Global solar power capacity skyrocketed in 2023, leading to a rapid acceleration of clean power revolution. The solar surge is not just about the remarkable growth in China, as more gigawatt-scale solar markets are emerging and the vast potential of the sunniest countries is ready to be unleashed.
Kostantsa Rangelova
Global Electricity Analyst
Ember
30 May 2024| 3 min read
Solar capacity additions surged 74% in 2023, reaching a record 346 GW annual additions. China was the key driver behind the acceleration but solar’s phenomenal growth is spreading globally, with 28 countries installing over one gigawatt of new capacity in 2023. While more countries are taking advantage of cheap solar prices to bring affordable clean power, the vast but so far largely untapped potential of the sunniest countries can further accelerate the global clean power revolution, thus bringing the global goal of tripling renewables by 2030 within reach.
Skyrocketing solar capacity is leading the clean power revolution
Solar skyrocketed in 2023. Installations rose by a record 147 GW – from 199 GW in 2022 to 346 GW in 2023. This meant 74% more solar was installed in 2023 than in 2022, the fastest percentage rise since 2011. Almost three-quarters of all renewable capacity built in 2023 was solar.
Wind additions also increased by a sizable 51% in 2023, accounting for another quarter of renewable capacity additions in 2023. After two years of slower growth, 2023 saw a new record for wind capacity additions, beating the previous record set in 2020. Solar capacity additions were three times that of wind, making solar the clear leader of the clean power revolution. Hydro installations fell to their lowest level since 2001.
China’s lead increases, but solar’s success is spreading to more countries
Most of the new renewable capacity globally was installed in China but there are now 28 countries with gigawatt-scale markets, as more countries are taking advantage of cheap solar electricity.
China’s lead in renewable power deployment is growing
China is leading. In 2023 it installed 55% more solar capacity than the previous year, compared to 12% for the G7 and 5.9% for the rest of the world. For wind capacity, China’s additions rose by 21% in 2023, compared to 4.5% for the G7 and 5.3% for the rest of the world.
China was responsible for 63% of the solar additions worldwide in 2023, and 65% of wind. This was a record high share and a significant increase from installing 43% of global solar additions in 2022 and 48% of wind.
China has played a pivotal role in scaling up wind and solar deployment globally, while the cost of these technologies fell with growing adoption to make them the cheapest source of electricity.
Over January-March 2024 alone, China added another 45.74 GW of new solar capacity (up from 12.08 GW the previous year) and 15.5 GW of wind, according to the National Energy Administration (NEA) of China. This brings more confidence that the renewable capacity surge in 2023 will continue.
More than a China story – 28 countries have become gigawatt-scale markets
But it’s not only China: the number of gigawatt-scale solar markets grew to 28 countries in 2023, up from 21 in 2022. More than half are in Europe, as an early technology adopter, but several front-runner countries have emerged in Latin America and the Middle East since 2017.
As solar panel prices have plummeted, more countries are taking advantage of this technology to kick off their renewables growth story and to bring cheaper power to their domestic markets.
A vast solar potential remains untapped
As more solar capacity was installed in countries with below-average solar insolation, a vast potential remains untapped. Africa accounted for less than 1% of global installed solar capacity as of 2023, marking a stark disparity compared to the rest of the world.
The sunniest countries have installed the least solar. Only 14% of global solar capacity installed as of 2023 (204 GW) was in markets with solar insolation above the global average. Notably, Japan has 13 times as many solar panels per person than India and 41 times as many as Egypt despite the fact that a solar panel in these two sunnier countries would produce 32% and 64% more electricity, respectively.
This underscores the vast untapped potential in markets with higher insolation, which would lead to higher solar capacity factors. Therefore, stronger support for solar projects in countries with high potential such as India and African countries, is imperative. Unleashing their potential will benefit greatly from the dramatic reduction in solar costs, largely driven by early adopters’ support.
There is a stark regional disparity in global renewable capacity growth. Africa, despite being home to almost a fifth of the world’s population, accounted for only 0.2% of solar additions in 2023 and 0.8% of wind, adding less than 1 GW of each.
Persisting barriers such as limited access to affordable financing, have prevented African countries from taking part in the solar growth story. Enabling African countries to unleash their solar potential will help meet their growing electricity demand with clean power, while also significantly accelerating the global clean power revolution.
Unleashing solar will unlock a global tripling of renewables
Thanks to the unprecedented solar capacity growth in 2023, a record-breaking 473 GW of renewable power capacity was built worldwide – a 54% increase from 308 GW in 2022. The strong growth in 2023 brought the world closer to achieving the ambitious goal of tripling renewable capacity by 2030.
Going forward, it would be sufficient to maintain the 16% average annual growth rate of capacity additions between 2002 and 2023 to achieve the global goal of tripling renewables by 2030. Maintaining this growth rate would mean that annual additions reach 1,340 GW by the end of the decade.
Stronger support and investment, particularly in regions with high solar potential can unleash even faster renewables growth, making tripling renewables by 2030 attainable.
The global objective of tripling renewable capacity within the next decade is not only feasible but increasingly attainable. Accelerating renewables deployment further and achieving the tripling goal bring an unprecedented opportunity for growth and development while simultaneously reducing emissions. This includes reduced economic and security risks associated with volatile energy markets and climate change.
Supporting Material
Acknowledgements
Cover photo
Credit: Quang Ngoc Nguyen
