Renewable energy is the fastest-growing energy source in the United States, increasing 42 per cent from 2010 to 2020. Businesses with sustainability goals also drive renewable energy development by building their own facilities, such as solar roofs and wind farms.

FREMONT, CA: The fastest-growing energy source globally is renewable energy. In 2019, renewables such as biomass, geothermal, solar, hydro, wind, and biofuels provided around 11.2 per cent of the energy used globally for heating, power, and transportation, up from 8.7 per cent a decade earlier. In 2020, 29 per cent of the electricity produced worldwide came from renewable sources.

According to the International Energy Agency, the development and deployment of renewable technologies are anticipated to continue at record levels. However, for the world to have a prospect of achieving its net zero climate goals, government policies and financial support are required to encourage even greater deployments of clean electricity.

In 2020, 19.8 per cent of electricity was produced from renewable sources, primarily wind and hydro. By 2030, 35 per cent is anticipated to have been reached. Most of the growth is anticipated to come from solar and wind energy. While the electricity demand has remained largely unchanged, non-hydro renewables have expanded their proportion in electric power output from less than one per cent in 2005 to over 12.5 per cent in 2020.

Renewable fuels like ethanol and biodiesel have grown dramatically in the transportation sector during the past ten years. By the middle of the century, slower growth of 0.6 to 0.7 per cent is anticipated in the industry. Approximately 60 per cent of the renewable energy used in the industrial sector comes from biomass wood, 31 per cent comes from biofuels, and nearly seven per cent comes from biomass trash.

Market conditions such as cost, variety, proximity to demand or transmission, resource availability, policy choices such as tax incentives, feed-in tariffs, renewable portfolio standards, and specialised regulations are all factors that affect the adoption of renewable energy. By the end of 2020, nearly every nation had policies directed at renewable energies.

Businesses with sustainability objectives are also driving renewable energy development through constructing their facilities, such as solar roofs and wind farms, purchasing renewable energy certificates, and using power purchase agreements to obtain renewable electricity (RECs).

Over the past ten years, the costs of wind and solar renewable energy technologies have significantly decreased. Utility-scale solar photovoltaics costs decreased by 82 per cent between 2010 and 2019, while onshore wind costs decreased by 39 per cent. More of these technologies must be produced and developed due to rising demand and procurement; this lowers costs owing to learning and economies of scale and raises the motivation for further procurement.