The Importance of Renewable Energy in Sustainability

Renewables and nuclear met nearly half of global energy demand growth in 2024 — a turning point that carries significant implications for companies and investors alike. According to the latest Global Energy Review (IEA), renewables supplied 38% and nuclear 8% of the growth in energy demand last year. In other words, nearly half of the additional energy the world required was delivered without adding to carbon emissions. What has driven this shift? →Policy and Regulation: Major economies have accelerated support for clean energy through mechanisms such as the Inflation Reduction Act and the European Green Deal, unlocking substantial investment. →Cost Competitiveness: Renewables, particularly solar and wind, have become the most cost-effective sources of new electricity generation in many regions. The commercial case is now as strong as the environmental one. →Energy Security: Recent geopolitical tensions have underlined the strategic importance of domestic and diversified energy systems, leading many countries to fast-track renewables and nuclear. →Corporate Demand: The rise of corporate power purchase agreements and the proliferation of net-zero commitments have significantly boosted private sector demand for clean energy. Why does this matter for companies? →Decarbonisation is no longer peripheral — it is becoming integral to competitiveness. Companies that continue to depend on fossil fuels risk exposure to volatile prices, regulatory tightening, and reputational damage. →Early movers will secure cost advantages, supply chain resilience, and preferential access to capital. Clean energy is increasingly recognised not just as a sustainability issue but as a strategic and financial one. →The direction of travel is clear. Investors, regulators, and customers expect credible decarbonisation strategies, and those who deliver will differentiate themselves. Evidently the shift to renewables and nuclear is a commercial and competitive reality. Further resources to consider: https://lnkd.in/dasZ6qFw https://lnkd.in/dY_F2Dna https://lnkd.in/dseEXjtw #energytransition #decarbonisation #sustainability #netzero #climatestrategy #businessstrategy

At #COP28, the outcome of the First Global Stocktake called on all parties to the UNFCCC to triple renewable power generation capacity and double the rate of energy efficiency improvement by 2030. Dubbed the #UAEConsensus, and built upon the on the recommendations of IRENA, this embodied the global determination to rapidly scale up renewables. The year 2023 marked a significant milestone in this journey. The record growth of 473 GW of installed capacity, coupled with a continued decline in technology costs, indicate that world is embracing the transition away from fossil fuels. According to IRENA's latest report, renewable power is increasingly cost-competitive with fossil fuels – 81% of renewable capacity additions in 2023 produce cheaper electricity than fossil fuel alternatives – and the accelerated deployment of renewable power continues to trigger technology advancements in a virtuous cycle of production efficiency and cost reduction. Solar PV, wind and hydropower experienced the most considerable cost decreases in 2023. The global average cost of electricity (LCOE) from solar PV fell by 12%, offshore wind and hydropower by 7%, and onshore wind by 3%, with China once again dominating new capacity additions. The global average cost of electricity from utility-scale solar PV fell to USD 0.044 per kilowatt-hour (kWh) and onshore wind to USD 0.033/kWh. Low-cost renewables incentivise greater ambition; in the coming years, remarkable growth across all renewable energy sources is expected. Yet, it remains crucial to ensure the progress and deployment of renewables balances different technologies and is distributed more equitably across countries and regions. The energy transition relies on key enablers, including physical infrastructure (such as for energy storage and flexibility), policy and regulation, international collaboration, and strengthened institutional and human capacities. Renewable energy reduces exposure to volatile fossil-fuel import bills, lowers average electricity system costs, and avoids the damaging impacts of high electricity prices on consumers and industry. It offers policy makers a compelling solution to reduce fossil fuel dependency, limit damage to environmental and human health, enhance energy security and drive economic development. I encourage you to explore IRENA’s 'Renewable Power Generation Costs in 2023' report for more detailed insights 👇.

