Solar and wind energy production surpassed coal for the first time in history this year, but shifts in policies by the United States and China are hindering further growth, making a global 2030 target unattainable, as per recent reports. The increase in renewable energy usage represents a significant step in moving away from fossil fuels, the primary culprits behind greenhouse gas emissions driving climate change.
According to Ember, an energy think tank, renewables accounted for 34.3 percent of global electricity in the first half of the year, surpassing coal at 33.1 percent while gas maintained a 23 percent share. Malgorzata Wiatros-Motyka, a senior electricity analyst at Ember, noted that this shift signifies a pivotal moment where clean energy is keeping pace with the rising electricity demand globally.
The report highlighted a substantial 31 percent surge in solar power generation in the first half of 2025, outpacing the 7.7 percent growth in wind energy. Conversely, coal saw a decline of 0.6 percent, and global gas generation slightly decreased by 0.2 percent.
Despite the global pledge at the 2023 United Nations climate summit in Dubai to transition away from fossil fuels and triple renewable energy capacity by 2030, the International Energy Agency (IEA) now predicts falling short of this target. The IEA cited policy, regulatory, and market changes since October 2024 as factors contributing to the revised forecast, with the world expected to achieve a 4,600-gigawatt gain in renewable power by 2030.
The IEA downgraded its forecast for the United States by nearly 50 percent due to changes in tax credits and regulatory controls under the Trump administration, which favors oil and gas production. China’s transition from fixed tariffs to auctions for renewable energy producers impacted project profitability and growth expectations. However, China remains a significant contributor to renewable energy growth and is poised to achieve its 2035 wind and solar power targets ahead of schedule.
While growth may be slowing in China and the United States, the IEA remains optimistic about renewable energy prospects in other regions. India is on track to meet its 2030 renewable energy targets and is projected to become the second-largest growth market for renewables. Forecasts for the Middle East, North Africa, and several European countries have also been revised upwards by the IEA.
The IEA estimated that solar panels led the global growth in renewable energy over the past five years, accounting for approximately 80 percent, followed by wind, water, biomass, and geothermal power. However, the outlook for offshore wind power was adjusted downwards due to policy changes in key countries like the United States, which aimed to halt ongoing projects.