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The Unstoppable Momentum of the Energy Transition: Why Renewables Are Leaving Fossil Fuels in the Dust

Posted on May 21, 2025 By Tom Clansy No Comments on The Unstoppable Momentum of the Energy Transition: Why Renewables Are Leaving Fossil Fuels in the Dust

Did you know that in 2022, for the first time ever, the world saw more new renewable energy capacity installed globally than new fossil fuel capacity? According to the International Energy Agency (IEA), 2022 marked a historic turning point in the energy transition, with renewables accounting for 87% of all new power generation capacity added worldwide. This milestone is a clear indication that the tide is finally turning in favor of sustainable energy, and it’s leaving fossil fuels in the dust.

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The energy transition, in simple terms, refers to the ongoing shift away from fossil fuels and towards cleaner, more sustainable energy sources like solar, wind, and hydroelectric power. And it’s happening fast. Just a decade ago, renewables accounted for only 21% of global power generation. Today, that number has risen to over 30%. This rapid growth is driven by falling technology costs, improving efficiency, and increasing demand from governments, businesses, and individuals around the world.

One of the key drivers of the energy transition is the declining cost of renewable energy technologies. The cost of solar panels, for example, has fallen by over 70% in the past decade, making them more competitive with fossil fuels. This has led to a surge in solar installations, with the IEA predicting that solar will account for over 50% of all new power generation capacity added globally by 2025.

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But it’s not just about the technology – it’s also about the economics. As the cost of renewables continues to fall, the economic benefits of investing in sustainable energy become more and more compelling. A recent study by the University of Oxford found that investing in renewable energy can create up to 24 times more jobs than investing in fossil fuels, while also generating significant economic benefits for local communities.

Of course, the energy transition is not without its challenges. The transition to a low-carbon economy will require significant investment in infrastructure, technology, and skills training. It will also require a fundamental shift in the way we think about energy – from a focus on extraction and consumption to a focus on efficiency, conservation, and sustainability.

Despite these challenges, the momentum behind the energy transition is unstoppable. Governments around the world are setting ambitious targets for renewable energy deployment, and companies are committing to transition their operations to sustainable energy sources. The private sector is also playing a critical role, with investors pouring billions of dollars into renewable energy projects and companies like Google and Amazon announcing major investments in clean energy technologies.

As the world continues to transition to a low-carbon economy, one thing is clear: the energy transition is not just a moral imperative – it’s also an economic and technological one. With the cost of renewables falling, the benefits of sustainable energy becoming more compelling, and the momentum behind the transition building every day, it’s clear that the future of energy is bright – and it’s powered by the sun.

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