Sustainable energy is not a nice-to-have. It is a catalyst for societies and economies, and a core driver of 21st-century industrial policy, growth, and development. Since 2015, progress has been real. Energy transition investment reached a record USD 2.4 trillion in 2024, with renewables attracting nearly twice the funding of fossil fuels. Global electricity access rose from 87 to 92 percent between 2015 and 2023, lifting hundreds of millions out of poverty. At the International Renewable Energy Agency (IRENA) Assembly, ahead of the 2026 High-Level Political Forum, I reflected on where #SDG7 ⚡️stands today. Three priorities stood out. 1️⃣ A just energy transition is a people’s transition. Renewables already support more than 16 million jobs and could more than double by 2030, but skills are not keeping pace. Without urgent investment in training and stronger South-South cooperation, workforce gaps risk becoming a binding constraint on long-term development. 2️⃣ Energy security must sit at the core of SDG7. Diversified energy systems strengthen economic resilience, protect public finances, and reduce exposure to external shocks. In many fossil-fuel-producing countries, public revenues still depend heavily on oil, gas, or coal. Clean energy transitions can reduce import dependence, improve efficiency, and strengthen economic stability rather than create new vulnerabilities. 3️⃣ Leveraging #digitalization and #AI as enablers of the transition. From smart grids to geospatial data, digital tools improve efficiency, reduce losses from unreliable grids, and lower investment risk. As AI becomes a growing energy consumer, its benefits will depend on alignment with clean power expansion, grid investment, and clear regulatory frameworks, especially where electricity systems are already constrained. #IRENA16A #SDG7 #EnergyForDevelopment

I used to think renewable energy was all about installing solar panels and wind turbines. Clean energy in, fossil fuels out - simple, right? But I’ve come to realize - it’s so much more than that. Renewable energy isn’t just about swapping coal plants for solar farms. It’s about redesigning the entire system that powers our lives. Because here’s the truth: solar and wind don’t always work on demand. That’s where smarter grids come in - systems that balance supply and demand seamlessly, avoiding blackouts even on cloudy days. But generation alone isn’t enough. Without proper storage, surplus energy goes to waste. And then there’s the challenge of moving energy. Transporting power from resource-rich deserts and coasts to cities is a logistical puzzle. Grid expansion and modernization are key. Even the materials that build our clean energy future (lithium and cobalt) come with their own environmental and ethical challenges. So how do we solve this? We start by thinking bigger. India is aiming for 500 GW of non-fossil fuel capacity by 2030.   But ambition needs action. Programs like the National Green Hydrogen Mission are scaling long-term energy storage. Microgrids are bringing power to rural communities that have been left behind. AI-powered grids are optimizing how energy flows, ensuring every watt of renewable power is used wisely. And affordability is making renewables accessible to all. Solar energy tariffs here are among the lowest in the world. Farmers are switching to solar-powered pumps through initiatives like PM-KUSUM, reducing diesel use while supporting sustainable agriculture. But even with all this progress, the real breakthrough is ahead: circularity. Recycling solar panels and batteries will ensure our clean energy future doesn’t create a new waste crisis. Because the future of energy isn’t just clean - it’s connected, inclusive, and built to last. #Sustainability #SustainableFuture #GreenEnergy #RenewableEnergy #ClimateAction

Are we doing enough to make energy affordable and sustainable? As we tackle the demand for energy in a growing world, there’s a pressing question we can’t ignore: How do we ensure that everyone has access to clean, affordable energy without compromising the environment? Sustainable Development Goal #7 is all about addressing this need—ensuring reliable, sustainable, and modern energy for everyone. Take a closer look at how smart technology is transforming the energy landscape. The rise of IoT in renewable energy, for example, has been nothing short of remarkable. Through IoT sensors, we’re not just generating solar or wind power—we’re monitoring, optimizing, and even predicting energy use in real-time. These sensors allow businesses to adjust based on demand, helping to make renewable energy sources more resilient and cost-effective. Consider a business using solar panels or wind turbines to generate its own electricity. With smart grid tech, they can manage power locally, rather than depending solely on a centralized grid. The result? Reduced costs and improved energy efficiency. And it’s not just about generating power; AI and machine learning models help organizations identify peak hours to tap into energy sources efficiently, saving both money and resources. Measuring impact is essential. For many companies, tracking the real-time effects of their energy choices is critical. IoT sensors can monitor energy usage continuously, allowing organizations to prove their progress toward sustainability. By using data instead of manual reports, they can also show customers and employees that they’re taking meaningful action. And then there’s the financial side: How to allocate resources effectively. Data from these smart systems enables leaders to make thoughtful decisions about where to focus their budget. If a particular renewable project shows a greater impact, they can prioritize that effort, optimizing both sustainability and cost efficiency. It’s easy to talk about sustainability, but taking measurable steps—and having the data to back it up—makes a difference. As more organizations embrace these tools, we’re seeing a shift in how companies approach energy, balancing their environmental responsibilities with practical, business-focused strategies. Where do you see your organization on this journey?

