17 April 2017: Demand from China is set to boost solar capacity in 2017, and Saudi Arabia is taking steps to implement its clean energy plan. The deployment of renewables was also the focus of a workshop of the International Energy Agency (IEA). This update brings you news on these developments, which contribute to Sustainable Development Goals 7 (affordable and clean energy) and 13 (climate action).

A study by Greentech Media indicates that China’s record solar demand has shifted global solar photovoltaic (PV) projections for 2017, raising global demand estimations from 7% global PV market contraction in 2017 to 9.4% growth. According to the report, up to 85 gigawatts (GW) of solar capacity could be installed in 2017, which is more than double the installed capacity in 2014.[Climate Action Press Release] [Green Tech Report]

Solar energy was also in the spotlight in the Middle East in recent weeks. The Government of Saudi Arabia is appealing to renewable energy firms to bid for a combined total of 700 megawatts (MW) of wind and solar projects, as part of a programme that aims to invest US$50 billion in renewable energy by 2023 to reduce its dependence on oil and encourage renewable energy generation. This development will contribute to achieving to SDG target 7.2 (By 2030, increase substantially the share of renewable energy in the global energy mix). [Climate Action Press Release]

The IEA workshop addressed the contribution that decentralized, local energy solutions can make to drive renewables deployment and decarbonize energy systems.

As underlined by IEA, with urban energy use growing rapidly, cities will be key to a sustainable energy transition. The scaling-up of renewables through decentralized energy solutions was the focus of the annual workshop of the IEA’s Renewable Energy Working Group, which took place in Paris, France, on 28 March 2017. The event brought together over 180 government officials, industry representatives and energy experts, who discussed the contribution that decentralized, local energy solutions can make to drive renewables deployment and decarbonize energy systems. Such a transition will contribute to SDG 11 (sustainable cities and communities), target 11.6 (By 2030, reduce the adverse per capita environmental impact of cities, including by paying special attention to air quality and municipal and other waste management).

According to IEA, current market designs and existing regulations hinder the development of a more decentralized energy model. Other obstacles identified during the workshop included: fossil fuel subsidies; the lack of a carbon price; diverse fiscal regimes; and uneven cost sharing for electricity grid costs. Participants also called for a more integrated approach to policy making, linking the power, heat and transport sectors. [IEA Workshop Webpage] [IEA Press Release]