Energy security concerns drive faster global growth in renewable power

The International Energy Agency (IEA) reports that global renewable power capacity will increase by almost 4,800 gigawatts between 2026 and 2031.

This growth represents a nearly 60% increase over the previous six-year period. Solar PV will account for more than three-quarters of this growth, followed by onshore wind. Governments in India, Southeast Asia, Africa, and the Middle East are accelerating renewable energy deployment to protect against volatile fuel prices and the impacts of the Iran war.

While China remains the largest contributor to global growth, its share of new capacity is expected to drop from over 60% in 2025 to an average of 53% over the forecast period. India is becoming the second-largest growth market, with its total renewable capacity expected to more than double by 2031. In many developing regions, the amount of new renewable capacity added is forecast to almost triple compared to the previous six-year period.

The IEA notes that energy security, rather than just environmental goals, now drives this expansion. Households and small businesses are also contributing by installing rooftop solar systems to counter high fuel costs and unreliable supplies. These small-scale systems already improve electricity services for approximately 70 million households worldwide. Furthermore, renewable energy use in transport is expected to rise by more than 60% by 2031, with electric vehicles and biofuels leading the increase.

To manage this rapid expansion, the IEA says countries must invest in electricity grids and diversify supply chains. India is emerging as a key alternative source for solar PV module manufacturing, with its share expected to reach 17% in five years. However, the agency notes a bottleneck in infrastructure, as the amount of projects waiting for grid connections rose by 60% last year to 3,000 gigawatts.