Global Green Energy Boom: Is Canada Being Left in the Shade?

The global transition to renewable energy has reached a significant "tipping point," with solar and wind power becoming increasingly cost-effective and widespread, according to recent United Nations reports. Despite this progress, the pace of this transition is not yet fast enough to meet climate goals, and challenges remain, particularly for developing nations.

Global Green Energy Surge

The UN reports highlight a dramatic shift in global energy production. In the past year, 74% of the growth in worldwide electricity generation came from green sources like solar and wind. Furthermore, 92.5% of all new electricity capacity added globally was from renewables. The cost of solar power is now 41% cheaper and wind power is 53% cheaper than the lowest-cost fossil fuels. This economic advantage is driving massive investment, with $2 trillion invested in green energy last year, surpassing fossil fuel investments by $800 billion.

• Renewables provided a record 32% of global electricity in 2024.

• Solar was the leading source of electricity in the EU for the first time in June.

• Electric vehicle sales have surged to over 17 million in 2024.

Canada's Position in the Green Revolution

While the world is embracing renewables, Canada is noted for lagging behind in solar power development compared to other developed nations. Despite having significant solar potential and a relatively decarbonized grid due to hydropower and nuclear energy, Canada's solar sector has been hampered by shifting provincial policies and public misconceptions. Experts suggest that Canada could significantly accelerate its solar deployment by leveraging its existing hydroelectric infrastructure, similar to Brazil's successful model.

Challenges and Opportunities Ahead

Despite the positive global trends, challenges persist. Fossil fuel production continues to increase globally to meet rising energy demand, partly driven by artificial intelligence data centers and the need for cooling due to climate change. UN Secretary General António Guterres urged major tech firms to power data centers entirely with renewables by 2030. He also warned nations clinging to fossil fuels that they risk economic decline.

In Canada, while the renewable sector is growing, there's a call for more consistent and supportive federal and provincial policies to encourage solar adoption. The polarization of the energy debate is seen as a barrier to building necessary energy capacity. However, the upcoming federal election presents an opportunity for a "fresh start" to drive renewable energy projects and capitalize on Canada's clean energy potential.

The Future of Energy

The UN reports emphasize that the fossil fuel age is declining, ushering in a new era of abundant, clean energy. The economic viability of renewables is undeniable, creating a cycle of decreasing costs and increasing adoption. Canada has the potential to become an energy superpower by embracing this transition, but it requires pragmatic policy decisions that move beyond ideological barriers and focus on building critical infrastructure for a sustainable energy future.

Sources

• Green energy has passed 'positive tipping point,' and cost will come down, UN says, CBC.

• Global solar boom leaving Canada in the shade — but federal shift could change sector fortunes, Canada's National Observer.

• Renewables provided record share of global electricity in 2024, CBC.

• To be an energy superpower, Canada must set aside flawed green ideology, The Globe and Mail.

• Solar was the leading source of electricity in the EU last month, says report, CBC.