Wind power added 160 gigawatts globally last year, while hydroelectric capacity grew by 18 gigawatts, driving a 16% rise in total renewable energy output. This surge—totaling 700 gigawatts of new renewable capacity—accounted for 86% of global generating capacity growth, underscoring renewables' dominance in the energy transition. Asia remains the epicenter, with 2.9 terawatts of renewable energy, primarily from China’s solar and wind expansions. Europe follows with under a terawatt, reflecting its steady investment in clean energy infrastructure.

The growth comes amid volatile fossil fuel markets, with Francesco La Camera, director-general of the International Renewable Energy Agency (IRENA), highlighting renewables’ resilience. He noted that nations prioritizing energy transition “weather crises with less economic damage,” citing improved energy security and competitiveness. Biofuels and geothermal contributed less than four gigawatts, signaling room for growth in underutilized technologies. Global renewable capacity now exceeds 5.1 terawatts, a milestone for decarbonization efforts.

China’s wind and solar boom alone accounts for half of Asia’s renewable footprint, while Europe’s grid upgrades and policy support sustain its second-place status. Fossil fuel price shocks have further accelerated adoption, as renewables offer cost predictability. Hydroelectric expansion in developing regions and wind turbine output records in the U.S. and Germany also fueled progress. Bioenergy remains niche, constrained by land-use challenges.

Renewables’ market share now surpasses fossil fuels in new installations, a trend expected to continue as turbine efficiencies improve and solar costs decline. Energy security and climate goals drive investment, with Asia-Pacific and Europe leading the charge. Global generating capacity reached over 8 terawatts in 2025, with renewables claiming nearly 64% of new additions—a clear signal of the sector’s irreversible momentum.