Global renewable energy capacity reached unprecedented levels in 2023, with approximately 560 GW of new installations marking a record year for clean energy deployment, according to the International Energy Agency (IEA).
China and EU Lead Global Expansion
China dominated renewable capacity additions, installing almost 350 GW in 2023—representing two-thirds of global deployment [IEA]. The country's ambitious 14th Five-Year Plan for Renewable Energy, released in 2022, continues to drive significant investment in the sector.
The European Union accelerated its renewable energy deployment in response to the ongoing energy crisis, adding almost 80 GW in 2023—double the pre-crisis growth rate of 2021 [IEA]. This surge was supported by new policies including the REPowerEU Plan and The Green Deal Industrial Plan, which are expected to sustain renewable energy investments in coming years.
US Makes Steady Progress Amid Challenges
In the United States, solar deployment and electric vehicle sales broke records in both 2023 and 2024, with renewables now dominating new power generation capacity [World Resources Institute]. Several states advanced ambitious clean energy targets, including Vermont's updated renewable portfolio standard requiring 100% clean energy by 2035, and Maryland's executive order establishing a framework for 100% clean energy by the same date.
However, significant obstacles persist in the US market. "Several challenges persist that are slowing deployment, including lack of sufficient grid capacity and large interconnection queues, permitting and siting challenges, high interest rates, and lingering supply chain issues," according to the World Resources Institute analysis.
Technology Innovations Drive Efficiency
Technological advances are enhancing renewable energy effectiveness and cost-competitiveness. Breakthroughs in photovoltaic materials, energy storage solutions, and smart grid systems are making solar power more efficient while reducing operational costs [PVFARM]. These innovations address long-standing challenges in solar energy production and distribution.
Energy storage has emerged as particularly critical due to the intermittent nature of wind and solar power. Companies like TotalEnergies are investing heavily in stationary storage capacity, including France's largest battery storage project in Dunkirk with 61 megawatt-hours capacity [TotalEnergies].
Massive Projects Reshape Energy Landscape
Several large-scale renewable projects demonstrate the sector's growing ambition. India's Pavagada Solar Park operates at 2GW capacity, providing clean energy to nearby communities while generating income for local farmers [Energy Digital]. In China, the Gansu Wind Farm represents one of the world's largest wind installations, though its remote Gobi Desert location presents distribution challenges.
Future Outlook
The IEA projects that more than half of the world's electricity will come from low-emission sources before 2030. Key policies including the US Inflation Reduction Act, EU's REPowerEU initiative, and China's Five-Year Plan are expected to sustain momentum in renewable energy deployment.
Despite record growth, experts emphasize that renewable energy must begin replacing fossil fuels rather than merely supplementing existing supply to achieve meaningful emissions reductions. Grid infrastructure modernization and expanded storage capacity remain essential for supporting continued renewable energy expansion.