A new report says that Asia’s investment in renewable energy has grown exponentially since 2004, with an average annual growth rate of 23%, reaching $345 billion in 2022. Currently, Asian investments in wind and solar energy account for 52.5% of global capacity in 2022.
The report by international research group Zero Carbon Analytics, titled A driving force: Asia's Energy Transition, is the third in a series of reports that examine evidence of growth in the clean energy transition. It highlights that Asia has achieved the fastest growth rate of wind and solar capacity at 35% per year, and it has outpaced other continents since 2015.
In 2022, total Asian funding for renewables reached $532 billion, accounting for 65% of the global spend on renewables. Notably, India’s growth in renewables is more than coal power growth, the report said.
Meanwhile, China had the fastest growing the fastest–growing deployment of wind and solar in the world between 2000 and 2022, doubling its wind capacity about every 1.5 years and its solar capacity about every 2.5 years, the report revealed. China accounts for more than 73% of Asia’s total wind and solar capacity.
In India, two-wheelers and three-wheelers are leading the electrification of road transport in the country’s development as these vehicle segments account for around three-fourths of motor vehicle sales in the country, Amit Bhatt, India Managing Director, International Council on Clean Transportation, said in a press statement. According to the report, sales of electric motorbikes and scooters in India have increased by over 3,000% in just seven years to 2022.
He added, “The electrification of two and three-wheelers also holds significant importance from a public health standpoint in urban cities like Delhi, motor vehicles stand out as the primary source of pollutants, contributing to around 40% of emissions. These vehicles contribute almost half (44%) of these emissions, emphasising the importance of transitioning to cleaner alternatives.”
The increased adoption of renewable energy in Asia is linked to significant cost reductions over the past few years, driven by advancements in technology, economies of scale and more resilient supply chains, the report explained. At the end of 2022, renewable energy was on its way to becoming more cost-competitive than fossil fuels.