Renewable electricity continues to gain momentum and is projected to grow by more than one-third by 2022 and will generate more than 8,000 terawatt hours, according to the International Energy Agency (IEA) Renewables 2017 report published in October.
By 2022, renewables will account for about 30 percent of power generation worldwide, up from 24 percent in 2016, according to the report. The growth of renewable generation is also projected to be as twice as great as gas and coal combined. The report also predicts coal will remain the largest source of electricity generation in 2022, but renewable will close the gap by half in just five years.
In 2022, the largest source of renewable generation will remain hydro, followed by wind, solar PV and bioenergy. The report projects that the cost of wind power generation will drop by about 15 percent in the next five years because of Purchase Power Agreements and competitive auctions.
China, India and the United States are expected to drive the increase in renewables and account for two-thirds of global renewable expansion by 2022. China leads the world in renewable electricity capacity expansion. In the United States, tax incentives and renewable portfolio standards along with state policies push the market. However, uncertainty over proposed federal tax reforms along with international trade policies could diminish the momentum of the renewable market, according to the IEA report.
“More and more states from Massachusetts to New Jersey, city to city and town to town have been turning to renewables,” says Javier Barrios, Managing Partner for Good Energy, an energy consulting firm serving communities in New York, New Jersey and many other states. “Good Energy’s experts help communities and businesses navigate the complicated and ever-changing energy marketplace.”
And while Renewables 2017 highlights momentum for renewable electricity generation – citing a renewable electricity capacity increase by 43 percent within five years – the report also notes that use of renewables in transportation and heating aren’t as robust.
View the report and find more information about the IEA projections here.