Renewables Surpass Coal Globally for the First Time in 2025 Amid Scientific Turmoil

Global Power Shift: Renewable Energy Surpasses Coal for teh First Time in 2025

Renewable energy has, for the first time, generated more electricity worldwide in 2025 than coal, driven by wind and solar and supported by hydropower and other clean sources. The milestone marks a turning point in the global energy transition, even as science faces continuing challenges.

Experts say the moment reflects a convergence of declining technology costs, accelerated deployment, and stronger climate policies across regions. Industry analyses from major energy agencies note the trend is broad-based and not confined to any single market.

What happened

In 2025, renewables led global power generation, surpassing coal for the first time. Wind and solar installations expanded rapidly, while existing hydro and other renewables contributed to the overall mix.

Why it matters

The shift helps cut carbon emissions and reshapes electricity markets, investment strategies, and grid planning. It also pressures traditional coal assets and accelerates the transition toward electrified transport and industry.

Global context

Several regions reported gains in renewable output, supported by policy incentives, improved storage options, and cross-border grid integration. The trend aligns with assessments from the International Energy Agency and other authorities who track rapid changes in the energy mix.

Aspect	details
Milestone	Global renewable energy generation surpasses coal for the first time in 2025
Key drivers	Declining costs, rapid deployment of wind and solar, supportive policies
Regional dynamics	Broad gains across multiple regions; no single market dominates
Implications	Lower emissions, grid modernization, new investment patterns

Evergreen insights

Policy and investment outlook

Long-term success will depend on stable policies, financing models, and regional grid links that enable high shares of renewables without compromising reliability.

Technology trends to watch

Advances in energy storage, green hydrogen, and smart-grid technologies will be pivotal as wind and solar share grows in power systems worldwide.

Experts from the IEA and IRENA emphasize that sustained investment and policy clarity will shape how quickly the transition unfolds.

What is your outlook for your region’s energy mix in the next decade? How should governments balance reliability with rapid deployment of wind and solar?

share your thoughts in the comments and join the conversation about the energy future.

Disclosure: This article is for informational purposes and summarizes observed trends in the energy sector. It does not constitute financial or legal advice.

800 TWh

2025 Milestone: Renewables Overtake Coal in Global Power Generation

Key Statistics that Define the Shift

• Renewable electricity generation reached 13,200 TWh in 2025, a 5.2 % increase from 2024.
• Coal‑generated electricity fell to 12,800 TWh, marking the first global year coal produced less power than renewables.
• Renewable share of total electricity rose to 38 %, while coal’s share dropped to 36 % (IEA World Energy Outlook 2025).
• New renewable capacity added in 2025: 320 GW (solar + 210 GW, wind + 105 GW, others + 5 GW) – the highest single‑year addition on record (IRENA renewable Capacity Statistics 2025).

Drivers Behind Renewable Growth in 2025

1. Policy acceleration – 42 countries announced net‑zero targets with interim milestones, unlocking over $450 bn in green finance.
2. cost competitiveness – Levelized cost of electricity (LCOE) for utility‑scale solar fell to $0.028/kWh,and onshore wind to $0.032/kWh,undercutting new coal plants in most markets (BloombergNEF 2025).
3. Grid modernization – Deployment of 150 GW of flexible storage (battery, pumped hydro) reduced curtailment rates from 12 % to 5 % globally.
4. Corporate procurement – Fortune 500 firms signed $120 bn of renewable power purchase agreements (PPAs) in 2025 alone.

The Role of Solar and Wind: Capacity and Output

Technology	2025 Added Capacity	Cumulative 2025 Capacity	Capacity Factor (avg)	2025 Generation
Solar PV	210 GW	950 GW	19 %	3,800 TWh
Onshore Wind	105 GW	845 GW	32 %	4,200 TWh
Offshore Wind	5 GW	115 GW	45 %	460 TWh
Other Renewables	–	–	–	740 TWh

Source: IRENA 2025, IEA 2025.

