The expansion of clean energy capacity in 2023 saw renewables generate a record 30% of global electricity. Driving the change was an increase in solar and wind, with solar being the fastest-growing source of electricity generation.
Ember’s fifth annual Global Electricity Review revealed that solar generation grew by 23% in 2023. Solar’s generation growth in 2024 is expected to be even larger due to a record surge of installations towards the end of 2023.
Combined, solar PV and wind generation growth met 82% of last year’s global electricity demand growth. Growth in solar PV and wind pushed global renewables electricity generation past 30% in 2023, a first according to the report.
“The renewables future has arrived. Solar in particular is accelerating faster than anyone thought possible,” said Dave Jones, global insights programme director at Ember.
Half of the demand growth in 2023 came from electric vehicles, data centres, heat pumps, electrolysers and air conditioning. These five technologies are expected to accelerate the growth in electricity demand in the coming years, yet overall energy demand will decline due to electrification being more efficient than fossil fuels.
Among the four trends highlighted in Ember’s report that will shape the electricity transition in 2024, solar PV is at the forefront of the energy revolution and leading the way.
Wind still provides a higher share of global electricity, at 7.8% in 2023 (2,304 TWh). The absolute wind and solar growth was below expectations and marginally smaller than in 2022 (+513TWh in 2023, +517TWh in 2022). This was predominantly due to lower-than-expected wind growth.
One reason for solar’s generation shortfall was the location of where it was added and generating. Another key aspect that needs to be addressed is the increase in curtailment occurring in certain markets, particularly in Japan, the Netherlands and Australia.
With an abundance of supply capacity and a fall in solar panel prices, solar is expected to further increase its generation in 2024 as added capacity increases too.
“Given the excess of supply, and the rapid drop in battery storage costs, solar is increasingly limited only by how fast it can be connected to the grid,” reads the report.
A more extensive breakdown of the report was published on our sister site, PV Tech.
