Policy group reports slowdown in global transition to renewables in 2023

In 2023, a policy group noted a significant slowdown in the global transition towards renewable energy sources. This shift, which had been gaining momentum in previous years, experienced a notable deceleration according to the group's findings. The report underscores potential challenges or obstacles hindering the adoption of renewable energy technologies on a global scale. Such insights provide valuable context for policymakers, industry leaders, and stakeholders as they navigate strategies to accelerate the transition to a more sustainable energy future amidst evolving economic and political landscapes.

SINGAPORE, May 30 (Reuters) - According to a report released on Wednesday by the REN21 group based in Paris, the pace of transition towards renewable energy sources in significant energy-consuming industries decelerated in 2023. This deceleration was attributed to regulatory deficiencies, political influences, and a lack of clearly defined objectives. Despite heightened aspirations to transition to renewables due to factors such as the COVID-19 pandemic and the conflict in Ukraine, concerns over energy security have increased. However, governments have not capitalized on this momentum to advance renewable energy agendas, as indicated in REN21's yearly evaluation.

REN21 reported that as of the conclusion of the previous year, merely 13 nations, such as the United States, India, and China, had established renewable energy policies encompassing various sectors like buildings, industry, transport, and agriculture. These policies resulted in only 12.7% of energy consumption in these sectors being sourced from clean energy. Furthermore, REN21 highlighted that many countries have regressed in their renewable energy aspirations. Out of 69 nations with renewable energy objectives for end-users, only 17 have extended these goals beyond 2024. REN21, an organization uniting governments, research institutions, and NGOs to advocate for the transition to clean energy, provided this information.

REN21's Executive Director, Rana Adib, noted that governments have largely retreated from their ambitious energy goals, while energy-intensive sectors no longer find economic incentives. The report cautioned that countries have been sluggish in enacting reforms, with massive subsidies for fossil fuels, especially in industry and agriculture, hindering progress in the energy transition. Adib highlighted how the decline in fossil fuel prices in 2023 influenced policymaking and sparked heightened debates regarding the expenses associated with transitioning to cleaner energy, particularly with elections looming in many nations.

Decarbonizing heavy industry presents a significant hurdle, particularly in "hard to abate" sectors like cement and steel, which argue that renewables lack the capacity to produce the high heat necessary for their processes. However, despite the complexities, Executive Director Adib noted that solutions are available, such as employing electric arc furnaces for steel production. Adib emphasized that labeling these sectors as "hard to abate" may erroneously suggest they're nearly impossible to decarbonize, whereas viable pathways do exist for their transition.

Source: Reuters‍