Rystad Energy Forecasts Solar, Wind Markets To Add More Than 900 Tw-Hr In 2024

Data Centers, EV To Raise US Electricity Demand To 300 TWh Till 2030, Says Study

Rystad Energy, a research company recently shared some key aspects that can shape the energy sector in 2024. 

Renewable energy capacity expanded rapidly, keeping up with global power demand growth for the first time. It forecasted in 2023, “Solar PV needed to grow by 220 gigawatts (GW) in 2023 to track the 1.6 DG scenario for global warming.”

Rystad remained optimistic while it shared the latest figures, stating, “Figures indicated that it could end up at above 400 GW. And there is now supply chain visibility for an annual delivery of 1,500 GW.” It elaborated, “Clean energy technologies are now more affordable than fossil fuel alternatives in most parts of the world. Fossil fuels can, however, remain an important component of the energy mix for the next decades. Some experts share their forecast for the renewable energy sector for 2024. 

Weighing The Pros And Cons of RE Deployment In 2023

Chief Executive Officer (CEO) Jarand Rystad estimated, “Countries like Denmark, Finland and Portugal are close to achieving zero carbon power sectors, successfully dealing with the intermittency challenge of renewables. Still, there are also setbacks in renewable deployment, like the cost inflation seen in offshore wind, and governments are estimated to step up stimulation to get these sectors back on track. This year could see more inflection points in the energy transition, with impacts felt well into the latter half of the decade,”

Doubling Down Renewable Growth

Carlos Torres Diaz, Head of Renewables & Power Research anticipates, “This year is expected to be another record breaker for the solar and wind markets, adding more than 510 GW of solar PV and wind capacity globally. The resulting new generation from these sources – more than 900 terawatt-hours – is expected to be enough to cover most of the growth in demand, helping limit the need for fossil-fueled power generation. Although capacity is estimated to continue to grow, governments need to put in place the right incentives for renewable energy projects to ensure the momentum continues.”

Surge In New Renewable Energy Capacity Installations In 2024 Within Asia

Steve Hulton, Head of Global Coal Industry Research stated, “Global coal-fired power generation can potentially decline in 2024, thanks in part to the evolving Asian power grids. We predict coal generation in the power sector can fall by 33.7 terawatt-hours (TWh), a 0.3% annual decline, as Asia starts hitting the brakes on new coal power projects.

He identified, “The modelled fall is small but significant as 2023 represents the high-water mark for global coal power. China, India and Indonesia remain the top coal consumers for now, but the tide is turning. Surging new renewable energy capacity installations and aging coal plants are expected to soon tip the scales clearly in favor of fossil-free alternatives and a falling share for coal in the power mix can only gather pace.”