Renewables 2017 Market Report
Introduction
The International Energy Agency (IEA), established in 1974, promotes energy security and sustainable energy policies among its 29 member countries and beyond. This report highlights significant advancements in renewable energy, particularly solar photovoltaics (PV), which saw unprecedented growth in 2016.
Key Factors Driving Success
Three main factors contributed to the success:
- Strong Government Policy Support: Initially in Europe, this created a global market that enabled the renewable industry to thrive.
- Industry Innovation: Continuous technological improvements and cost reductions.
- Emerging Economies: Notably China, which has become a leader in various renewable sectors, including solar PV.
China's Impact
- Solar PV Growth: From 100 MW in 2007 to 77 GW by 2016.
- Global Leadership: Over 60% of global PV manufacturing and a domestic market equivalent to half of global demand.
- Price Reduction: Chinese dynamics led to record-low announced prices for solar PV and onshore wind, making them competitive with fossil fuels.
Market Forecast
- India: Expected to surpass the European Union in renewable electricity capacity growth.
- Africa: Potential for future development supported by cheap renewable power.
Challenges and Opportunities
- System Integration: Critical for integrating growing shares of variable renewables while ensuring electricity security.
- Sector Expansion: Need to increase the use of renewables in the building, industry, and transport sectors.
Data Sources
Conclusion
While progress is evident, continued efforts are necessary to address the limitations of current renewable energy use and expand its application across various sectors.
