Renewable Energy: Key developments – Renewable the only energy source to profit from COVID-19
Renewable energy continues to expand. In 2019, installed capacity grew by over 200 gigawatts – the largest annual growth to date. Wind and solar power have also been the cheapest sources of new electricity generation in 2020 in most parts of the world. The expected tipping point where new installed renewables capacity is cheaper than operating coal or natural gas power plants is expected in 2025.[1]
As it did on GHG emissions, the COVID-19 crisis had an impact on the renewable energy sector. Owing to lower energy demand and renewables being given an advantage in accessing the electricity market, these were the only sources increasing their share of the primary energy supply in 2020. Despite that, the sector had to cope with disrupted labour and supply chains.[2]
Key results: Renewable Energy rating
- No country is rated very high for all indicators defining the Renewable Energy category. Since the energy sector contributes greatly to a country’s CO2 emissions, the results of the Renewable Energy rating indicate that there is much room for improvement in mitigating emissions by means of accelerated deployment of renewable energy.
G20 performance:
- Eleven of the G20 countries are rated low or very low for their performance in the Renewable Energy category. For those countries, current shares of renewable energy are rated comparatively low for their well-below 2°C compatibility; and their unambitious 2030 renewable energy targets are falling short of putting the G20 on a well-below 2°C compatible pathway.
- Turkey and Indonesia joined Brazil and the United Kingdom as the only G20 countries rated high for their performance in the Renewable Energy category. While Brazil’s performance is based on the very high share of renewables in the energy mix, the United Kingdom and Turkey receive a very high rating for their positive trend in renewable development between 2013 and 2018.
EU performance:
- The EU’s performance in the Renewable Energy category shows no improvements compared to last year. It still ranks among medium performers and is rated medium for all indicators defining the category.
- Of the 18 countries rated high for their performance in the Renewable Energy category in this year’s index, 11 are EU countries (excluding the UK). Only Sweden receives a high rating for its 2030 target and is also the only EU country with a very high share of renewables. Poland and the Czech Republic are the worst performing EU countries, rated low for all indicators defining the Renewable Energy category.
[1] Hodges (2020). “Wind, Solar Are Cheapest Power Source In Most Places, BNEF Says”. Bloomberg [accessed 03.12.2020]
[2] REN21 (2020). Renewables Global Status Report
[3] IEA (2020), Energy Efficiency Report 2020