Renewable Energy Hits Record in 2025, but Global Pace Must Nearly Double by 2030

The global renewable energy sector reached a new milestone in 2025, with nearly 693 gigawatts (GW) of new renewable power capacity added worldwide. Despite the record expansion, the pace of growth remains well below what is needed to meet the global 2030 target agreed at COP28.

According to the International Renewable Energy Agency (IRENA), the world will need to add an average of around 1,200 GW of renewable capacity every year from 2026 through 2030 to reach the 11.2-terawatt (TW) target established under the UAE Consensus.

IRENA outlined the scale of the challenge in a new report prepared with the Turkish presidency of COP31, which is scheduled to take place in Antalya from November 9 to 20, and the Global Renewables Alliance (GRA).

Record Growth Led by Solar

The 2025 figures provide a strong foundation for further expansion. Global renewable capacity increased by 15.5% during the year to reach 5,155 GW, more than double the level recorded in 2016.

Solar power accounted for the largest share of the growth. Around 513 GW of solar photovoltaic capacity was installed globally, representing roughly three-quarters of all new renewable capacity.

Wind power contributed another 158 GW, taking total installed global wind capacity to 1,291 GW.

As a result, renewable sources accounted for 49.5% of total global power capacity in 2025, compared with 46.5% in 2024.

However, growth was not evenly distributed across the world. Asia represented more than 74% of newly installed renewable capacity during 2025 and now accounts for more than half of the world’s total renewable capacity.

IRENA also highlighted progress in Europe and Africa, where declining solar and wind costs and growing concerns over energy security are improving the competitiveness of renewable technologies.

Africa recorded its largest annual renewable capacity increase to date, adding 11.3 GW in 2025. That represented a 15.9% increase over the previous year.

GRA CEO Ben Backwell said the record growth demonstrated significant progress toward the global renewable expansion goal, while emphasizing that substantially more capacity will need to be installed before 2030.

Grids and Storage Remain Major Challenges

Expanding renewable generation is only one part of the transition. Electricity networks will also need substantial investment to accommodate the growing volume of solar and wind power.

IRENA estimates that grids and flexibility infrastructure will require close to $1 trillion in annual investment between 2026 and 2030. That would be more than twice the investment level recorded in 2025.

The funding will be needed for transmission infrastructure, digital grid systems, interconnections and other technologies capable of managing increasingly variable renewable generation.

At the same time, electricity demand is continuing to increase. Electric vehicles, industrial electrification, air conditioning, buildings and rapidly expanding data-center capacity are all adding pressure to power systems.

As renewable generation expands, batteries and other flexibility technologies will therefore become increasingly important for balancing supply and demand.

Battery economics are also improving. IRENA reports that battery costs declined by 30% between 2024 and 2025 and have fallen by about 95% since 2010.

Lower costs are helping drive the growth of solar-plus-storage projects. Hybrid facilities that combine solar generation with batteries can deliver renewable electricity beyond periods of direct sunlight and represented around one-quarter of utility-scale solar capacity commissioned worldwide in 2025.

Electrification Must Accelerate

Increasing renewable electricity generation and expanding power networks will not be enough on their own. A larger share of transportation, heating, buildings and industrial activity must also shift away from direct fossil-fuel consumption toward electricity.

IRENA Director-General Francesco La Camera said rapid electrification of end-use sectors is essential for improving energy efficiency, particularly in transport, heating, buildings and industry.

Greater electrification can increase electricity consumption while simultaneously reducing overall final energy demand because electric technologies can be more efficient than fossil-fuel-based alternatives.

For the transition to deliver its intended emissions reductions, however, the additional electricity will need to increasingly come from renewable sources.

Grid Expansion Has Fallen Behind

One of the major obstacles is that electricity networks have not expanded and modernized at the same pace as renewable generation.

La Camera has pointed to slow grid development as a factor behind longer connection queues for new renewable projects. Lengthy permitting processes can further delay the construction and integration of new infrastructure.

This creates a growing mismatch: renewable generation capacity is expanding rapidly, while the networks needed to transport and manage that electricity are struggling to keep up.

The Scale of the 2030 Challenge

The record 693 GW added in 2025 represents significant progress, but it also highlights the size of the remaining gap.

To reach the 11.2 TW global renewable capacity target by 2030, annual additions will need to average approximately 1,200 GW over the next five years.

That means the world will need to accelerate renewable deployment while simultaneously investing heavily in transmission networks, energy storage, grid flexibility and electrification.

The 2025 record demonstrates that rapid growth is possible. The challenge now is to sustain and nearly double that annual pace while building the infrastructure needed to support a much larger renewable-powered electricity system.

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