Home Biz Renewables Global renewable capacity hits 49% of total power as solar leads record...

Global renewable capacity hits 49% of total power as solar leads record growth

Why Cost Of Solar Energy Installation Is Dropping -PPC

Keypoints

  • Global renewable capacity reached 5,149 gigawatts (GW) in 2025, now accounting for 49% of the world’s total electricity capacity, according to IRENA’s 2026 statistics.
  • Solar energy dominated the expansion, contributing 511 GW (roughly 75%) of the 692 GW added globally—the fastest annual growth on record.
  • Nigeria’s capacity rose to 3,206 MW in 2025, though Africa as a whole accounts for only 1.6% of global new additions despite a record 15.9% regional growth.
  • Grid constraints remain a major hurdle, leading the IEA to trim its 2025–2030 growth forecast by 5% due to the need for better storage and interconnection.

Main Story

In its Renewable Capacity Statistics 2026 report released in April, the International Renewable Energy Agency (IRENA) stated that renewable energy now makes up nearly half of the world’s power capacity.

The report explained that 2025 saw a massive addition of 692 GW, representing an 85.6% share of all new power installations globally. Solar and wind together accounted for nearly 97% of this net increase, driven by their status as the most cost-effective technologies for new generation.

IRENA Director-General Francesco La Camera mentioned that renewable energy remains “consistent and steadfast” despite global economic uncertainties.

He observed that countries investing in the energy transition are better at weathering energy shocks, such as the current Middle East crisis. However, the report also highlighted a widening gap: Asia, the U.S., and the EU continue to dominate growth, while regions like Africa face structural challenges.

In its separate Renewables 2025 report, the International Energy Agency (IEA) emphasized that integrating this surge requires a massive adaptation of electricity grids to handle variable supply through expanded storage and demand flexibility.

The Issues

The primary challenge for the global energy transition is the infrastructure-demand gap, where grid capacity is failing to keep pace with the rapid deployment of solar and wind. Authorities must solve the problem of regulatory bottlenecks and permitting timelines, which led the IEA to slightly downgrade its five-year growth forecast. Furthermore, there is a persistent investment disparity; while Africa reached its highest-ever growth of 11.3 GW, it remains a marginal player in the global total. To reach the COP28 goal of tripling capacity by 2030, the world must now find a way to add over 6,000 GW in the next five years—more than the entire current global installed capacity.

What’s Being Said

  • “In the midst of uncertain times, renewable energy remains consistent and steadfast in its expansion,” stated Francesco La Camera, IRENA Director-General.
  • The IEA noted that rapid growth in variable power requires “significant adaptation of electricity grids” to ensure energy security.
  • Energy analysts in Nigeria have argued that scaling off-grid solar solutions is the most viable path to improving access for the millions still lacking reliable power.
  • Market operators warned that a supply glut in solar modules has caused prices to drop by 60%, threatening the financial sustainability of some equipment manufacturers.

What’s Next

  • The G20 nations are expected to lead the “tripling” charge, as they currently hold nearly 82% of global renewable capacity and provide most new installations.
  • Grid modernization projects are anticipated to receive a surge in funding as countries attempt to integrate the 511 GW of solar added last year.
  • Nigeria is expected to focus on hydropower and off-grid solar to push its current 3,206 MW capacity toward national energy targets.
  • International lenders are likely to prioritize de-risking finance for clean energy in Africa to bridge the 1.6% global addition gap reported by IRENA.

Bottom Line

The world has crossed a major threshold with renewables nearing 50% of global capacity, but the “gridlock” of aging infrastructure is now the biggest threat to future progress. For nations like Nigeria, the record-breaking growth in solar offers a blueprint for energy security, provided the necessary grid and financing frameworks are established

NO COMMENTS

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Exit mobile version
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.

Strictly Necessary Cookies

Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.