Global renewable energy and efficiency progress

Reports from the International Renewable Energy Agency (IRENA), the COP31 Presidency, and the Global Renewables Alliance indicate that while global renewable energy capacity reached a record 690 gigawatts of new additions in 2025, the world is currently less than halfway toward the 11.2 terawatt goal set at COP28.

To meet the pledge to triple renewable capacity by 2030, annual installation rates must nearly double to approximately 1,200 gigawatts per year. Challenges include rising electricity demand and the need for faster investment in grid infrastructure and energy storage.

Simultaneously, energy efficiency improvements are lagging. While energy intensity improved by 1.7% in 2025, an annual average of 5.6% is required between 2026 and 2030 to meet the 4% annual target. Bridging this gap requires increasing annual global investments from $369 billion in 2025 to an average of $3.2 trillion per year. Key sectors for investment include buildings, transport, and industry, with electrification through technologies like electric vehicles and heat pumps being deemed critical.