Taipei:Renewable energy capacity is poised for significant growth in emerging and developing economies outside China, According to latest forecast from the International Energy Agency (IEA). The report anticipates a global increase in renewable power capacity by almost 4,800 gigawatts (GW) between 2026 and 2031, marking a nearly 60% rise from the previous six-year period.
According to Wam, this expansion is driven by stronger policy support and heightened energy security concerns, particularly following the disruptions caused by the Iran war. The report notes that India, Southeast Asia, Africa, and the Middle East are leading this acceleration, with these regions expected to add renewable capacity comparable to that of advanced economies for the first time.
China remains the largest contributor to the global increase, though its share is projected to decrease from over 60% in 2025 to an average of 53% during the forecast period. Meanwhile, India is emerging as the world's second-largest growth market, with its renewable capacity anticipated to more than double by 2031. Additionally, Southeast Asia, the Middle East, North Africa, and sub-Saharan Africa are on track to see their renewable capacity almost triple compared to the previous period.
The IEA report underscores the shift in renewable energy policy priorities from environmental concerns to energy security, as countries aim to reduce reliance on imported fuels. This change is reflected in the increasing use of rooftop solar PV systems by consumers, which have enhanced electricity services for around 70 million households globally. The report also projects a 60% rise in the use of renewable energy for transport by 2031, with biofuels and renewable electricity, particularly from electric vehicles, contributing significantly to this increase.
India's growing role as a solar PV module manufacturing hub is highlighted as a critical development for diversifying global supply chains. The report emphasizes the need for investment in electricity grids and reforms to expedite the connection of new renewable installations. It also points out the importance of enhancing power system flexibility through battery storage and digital technologies to ensure the secure, affordable, and reliable expansion of renewable energy worldwide.