The International Energy Agency recently released its annual report showing that the global solar PV new installed capacity in 2023 is expected to reach 375 GW, with total installed capacity growing by 31.8% year-on-year. From the countries and regions, China's solar PV new installed capacity in 2023 is equivalent to the previous year's global solar PV new installed capacity. According to Dimitrios, head of the World Bank's energy sector, the development of the solar photovoltaic industry is crucial to combating climate change and promoting energy transition.
The photovoltaic industry advantages more prominent
At the 28th Conference of the Parties to the United Nations Framework Convention on Climate Change (COP28) held last year, the development of solar energy was one of the key points of discussion among all parties. The agreement reached at COP28 mentioned for the first time the cost reduction and technological innovation of solar, wind, and energy storage technologies, affirming that their development can help realize the goal of combating climate change and calling on all countries to move away from fossil fuels and towards the development of solar photovoltaic (PV) technologies in the energy system in a fair, orderly and equitable manner. system in a fair, orderly, and equitable manner to transition away from fossil fuels.
In recent years, the global photovoltaic industry has accelerated. Relevant statistics show that from 2019 to 2023, the average annual growth rate of global installed PV power generation capacity reached 28%. Consulting organization Wood Mackenzie said that in most countries, solar energy has become the most cost-effective energy source. 2023, the global installed capacity of photovoltaic power generation has exceeded hydropower. In the next 10 years, the photovoltaic industry will still maintain a high growth rate.
Global Solar Energy Council CEO Sonia Dunlop said that solar energy is currently the fastest growing, the best benefit of renewable energy, to 2030 to make the global total installed capacity of renewable energy tripled, solar photovoltaic technology is the most important energy transition technology. The University of Exeter in the United Kingdom not long ago released a report that solar energy will become the most competitive energy source in the next few years. According to the forecast, by 2044, photovoltaic power generation will account for more than half of the global power generation capacity.
Reports from the International Energy Agency and other organizations show that 675 million people around the world still do not have access to electricity, with about 80 percent of them concentrated in sub-Saharan Africa. The former vice-chairman of the United Nations Intergovernmental Panel on Climate Change, Mr. Munasinghe, said that the issue of sustainable development is an important challenge facing human society. Solar photovoltaic technology continues to revolutionize and highlight its advantages, providing options for developing countries in their quest for sustainable economic development, energy transformation, and environmental protection.
Countries actively promote the use of technology
In recent years, many countries around the world have introduced various policy initiatives to accelerate the pace of energy transition and actively develop the solar photovoltaic industry.
Middle East countries have abundant solar energy resources. The United Arab Emirates (UAE) has proposed to achieve carbon neutrality by 2050, and in November 2023, the PV2 photovoltaic power plant project in Al Dhafra, UAE, was connected to the grid. The plant can meet the electricity needs of 200,000 households, reduce carbon emissions by 2.4 million tons per year, and increase the share of clean energy in the UAE's energy mix to more than 13%. Saudi Arabia in the "2030 Vision" proposed to reach 40 GW of installed capacity of photovoltaic power generation by 2030, and will invest 380 billion riyals in renewable energy projects (1 riyal about 1.91 yuan). Qatar proposes that the proportion of solar power generation will reach 20% by 2030. in November 2022, Qatar's first photovoltaic power plant, Alcazar Power Station, was officially put into operation, which is capable of meeting 10% of Qatar's peak power demand. David Ramos, head of HSBC's sustainable development department in the Middle East, said that the development of renewable energy represented by solar energy in Middle Eastern countries is promising.
The African Solar Energy Industry Association last year released the "2023 Outlook Report" which shows that the photovoltaic industry in the African region is accelerating. South Africa, Morocco, Egypt, and other countries are leading in photovoltaic construction projects. For example, Egypt in the "2035 Comprehensive Sustainable Energy Strategy" proposed that by 2035 the installed scale of renewable energy power generation will reach 61 gigawatts (GW), of which the installed scale of photovoltaic power generation will reach 43 GW. Meanwhile, more regional countries such as Cape Verde, Botswana, and Eritrea are increasing their investment in the PV industry and starting to build and operate large-scale PV projects.
In recent years the EU PV industry has also realized faster growth. According to a report released by the European Photovoltaic Industry Association, the new installed capacity of PV in the EU is expected to reach 56 GW in 2023, maintaining an annual growth rate of more than 40% for the third consecutive year; it is expected that the total installed capacity of PV power generation is expected to double by 2026, reaching an expected 484 GW.
The University of Exeter reports that the rapid development of the global photovoltaic industry is mainly due to two factors. On the one hand, the relevant countries have launched policy measures to support the photovoltaic industry, and on the other hand, the price of photovoltaic components has fallen sharply. From 2010 to 2022, the global average weighted cost of solar power generation has been reduced by 89% to $0.049/kWh, almost 1/3 lower than the cheapest fossil fuels.
A recent feature article on the World Bank's website indicated that by 2030, PV microgrids could provide uninterrupted power to 380 million people. However, the current global investment in grid infrastructure is still seriously inadequate. Relevant countries need to develop appropriate policy measures to promote financial inclusion and encourage private investment. The international community needs to increase its efforts to support developing countries in building energy infrastructure and promoting energy structure transformation.
China's contribution to global green development
The Francisco Pizarro solar power plant in the autonomous region of Extremadura, Spain, which will be put into operation in 2022, is one of the largest operational photovoltaic (PV) power plants in Europe, and all the solar panels used in the plant are from China; in Garissa County, Kenya, the Garissa PV power plant constructed by a Chinese company has effectively solved the problem of power shortage in the area, and has continued to provide clean power for the local people. ......
In recent years, the Bank of China has participated in the PV2 photovoltaic power plant project in Al Dhafra, UAE, and the 300 MW photovoltaic project in Sakakaar, Saudi Arabia, and last year, the Bank of China successfully issued a USD 500 million "One Belt, One Road" themed green bond. Pan Xinyuan, president of the Bank of China Dubai Branch, said that China, as the world's largest producer of photovoltaic modules, has a leading advantage in the construction of photovoltaic projects. As a "bridge" connecting production capacity and demand, Chinese banks can play an active role in promoting global energy transformation.
Fatih Birol, Director of the International Energy Agency (IEA), said that China has made remarkable achievements in the development of clean energy such as solar and wind power and electric vehicles, and "is a champion in the field of clean energy". Sultan Al Jaber, Minister of Industry and Advanced Technology of the UAE and Chairman of COP28, said China's continued leadership in clean energy technology is an important factor in helping to realize the global energy transition combat climate change, and promote development.
Xiao Jinyu, deputy director of the Economic and Technological Research Institute of the Global Energy Internet Development Cooperation Organization, said in an interview with this reporter that China has elevated the accelerated development of renewable energy to the height of guaranteeing national energy security and strengthening the construction of an ecological civilization, and has achieved leapfrog development in a short period. It is because of China's vigorous development of renewable energy, in recent years the global solar power generation cost reduction of nearly 90%, and wind power cost reduction of 80%.
Egyptian Deputy Minister of Electricity and Renewable Energy Ahmed Mohamed Messina said that China's program is of great significance to the global energy transition and climate governance, and provides feasible solutions for African and Arab countries to promote energy transition, economic development, and ecological environment improvement. Erik Solheim, vice president of the "Belt and Road" International Alliance for Green Development and former deputy secretary-general of the United Nations, said China has made great contributions to the development of global renewable energy and has also brought innovative driving force to the economic development and green low-carbon transformation of developing countries.