When progress paused, nature was given the right of way. In Scotland, wind farm construction was deliberately paused during nesting season to protect legally safeguarded golden eagles and other vulnerable wildlife. Instead of pushing ahead at any cost, developers adjusted timelines to respect breeding cycles and fragile habitats. This decision sends a powerful message: renewable energy and biodiversity protection are not opposing goals. When planned responsibly, clean energy can advance in harmony with nature rather than at its expense. By aligning development with natural rhythms, Scotland has shown what truly sustainable progress looks like—where climate action does not come at the cost of ecosystems, and long-term stewardship outweighs short-term gains. True sustainability isn’t just about generating green power. It’s about how we build it, where we build it, and who else shares the land. #SustainableDevelopment #RenewableEnergy #BiodiversityProtection #NatureFirst #ClimateAction #ResponsibleInnovation #GreenEnergy #LivingWithNature

I’ve been reflecting on the countless conversations about Africa’s energy future—and I keep seeing a narrow focus on electricity. Renewable energy is essential—but true sustainability goes far beyond power generation. It starts with people, communities, and the land they live on. That’s why I’m sharing this today. At Nopal Renewable Energy Corporation (NREC), we are not coming in with an outside solution—we partner with Africans to create homegrown solutions. Together, we transform degraded lands into thriving green farms. These farms generate renewable energy, yes—but they also restore ecosystems, create jobs, foster local enterprises, and provide food and income security for rural communities. The results are transformative. Communities gain the tools and opportunities to thrive, reducing conflict, building hope, and creating foundations for generations to come. Renewable energy lights homes. Land restoration and community empowerment light the path to lasting prosperity. This photo illustrates one of our projects in Namibia, where we are turning desert land into a productive green farm for bioenergy—expanding the world’s agricultural capacity while empowering local communities. This is what drives NREC, and it’s why I believe the conversation about Africa’s future must include people, land, and opportunity—not just power.

"The usual argument for promoting solar and wind power is that relying on renewable energy avoids the environmental damage caused by burning fossil fuels. This environmental damage includes, but isn’t limited to, climate change. In addition, air pollution imposes shockingly large direct and immediate costs by harming our health and reducing our life expectancy. But now we know that there is another reason for nations to reduce their dependence on fossil fuels: security. In a dangerous world, it’s infinitely safer to rely on the sun and the wind than to depend on fossil fuels that must be transported long distances, from nations that are untrustworthy, often exploitative and located in regions that frequently devolve into war zones." https://lnkd.in/gSSguzVC

Power manufacturers are key players in addressing environmental challenges. With the energy sector contributing 75.66% of India’s greenhouse gas emissions (BUR-4), sustainability is both a responsibility and a business opportunity. By adopting energy-efficient technologies, companies can lower their carbon footprint while optimizing operations and cutting costs. Investing in renewables like solar and wind provides a reliable, cost-effective energy supply, aligning with India’s renewable capacity, which reached 209.44 GW in December 2024 according to the Ministry of New and Renewable Energy. As renewable energy costs decline, companies that adapt early can gain a competitive edge. Sustainability isn’t just about compliance but a strategic move that enhances brand reputation, attracts eco-conscious consumers and investors, and ensures long-term resilience. Power manufacturers have a unique opportunity to lead this transformation, setting industry-wide benchmarks for responsible growth. The path to sustainable power requires balancing economic success with environmental stewardship. Through innovation, collaboration, and a commitment to cleaner energy, the industry can drive meaningful change and build a greener, more sustainable future. #Sustainability #RenewableEnergy #PowerGeneration #RatulPuri

the recent International Energy Agency (IEA) report on #renewables in 2023 indicates a transformative shift in the global #energy landscape, with #renewableenergy playing an increasingly dominant role, driven by policy support and economic factors. The report highlights that the fast expansion of the world’s capacity to generate renewable electricity gives a real chance of achieving the goal of tripling global capacity by 2030 that governments set at the #COP28. This not just an energy story; it's a crucial climate narrative. There are still some challenges to the growth of renewable energy. These include policy uncertainties, insufficient investment in grid infrastructure, cumbersome administrative barriers, and financial constraints, especially in emerging and developing economies. Check out the latest World Meteorological Organization and International Renewable Energy Agency (IRENA) joint report: 2022 Year in Review: Climate-driven Global Renewable Energy Potential Resources and Energy Demand https://lnkd.in/eA46SvHf The report underlines the importance of meteorological data to support the growth of renewable energy and address the challenges by enhancing climate-related knowledge and reducing uncertainties. This can inform and stabilize policy-making, facilitate investment in grid infrastructure, streamline administrative processes, and attract financial investment, especially in vulnerable regions.