Global Performance in Renewable Energy: A Guide to Renewable Energy Share per Country

Introduction to Renewable Energy Trends

The data for the chart above is based on the latest report from IRENA (International Renewable Energy Agency). You can read the 2023 report on renewable energy statistics here. The chart visible above is built using ApexCharts. In this article, we will try to understand what drives the adoption of renewable resources and take a closer look at the data from the last decade. The urgency of climate change, coupled with the technological advancements in renewable energy, has started a global movement towards sustainability. As expected, this movement is not uniform; it is characterized by leaps and bounds in some countries, while others face significant hurdles. For example, if you look at the graph above, you'll notice the growth of 13% to 54.9% for The Netherlands whilst the USA grew from 16.1% to 29.5% in the same period. Why is Albania performing so well when it comes to green energy? Why is green energy adoption in Korea, India and the USA slow? Let's dig deeper.

Top Countries Leading in Renewable Energy Capacity

Albania, a country not typically associated with global environmental leadership, has recently made headlines for its significant contribution to preserving natural assets. Albania's success in the renewable energy sector, especially in green energy, is not only a result of recent policy decisions but stems from a combination of geographical advantages, strategic investments, and a long-standing commitment to harnessing its natural resources sustainably. The country's abundant water resources have positioned it as a leading hydropower producer in Europe, with hydropower accounting for nearly 100% of its domestic electricity production. In March 2023, Albania took a bold step by declaring the Vjosa River, one of Europe's last wild rivers, a national park. The move protects the biodiversity within Albania's ecosystem and also sets a precedent for river conservation worldwide. Nice work, Albania.

The Vjosa River's designation as a national park is a positive sign of Albania's commitment to environmental preservation. Stretching from the Pindus mountains in Greece to the Adriatic coast in Albania, the Vjosa is now safeguarded against developments that could disrupt its natural flow, such as dam constructions and gravel extraction. This decision reflects Albania's broader strategy to embrace renewable energy sources that harmonize with the environment, moving away from hydroelectric projects that could compromise ecological integrity.

Albania's renewable energy sector predominantly relies on hydropower, but the country is actively diversifying its portfolio to include solar and wind energy. By protecting the Vjosa and championing solar initiatives, like the ambitious project in the village of Kutë, Albania illustrates the potential for small nations to lead by example in the global shift towards sustainable energy practices.

Brazil's Renewable Energy Triumphs

Brazil, a country blessed with abundant natural resources, has long been a frontrunner in the renewable energy sector. With over 80% of its electricity generated from renewable sources, Brazil's energy matrix is one of the cleanest in the world. The country's substantial investment in hydropower, wind, and solar energy underscores its commitment to a sustainable future.

In a significant move towards global cooperation, Brazil signed an agreement to triple renewable energy globally by 2030. Joining forces with the European Union, the U.S., and the United Arab Emirates, Brazil aims to phase out coal power and bolster the adoption of renewable energy sources worldwide. This commitment reflects Brazil's dedication to leading the charge in renewable energy expansion, demonstrating the crucial role that international collaboration plays in addressing climate change.

Brazil's strategy extends beyond hydropower; the country is rapidly expanding its solar and wind energy capacities. The Brazilian government's support for renewable energy is evident in its ambitious plans to install additional wind power generation and make renewable energy more accessible to underserved communities, such as those in Sao Paolo's favelas. Through these initiatives, Brazil is not only enhancing its renewable energy infrastructure but also ensuring that the benefits of green energy reach all corners of society.

Areas for Improvement

South Korea, known as one of the world’s largest economies and energy consumers, faces a paradox in its journey towards renewable energy adoption. Despite ambitious goals for carbon neutrality by 2050, the transition to renewable energy has been slow. Here are the main reasons:

• High Dependency on Fossil Fuels: As of 2022, South Korea relied on imported fossil fuels for 83% of its total primary energy consumption, highlighting a significant challenge in pivoting towards cleaner energy sources.
• Limited Progress in Renewable Energy: While nuclear power constitutes a significant portion of South Korea’s electricity generation mix (29.6% in 2022), renewable energy only accounted for 8.9%. The government's targets for renewable energy, 21.6% by 2030 and 30.6% by 2036, are seen as unambitious.

Challenges Faced by Renewable Energy in South Korea include:

• Suboptimal Natural Conditions: Geographic and environmental constraints limit the country’s renewable energy potential.
• High Generating Costs: Renewable energy generation costs remain relatively high due to prolonged permitting processes and delayed grid connections.
• Subsidized Retail Electricity Prices: Artificially low electricity prices weaken the financial incentive for investing in renewable energy.
• Social Opposition: Public resistance, particularly against the visual impact of solar and wind projects, and concerns from local communities, like fishermen, affect project development.

Encouraging Signs:

• Notable South Korean companies, including Samsung Electronics and Hyundai Motor Company, have pledged to procure 100% of their electricity from renewable sources (statement by Samsung).
• Policy mechanisms such as the renewable portfolio standard and renewable energy certificates exist to support renewable energy adoption.

For South Korea to shift away from its heavy reliance on nuclear and fossil power and not remain a renewable energy laggard, it needs more ambitious plans and solutions to address the challenges facing renewable energy adoption. This includes improving natural condition optimization, reducing generating costs, reforming electricity pricing policies, and building consensus among affected communities.

Challenges in Renewable Energy Adoption in the USA

Despite its vast potential for renewable energy, the United States faces unique challenges in adopting green energy solutions, especially in rural areas. The slow pace of renewable energy adoption can be attributed to several key factors:

• Infrastructure Limitations: Rural America often lacks the necessary infrastructure to support large-scale renewable energy projects, such as wind and solar farms.
• Economic Hurdles: Initial investment costs for renewable energy can be prohibitive for rural communities and individual households, despite long-term savings.
• Policy and Regulatory Barriers: Inconsistent policies and regulatory hurdles at the federal, state, and local levels can complicate renewable energy projects.
• Energy Transition Resistance: Cultural and economic ties to traditional energy industries, such as coal and oil, create resistance to transitioning to renewable sources.

Addressing these challenges requires targeted policies, investment in infrastructure, and educational initiatives to highlight the benefits of renewable energy. By fostering an environment that supports renewable energy adoption, the USA can accelerate its transition to a sustainable energy future.

The Role of Government Policies in Renewable Energy Adoption

Government policies play an important role in the transition to renewable energy. Incentives such as tax credits, subsidies for solar panels and wind turbines, and support for research and development can significantly lower the barriers to adoption. Regulatory frameworks that encourage or mandate the use of renewable energy sources in public and private sectors are also crucial. Strategic investments in infrastructure, such as upgrading the grid to accommodate renewable sources and funding renewable energy projects, further demonstrate how policy decisions can facilitate or hinder the renewable energy landscape. By creating a supportive policy environment, governments can lead the way in the global shift towards sustainable energy.

How You Can Contribute to the Growth of Renewable Energy

Our own actions have a profound impact on the growth of renewable energy. You can contribute by investing in solar panels for your home, supporting local and national green energy initiatives, or choosing to buy products and services from companies that use renewable energy. Advocating for policy changes and supporting renewable energy legislation can also drive broader societal shifts. Additionally, reducing energy consumption through efficiency improvements and educating others about the benefits of renewable energy are simple yet effective ways to contribute. Every action, no matter the size, helps propel the transition to a more sustainable energy future.