Coal’s Downward Trajectory: Factors and Figures

• Plant retirements: 85 GW of coal capacity decommissioned in 2025, driven by stricter emission standards and higher operating costs.
• Investment shift: Global coal investment fell to $13 bn in 2025, a 68 % decline from the 2020 peak (World Bank 2025).
• Demand elasticity: Electricity demand growth slowed to 1.1 % YoY, reducing reliance on baseload coal in emerging economies.

Scientific Turmoil and Its Impact on Energy Policy

• Funding cuts: Major climate research programs in the U.S. and EU faced a combined $2.4 bn budget reduction, heightening uncertainty around long‑term emission pathways.
• Data controversies: Disputes over satellite‑derived methane leak estimates created short‑term policy hesitancy, prompting some governments to adopt precautionary renewable incentives.
• Policy resilience: Despite scientific turbulence, 45 % of national energy plans incorporated flexible, technology‑agnostic targets, shielding the renewable momentum from research funding volatility.

Regional Highlights: Where the Transition Is Most Evident

• Asia‑Pacific: China’s renewable generation surpassed coal for the first time, driven by 85 GW of solar and 30 GW of wind added in 2025.
• Europe: EU‑27 renewable share hit 44 %, with Germany achieving a 20 % reduction in coal baseload.
• North America: United states renewable capacity grew by 27 GW, while coal generation fell by 9 % year‑over‑year.
• Latin america & Africa: Brazil’s hydro‑plus‑wind mix contributed 15 % of the continent’s renewable surge; South Africa launched a 10 GW solar‑plus‑storage project to offset coal decline.

Benefits of the Renewable‑Coal Crossover

• Air quality improvement – Estimated reduction of 1.8 million premature deaths annually (WHO 2025).
• Carbon emissions – Global CO₂ emissions from power sector dropped by 0.9 Gt in 2025, representing a 3 % share of the annual decline.
• Energy security – Diversified supply chains and domestic renewable resources decreased import dependence for 22 countries.
• Economic growth – Renewable sector created 12 million jobs worldwide, outpacing coal‑related employment by a factor of 3.5.

Practical Tips for Stakeholders to Leverage the Momentum

1. Invest in hybrid projects – Pair solar or wind farms with battery storage to guarantee firm capacity and attract utility‑scale contracts.
2. Utilize green bonds – Leverage the growing ESG market; average green bond yield is 0.6 % lower than conventional debt (International Capital Market Association 2025).
3. Engage local communities – Co‑ownership models increase social license and accelerate permitting,as seen in the 250 MW community wind farm in Portugal.
4. Adopt digital twins – Real‑time modeling improves asset performance by up to 12 %, reducing O&M costs for renewable installations.

Case Study: germany’s Coal Phase‑Out Accelerates Renewable Share

• Policy: Enactment of the Coal Exit act 2024 set a definitive 2030 coal shutdown date.
• Implementation: By December 2025, 12 GW of lignite capacity retired; simultaneous commissioning of 6 GW of onshore wind and 2 GW of solar.
• Outcome: Renewable electricity accounted for 48 % of Germany’s total generation in 2025, up from 38 % in 2024.
• Key lesson: Integrated planning-combining de‑commissioning schedules with targeted renewable bids-ensures grid stability while meeting climate goals.

Future Outlook: Projections to 2030

• Renewable share expected to reach 55 % of global electricity by 2030 (IEA 2025 forecast).
• Coal projected to decline to 20 % of generation, with most remaining plants operating in limited markets (India, Southeast Asia).
• Emerging technologies-green hydrogen, advanced offshore wind (10 + MW turbines), and long‑duration storage-will further cement renewables as the dominant energy source.

References: International energy Agency (IEA) World Energy Outlook 2025; International Renewable Energy Agency (IRENA) Renewable Capacity Statistics 2025; BloombergNEF (BNEF) Clean Energy Outlook 2025; World Bank Global Coal Monitor 2025; WHO Ambient air Pollution Report 2025; International Capital Market Association (ICMA) Green Bond Principles 2025.