Stalled Momentum in the Race to Triple Renewables

Alex Rivera 4

Hey everyone, welcome back to Digest This: Unpacking Our Sustainable Future. I’m Alex, and as always, I’m joined by Emily. Emily, how’s it going?

Emily Nguyen 4

Hey Alex, I’m good! Excited to dig into today’s topic, reviewing REN21’s latest report, the Renewables 2025 Global Status Report: Global Overview. There’s a lot happening in renewables right now, but it’s not all sunshine and roses—no pun intended.

Alex Rivera 4

Yeah, exactly. I mean, if you just look at the headlines, it’s like, “Record-breaking year for renewables!”—and that’s true. In 2024, we saw 740 gigawatts of new renewable power capacity added. That’s the biggest jump ever. But here’s the kicker: more than three-quarters of that was solar PV. So, solar is just running away with it.

Emily Nguyen 4

Right, and it’s not just big utility-scale solar farms. Rooftop solar is booming, especially in developing countries. I saw that rooftop solar grew by 22% in those markets. It’s a real shift toward decentralized energy—people taking power, literally, into their own hands.

Alex Rivera 4

The opportunity is huge: lower energy bills, more resilience, and a little extra income selling power back to the grid. But, man, the obstacles are real.

Emily Nguyen 4

That’s such a good point. We talk about technology costs coming down, and that’s true for solar panels, but the system around it—grids, storage, policy—hasn’t caught up. And even with all this growth, only solar is really on track to meet the global target to triple renewables by 2030. Everything else is lagging.

Alex Rivera 4

Yeah, and it’s easy to get caught up in the numbers, but if you zoom out, we’re still not moving fast enough. The REN21 report basically says, “Hey, great job on solar, but the rest of the system? Not so much.”

Emily Nguyen 4

Exactly. And that’s where things start to get complicated—because it’s not just about installing more panels. It’s about transforming the whole energy system, and that’s where we’re hitting some real barriers.

Emily Nguyen 4

So, let’s talk about those barriers. One of the biggest things that jumped out at me in the REN21 report was the explosion in trade restrictions. I mean, in 2015 there were just nine trade measures targeting renewables. Now, in 2024, it’s over 200—more than 50 just on solar PV. That’s wild.

Alex Rivera 4

Yeah, and it’s not just numbers on a page. These trade restrictions are making it harder to get the parts and materials you need, especially for solar. And it’s not just about supply chains; it’s about uncertainty. If you don’t know what the rules are going to be next year, are you really going to invest in a big project?

Emily Nguyen 4

Exactly. And it’s not just trade. We’re seeing major economies actually rolling back or delaying climate policies. The US, New Zealand, the UK—they’ve all taken steps back recently. Only 13 countries even bothered to submit updated climate commitments to the UN this year. That’s a pretty clear signal that ambition is stalling.

Alex Rivera 4

Yeah, and it’s not just governments. This can cause corporations to pause their transition investments. It’s like everyone’s waiting to see who blinks first. And meanwhile, the clock’s ticking. It’s also a systems problem. We’re deploying renewables in record numbers, but we’re not building the systems—grids, storage, planning—that actually let us use all that clean energy. It’s like buying a bunch of new appliances but never upgrading your electrical panel. Eventually, something’s gonna blow.

Emily Nguyen 4

That’s a great analogy, actually. And it ties back to what we talked about in our episode on grid transformation and AI innovations—remember how California added all that clean energy, but it only worked because they invested in storage and smarter grid management? Without that, you just hit a wall.

Alex Rivera 4

Alex Rivera 4

Alright Emily, let’s talk money. In 2024, global investment in renewables hit 728 billion dollars. That sounds huge, but it’s still less than half of what we actually need—REN21 says we need 1.5 trillion dollars a year to really transform the system. And most of that investment is concentrated in just a few places: China, the EU, the US.

Emily Nguyen 4

Yeah, and if you’re in a low-income country, it’s even harder. Financing costs can be twice as high as in developed markets. That makes it really tough to scale up renewables where they’re needed most. And then there’s the slow pace of electrification in sectors like heat and fuels. Those make up more than three-quarters of total energy use, but renewables only cover about 6% of that. So, we’re not just talking about power plants—we need to rethink how we heat our homes, run our factories, move our vehicles.

Alex Rivera 4

Yeah, and that’s where system-wide reform comes in. REN21 is calling for long-term planning, modernizing grids, investing in storage, and making financing more accessible. It’s not just about more solar panels—it’s about changing the whole infrastructure. And you know, one bright spot is corporate power purchase agreements. In 2024, companies—especially in tech and industry—signed up for 69 gigawatts of renewable power through PPAs. That’s a 35% jump from last year. This is why long-term deal for for renewables are so important. They basically guarantee stable prices and a clean supply, even with all the market uncertainty. And that stability goes both ways, for the producer and the consumer. It’s a model that more companies should be looking at, especially as energy markets get bumpier.

Emily Nguyen 4

That’s a good example. And it shows how the private sector can push things forward.

Alex Rivera 4

Yeah, and I think that’s a good place to wrap for today. We’ve got record growth, but we’re still falling short. The next steps are clear, even if they’re not easy. Emily, always a pleasure talking this through with you.