage direct current lines allows renewable energy to be transported over long distances to connect energy-rich locations with demand centers. This helps overcome the geographical limitations of renewables.
Notable projects around the world showcase innovative solutions to renewable energy challenges. The Hornsdale Power Reserve in Australia integrates a 100MW/129MWh battery system to stabilize the grid and prevent blackouts. China’s State Grid Corporation invested $88 billion in transmission infrastructure to transport power from interior renewable energy bases to coastal load centers.
Conclusion
In conclusion, renewable energy sources like solar and wind are the world’s fastest growing sources of power generation. Fossil fuels are rapidly declining as renewables become more cost effective and efficient. Government policies, technological improvements, falling prices, and environmental concerns are driving the transition to clean energy. There is still work to be done to update grids, install infrastructure, and overcome fossil fuel interests. But the future is bright for renewables to supply a majority of the world’s energy. The health of the planet depends on continuing to invest in and utilize clean energy sources.
Individuals should advocate for renewable energy policies and make eco-friendly choices. Support wind and solar power by contacting elected officials, choosing a green energy provider, or installing solar panels on your home. Together we can build a sustainable future.
