Energy Revolution
A Shift in the Global Energy System
by Futoshi Tachino
The global energy system is tilting decisively toward renewables—and the fulcrum is not any single country. From Latin America’s near-zero-carbon grids to Europe’s wind-and-solar surge, from North Africa’s desert mega-projects to Australia’s rooftop revolution and India’s rapid scaling, the transition is now propelled by cost, security, and industrial strategy. Policy oscillations in the United States may affect its own mix, but they no longer set the pace for the world [2–4,5–7,9–14,18–20].
The economic case is settled
Independent cost data show that new renewables undercut new fossil generation in most markets. In 2025, IRENA reported that 91% of renewable power projects commissioned in 2024 were cheaper than new fossil fuel options [1]. Falling battery prices and maturing supply chains reinforce this advantage by reducing system-level costs associated with variability [1].
The global milestone: renewables overtake coal
At the system level, the world crossed an inflection point: in the first half of 2025, renewables generated more electricity globally than coal for the first time [2]. The International Energy Agency projects that renewables will be the largest source of global electricity for the full year 2025—or by 2026 at the latest [3–4].
Regions making the transition real
Latin America
Uruguay operates one of the cleanest power systems in the world, with ~99% renewable electricity in 2024 [12].
Brazil generated about 88% of its electricity from renewables in 2024, with wind and solar rapidly rising in share [10–11].
Europe
The European Union reached an all-time high: 46.9% of electricity from renewables in 2024; wind and solar together reached 29% [5–6].
Denmark and Portugal are among the continent’s highest-share systems, and the United Kingdom recorded wind as its single largest power source in 2024 [6–7].
Middle East & North Africa
The United Arab Emirates commissioned the 2-GW Al Dhafra solar park, one of the world’s largest single-site PV projects [13].
Saudi Arabia is contracting multi-gigawatt solar rounds and commissioning flagship plants such as Sudair (1.5 GW), aiming for very large renewable capacity by 2030 [14–15].
Morocco continues expansion around the Noor Ouarzazate complex (≈580 MW CSP/PV), while Egypt’s Benban park (~1.8 GW) anchors North African solar [16–17].
Asia
India passed a key threshold: over 50% of installed power capacity from non-fossil sources in 2025, advancing toward its 500-GW non-fossil target for 2030 [8–9].
Oceania
Australia set successive records: the National Electricity Market reached 46% renewables in the December-quarter 2024 (peaking at 75.6% for a period), surpassed 4 million rooftop solar systems in 2024, and recorded ~36% renewables for the year [18–20].
Why this momentum is durable
Price and risk. Zero-fuel-cost assets hedge volatility in global fuel markets, making renewables a strategic as well as environmental choice [1].
Security and sovereignty. Countries from Uruguay to the EU have reduced exposure to imported fuels and price shocks by scaling domestic wind, solar, and hydro [12,5–6].
Industrial strategy. Scaling renewables underwrites manufacturing, grid upgrades, and storage—evident in Europe’s wind-and-solar build-out and India’s rapid capacity additions [6,8–9].
The United States—and the larger context
U.S. policy can accelerate or slow its own transition, but it no longer dictates global direction. The EU’s 2024 record, Latin America’s near-fully renewable grids, India’s capacity milestones, and the Middle East’s multi-gigawatt projects demonstrate that the world is moving toward renewables with or without the United States [5–7,10–13,14–17].
What must happen next
Grids and flexibility. Interconnection, modernized transmission, demand response, storage, and market design now govern the slope of growth; even the most advanced regions identify grid capacity and permitting as rate-limiters [6].
Capital access. Lowering financing costs in emerging markets remains pivotal; the same megawatt is still pricier where capital is expensive [1].
Consistency. Clear tenders, stable revenue frameworks, and faster siting keep build-rates aligned with 2030 targets [6].
