| Work Detail |
The latest market analysis from the International Energy Agency says global solar generation will surpass the 2,000 TWh mark by 2024. It grew 30% year-on-year for its highest growth rate since 2017, adding 475 TWh in the calendar year. Solar generation is expected to cover about half of global electricity demand growth through 2027, according to the International Energy Agencys (IEA) Electricity 2025 report. The agencys flagship report forecasts global electricity consumption to rise at its fastest pace in years, growing at around 4% annually through 2027, driven by increasing use in industry, air conditioning, electrification and data centers. According to the report, solar power is expected to meet half of that demand thanks to continued cost reductions and policy support for its deployment. The forecast is higher than the 40% growth in global electricity demand accounted for by solar power in 2024. Low-emission sources, combining both renewables and nuclear power, are expected to meet all of the growth in global electricity demand through 2027. The IEA report adds that global solar generation will surpass the 2,000 TWh mark in 2024. The figure is equivalent to 7% of global electricity generation, up from the 5% share solar accounted for in total electricity generation in 2023. The result means solar generation grew by 30% in 2024, its highest growth rate since 2017, totalling a record year-on-year gain of 475 TWh. The IEA says more than half of solar generation growth came from China. By 2024, solar power generation will surpass coal power in the European Union, with a share of the generation mix of over 10%. In the next three years, the IEA expects solar generation to exceed the 10% mark in China, the United States and India. Over the 2025-2027 period forecast in the report, global solar generation is expected to increase by around 1,800 TWh, according to the IEA. This growth would make it the worlds second-largest source of low-emission electricity by 2027, after hydropower. Meanwhile, renewables are forecast to collectively overtake coal generation this year, with coals share of global electricity generation set to fall below a third for the first time in 100 years. The report adds that as the share of renewables in the electricity mix increases, it is important to understand periods when solar PV generation is reduced due to weather conditions. “While these events can put a strain on the electricity system, having sufficient dispatchable capacity and long-duration storage will be essential,” the report suggests. The report also details examples of the major stresses that power systems will face in 2024. The IEA says these events, such as winter storms, hurricanes, blackouts and droughts, highlight the importance of ensuring greater resilience of power systems. In other regions, increasing volatility in wholesale electricity prices has led to incidences of negative wholesale electricity prices. The IEA says that these events generally point to insufficient system flexibility for technical, regulatory or contractual reasons, and indicate a growing need for system flexibility. |
