The Energy Information Administration (EIA) announced Renewables 2020 in mid-November this year. Among them, the company predicted that the new renewable power generation capacity in 2020 will reach a record high of about 200 gigawatts (GW). On the other hand, it is estimated that achieving carbon neutrality by 2050 will not only accelerate the speed of efforts, but will also require a huge investment of $800 billion annually globally. (Illustration is an image)
Asian power generation to double by 2050 - EIA
The EIA predicts that International Energy Outlook 2020 will be double the amount of electricity generated in Asia between 2019 and 2050. The EIA also pointed out that natural gas prices outside the Organization for Economic Cooperation and Development (OECD) countries and the cost of capital investment in renewable energy generation will affect the energy mix in Asia. The analysis also analyzes that while coal and natural gas remain the mainstays of power generation energy, the ratio of renewable energy (wind, solar, hydro, etc.) will increase significantly.
In anticipation of the recovery in Europe and India, which have been delayed by the spread of COVID-19, we expect renewable energy investment to increase more than this year in 2021. In 2020, renewable power generation is expected to increase by 7% as electricity demand declines by 5%.The EIA also predicts that wind and solar power generation capacity will exceed natural gas-fired power generation in 2023 and coal-fired power generation in 2024.
Meanwhile, research firm Rystad Energy has announced that renewable energy generation capacity in the Asia-Pacific region is expected to increase by 58% from 517 (GW) in 2020 to 815 GW in 2025. Onshore wind power capacity increased from 266 GW to 341 GW between 20 and 25 years. Solar power generation capacity is expected to increase from 215 GW to 382 GW.
Rystad Energy also pays attention to geothermal power generation. Global geothermal power generation capacity is expected to increase from 16 GW in 2020 to 24 GW by 2025. It expects to invest $25 billion worth of geothermal power plants over the next five years.
Europe has 300 GW of offshore wind power in 1950, while a record high for new U.S. wind plants
European countries focusing on offshore wind power generation. In late November, the European Commission (EC) formulated an offshore renewable energy generation strategy. The company aims to increase offshore wind power capacity from 12 (GW) to more than 60 GW by 2030 and 300 GW by 2050. In addition, the company aims to have 40 GW of energy electricity derived from floating wind and solar power by 2050.
Investment in wind power generation is also increasing in the United States. According to the EIA, the new capacity of new wind power plants in the U.S. in 2020 is expected to reach a record 23 GW. The installation capacity from January to August this year is 5.0 GW, and 18.5 GW is expected to be installed from September to December. The previous record was 13.2 GW in 2012.
As for solar power generation, research firm Wood Mackenzie predicted at the end of October that the world's new solar power plant will have a 5% year-on-year increase in power generation capacity to 115 GW in 2020. The company expects to increase its new capacity by 145 GW in 2025.
IRENA - $800 billion annual investment needed to meet climate change targets by 2050
As renewable energy development progresses on a global scale, the International Renewable Energy Agency (IRENA) said in a 2020 edition of the Global Landscape of Renewable Energy that achieving the "1.5°C" target "requires an annual investment of $800 billion until 2050." IRENA said global renewable energy investments increased from 2013-18, peaking at $351 billion in 2017.
In order to solve the climate change problem, it can be said that the key to success is how to raise funds for investment, in addition to a sense of speed toward achieving the goal.
Former Bloomberg News reporter and editor
Capitol Intelligence Group (Washington D.C.) Tokyo bureau chief
Currently working as Managing editor of the news site MIRUPLUS