• Friday, April 19, 2024
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Global wind energy market to hit 100GW for first time in 2023

Global wind energy market to hit 100GW for first time in 2023

After a challenging performance last year, the global wind market is ready to bounce back in 2023, exceeding 100 gigawatts (GW) for the first time, a new report by the Global Wind Energy Council has shown.

The Global Wind Report 2023 revealed that the unprecedented twin challenges of ensuring secure and affordable energy supplies and meeting climate targets have propelled wind power development into an extraordinary new phase of ever-faster growth.

With a double-digit growth rate of 15 percent, the mid-term outlook for wind energy looks very positive. GWEC Market Intelligence expects 680 GW of new capacity to be added in the next five years. This equals more than 136 GW of new installations per year until 2027.

Morten Dyrholm, Chairman of GWEC, said that investments in wind in 2022 decreased in Europe, the Americas, the Middle East, and Africa. The only exception was the Asia-Pacific region.

“This marks a paradox during a period when various crises are disrupting energy security and climate deadlines are drawing closer.

“Wind energy has never been more needed: it builds energy security, lowers the cost of electricity, and supports decarbonisation,” he said. “Last year’s investment trends exemplify how faster political action is now critical.”

Read also: Wind, Solar generate 12% of global electricity in 2022- Report

According to the chairman, 2023 is crucial for strengthening the supply chains that bolster renewable energy. Healthy industries require thriving markets.

“At present, permitting and grid bottlenecks are limiting volumes to a crippling degree. Profitable companies must be able to set cost-covering prices. Policies must seek a balance between cost-competitive electricity, viable projects, and healthy supply chains.”

Most market outlooks forecast an imminent increase in demand for renewables. Policymakers in major renewable energy markets have begun to address the current challenges by supporting the companies that will be driving the current challenges by supporting the companies that will be driving the scale-up of renewable energy.

“It is time for governments to realise that serious climate change mitigation and sustainable energy security go hand in hand. Governments must also accept that a thriving renewables industry is the first step to addressing both.

“Decarbonisation is too big a challenge for one country or region alone to overcome: only by working together can we unlock the acceleration needed to achieve a clean energy transition,” said Dyrholm. “GWEC and its members have an important role to play in supporting sound policies, collaboration, and action. I look forward to doing just that.”