References (full details & URLs)
[1] International Renewable Energy Agency (IRENA). “91% of New Renewable Projects Now Cheaper Than Fossil Fuels Alternatives.” Press release, 22 July 2025. https://www.irena.org/News/pressreleases/2025/Jul/91-Percent-of-New-Renewable-Projects-Now-Cheaper-Than-Fossil-Fuels-Alternatives
[2] Reuters. “Global renewable power output overtakes coal for the first time, report says.” 7 Oct. 2025 (summary of Ember analysis). https://www.reuters.com/sustainability/climate-energy/global-renewable-power-output-overtakes-coal-first-time-report-says-2025-10-07/
[3] International Energy Agency (IEA). Electricity Mid-Year Update 2025 – “Supply: Renewables grow the most, followed by gas and nuclear.” 2025. https://www.iea.org/reports/electricity-mid-year-update-2025/supply-renewables-grow-the-most-followed-by-gas-and-nuclear
[4] International Energy Agency (IEA). Renewables 2025 – “Renewable electricity.” 2025. https://www.iea.org/reports/renewables-2025/renewable-electricity
[5] Eurostat. “Electricity from renewable sources reaches 47% in 2024.” 19 Mar. 2025. https://ec.europa.eu/eurostat/web/products-eurostat-news/w/ddn-20250319-1
[6] Ember. European Electricity Review 2025 – “2024 at a glance.” 23 Jan. 2025. https://ember-energy.org/latest-insights/european-electricity-review-2025/2024-at-a-glance/
[7] Reuters. “Wind Britain’s top electricity source in 2024.” 7 Jan. 2025. https://www.reuters.com/world/uk/wind-britains-top-electricity-source-2024-2025-01-07/
[8] Government of India, Ministry of Power. “500 GW Non-fossil Fuel Target.” 18 Sept. 2023. https://powermin.gov.in/en/content/500gw-nonfossil-fuel-target
[9] Reuters. “India hits 50% non-fossil power milestone ahead of 2030 clean energy target.” 14 July 2025. https://www.reuters.com/business/energy/india-hits-50-non-fossil-power-milestone-ahead-2030-clean-energy-target-2025-07-14/
[10] Empresa de Pesquisa Energética (EPE) via pv-magazine. “Brazil generates 88% of power from renewables in 2024.” 2 June 2025. https://www.pv-magazine.com/2025/06/02/brazil-generates-88-of-power-from-renewables-in-2024/
[11] Ember. “Wind and solar generate over a third of Brazil’s electricity for the first month on record.” 11 Sept. 2025. https://ember-energy.org/latest-insights/wind-and-solar-generate-over-a-third-of-brazils-electricity-for-the-first-month-on-record/
[12] Renewables Now. “Uruguay’s power generation 99% renewable in 2024 – preliminary data.” 30 Apr. 2025. https://renewablesnow.com/news/uruguays-power-generation-99-percent-renewable-in-2024-preliminary-data-1274551/
[13] TaiyangNews (summarizing EWEC). “2 GW Al Dhafra Solar Plant Commissioned in UAE.” 17 Nov. 2023. https://taiyangnews.info/markets/2-gw-al-dhafra-solar-plant-commissioned-in-uae
[14] Reuters. “Saudi Power Procurement Company signs deals for three solar projects (5.5 GW).” 27 June 2024. https://www.reuters.com/business/energy/saudi-power-procurement-company-signs-deals-three-solar-projects-2024-06-27/
[15] Wikipedia (aggregating official sources). “Sudair Solar PV Project.” Accessed Nov. 2025. https://en.wikipedia.org/wiki/Sudair_Solar_PV_Project
[16] Power Technology. “Ouarzazate (Noor) Solar Power Station, Morocco.” Accessed Nov. 2025. https://www.power-technology.com/projects/ouarzazate-solar-power-station/
[17] Power Technology. “Benban Solar Park, Aswan.” Accessed Nov. 2025. https://www.power-technology.com/projects/benban-solar-park-aswan/
[18] Australian Energy Market Operator (AEMO). “National Electricity Market hits new demand and renewable energy records in December quarter.” 30 Jan. 2025. https://www.aemo.com.au/newsroom/media-release/national-electricity-market-hits-new-demand-and-renewable-energy-records-in-december-quarter
[19] Clean Energy Council. Clean Energy Australia Report 2025. 2025. https://cleanenergycouncil.org.au/getmedia/f40cd064-1427-4b87-afb0-7e89f4e1b3b4/clean-energy-australia-report-2025.pdf
[20] Department of Climate Change, Energy, the Environment and Water (Australia). “Renewables.” 2025. https://www.energy.gov.au/energy-data/australian-energy-statistics/renewables
Bio
Futoshi Tachino is an environmental writer who believes in the power of small, positive actions to protect the planet. He writes about the beauty of nature and offers practical tips for everyday sustainability, from reducing waste to conserving energy.
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About the Creator
Futoshi Tachino
Futoshi Tachino is an environmental writer who believes in the power of small, positive actions to protect the planet. He writes about the beauty of nature and offers practical tips for everyday sustainability.
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