Chapter 3:
Conclusion
Solar and wind surge signals a turning point
Rapid solar and wind growth in the first half of 2025 signals that fossil fuel demand is nearing its peak. Accelerating clean energy deployment is now essential to stay on track for net-zero.
Solar generation in H1-2025 surged 31% year-on-year, expanding its share of the global electricity mix from 6.9% to 8.8%. Record growth in many countries meant solar and wind together met and exceeded new electricity demand growth, signalling that global power sector fossil fuel demand is nearing its peak. This is a pivotal moment to be ambitious and accelerate the transition.
Falling prices of solar and wind give governments an increasing opportunity to set more ambitious targets and policies to speed deployment. Doing so would maximise the economic, social, health and environmental benefits of clean power, in addition to reducing carbon emissions and keeping climate change targets within reach.
Half of the world is past a peak in fossil generation, and the tools to accelerate the transition are available. However, some emerging economies still face higher costs of capital and other capacity constraints. Support from mature economies, particularly those with historic emissions, is crucial to overcoming these barriers and keeping the pathway to net-zero within reach.
