Historically conservative in its forecasting for the growth of renewable energies, the IEA appears to be ready to put an end to that trend with its upcoming World Energy Outlook report. The agency has revealed that estimates for solar and wind installations will be significantly increased in the report, as it tries to accurately reflect the renewed global efforts to cut carbon emissions.
The IEA has underestimated growth in the renewables sector for over ten years, which has seen a fair amount of criticism aimed at the agency, which acts as the world’s number one energy forecaster. However, its annual mid-term report, which is due at the beginning of November, will increase previous estimates, and should hopefully more accurately reflect the genuine outlook for the sector.
The main reason for the change in the forecast, according to Bloomberg, is the recent developments in energy policies around the world. These developments have been spurred on by the agreement reached in Paris at the end of last year, which has inspired a number of emission cutting and climate change policies.
All signs seem to be pointing to a sharp increase in the renewable energy industry. Just last week the World Energy Council met for the 23rd World Energy Congress, where the organization predicted that solar and wind will account for 60% of all power generated by 2060. It pointed to the huge investment in the sector as the main catalyst for this. In fact, in 2015, US$ 348 billion was invested in the clean energy industry, which is double the amount that was spent on fossil fuels.