The past decade has witnessed significant developments in policies for renewable energy.
Previously, less than 50 countries worldwide had support policies for renewable energy; this number now stands at more than 130. As a result of political and financial support, investments in renewables have risen dramatically in recent years claims Frost & Sullivan.
Their new analysis, Annual Renewable Energy Outlook 2014, forecasts the global installed capacity of renewable energy to more than double from 1,566 gigawatts (GW) in 2012 to reach 3,203 GW in 2025 at an average annual growth rate of 5.7 percent.
“It is little wonder then that renewable energy installations have seen a gradual shift in market power to emerging economies,” said Frost & Sullivan Energy & Environmental Industry Director Harald Thaler. “On account of urbanisation, population growth, energy security concerns, and strong economic development, regions such as Asia, Latin America, the Middle East and Africa have increasingly been contributing to renewable energy capacity growth.”
Solar photovoltaic (PV) technology is expected to account for 33.4 percent of total renewable energy capacity additions over the 2012-2025 period. Wind follows closely at 32.7 percent, ahead of hydro power at 25.3 percent.
In the wind power market, offshore wind will witness lower-than-expected growth, as political support wanes in Europe. With small-scale wind turbines opening up new applications, global wind capacity will reach 814 GW in 2025 from its 2012 level of 279 GW.