Global Shift Towards Renewables Gaining Momentum, But Challenges Remain

The world is witnessing a significant pivot away from fossil fuels, marked by the three-year-old COP28 agreement and the recent confirmation that renewables have surpassed coal as the leading source of global electricity generation in 2025. This shift, however, is accompanied by ongoing challenges that necessitate accelerated action and systemic change.

"Fossil fuel dependence is a liability, threatening energy security and economic development across the planet," write André Corrêa do Lago and Bruce Douglas. Warnings from the Intergovernmental Panel on Climate Change (IPCC) and reports from the United Nations Environment Programme underscore the imperative for change, as extreme weather events grow more lethal, frequent, and intense.

Emphasis on Implementation

A roadmap to transition away from fossil fuels by 2050 was announced at COP30, examining the barriers, financial needs, and policy pathways countries face. The agenda has been restructured to accelerate the implementation of the Paris Agreement, with a dual-track approach: one focused on consensus-driven country actions, and a second, faster track for implementing COP decisions without requiring consensus.

Coalitions under the Global Climate Action Agenda are stimulating progress. Following the Santa Marta Conference, convened by Colombia and the Netherlands, a report outlined options for national planning, investment, and international cooperation. Germany recently became the third country, after France and the Netherlands, to publish a national roadmap for transitioning away from fossil fuels, aiming to phase out oil, coal, and gas by 2045.

Fossil Fuel Dependence Exposed

The disruption of shipping through the Strait of Hormuz highlighted the vulnerability of global energy security, leading to Brent crude prices exceeding $100 a barrel and imposing significant costs on importers. In contrast, Spain, with nearly 60% of its electricity from renewables, saw prices fall, demonstrating how investment in renewable power can buffer against fossil fuel volatility. Brazil, where renewables constitute the largest proportion of the G20 energy mix and sustainable ethanol is widely available, has also experienced less severe impacts.

Renewables Lead Electricity Generation

A report by the global energy think tank Ember confirmed that renewables overtook coal as the world's leading source of electricity in 2025. Renewable energy is described as a major growth story, creating jobs, strengthening competitiveness, and attracting investment. According to the United Nations, every dollar invested in renewable energy creates up to three times as many jobs as a dollar invested in fossil fuels.

The Path Forward

Despite a record year for renewable electricity capacity additions in 2025, deployment must accelerate to meet global imperatives. The goal is to double the amount of renewable power currently deployed on grids within the next four years. Electrification of energy, transport, and industry is key to enhancing energy security, efficiency, and competitiveness.

The incoming COP31 Presidency has proposed increasing electricity's share of global energy use to 35% by 2035. Achieving visible improvements, such as electric buses, cleaner heating, and reliable electricity access, requires not only renewable energy but also stronger grids, energy storage, and coordinated development institutions.

COP31 in Antalya, Turkey, will focus on strengthening credible plans for clean electrification within broader energy and economic strategies. These plans must be tailored to national circumstances, developed through societal dialogue, and outline how governments, businesses, and other actors will expand infrastructure and stimulate investment. Businesses are called upon to match commitments with capital and technology, while international financial institutions must facilitate affordable finance for countries facing high borrowing costs. Support for workers and communities affected by the transition is also essential.

The overarching task involves systemic change, but the direction and tools are considered to be in place for a more secure, affordable energy future with improved livelihoods and reduced exposure to fossil fuel crises.