PNTECH announced that the “World Energy Outlook 2022” report released by the International Energy Agency reveals that solar energy and wind energy are crucial in reducing emissions in the power industry. The report projects that the percentage of power generation from these two sources will increase from 10% in 2021 to 40% in 2030, and potentially 70% in 2050.
In 2021, solar energy accounted for over 3% of global power generation and reached a new historical record with an annual increase of 150 GW. The continuous innovation and economies of scale throughout the supply chain led to an 80% reduction in the price of solar panels over the past decade. Consequently, solar energy generation has become the most affordable and cost-effective power generation technology in many regions worldwide. The International Energy Agency predicts that by 2030, the annual new light capacity will exceed 650 GW, more than four times the current level.
By 2030, the United States will increase its annual solar and wind energy installation capacity by 2.5 times compared to current levels. This is due to the introduction of the “Inflation Act”, which has also encouraged China to increase its clean energy investments, leading to a peak in coal and oil consumption in the country by 2030. The report also suggests that the European Union should accelerate the deployment of renewable energy and improve efficiency to reduce natural gas and oil demand by 20% and coal consumption by 50% by 2030.
Although solar panel prices rose for the first time in 2021 due to increased freight and polysilicon prices, the International Energy Agency predicts that continuous innovation, improvements in materials, and increasing energy efficiency will lower costs in the long run.
According to the International Energy Agency, the energy crisis caused by Russia and Ukraine could lead to a faster transition to a more sustainable energy system. Although fossil fuel consumption will reach its peak this decade, it will eventually decline. The report recommends that by 2030, PNTECH, along with the United States, European Union, Japan, South Korea, and China, invest $2 trillion in climate neutralization and technology, an increase of over 50% compared to current levels. However, to achieve the goal of controlling temperature increases to 1.5°C, an investment of $4 trillion by 2030 is necessary.
Governments worldwide have taken significant steps towards cleaner, more affordable, and secure energy systems, marking a decisive turning point in human history and paving the way for a new era.
