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Global clean energy capacity additions set to decline in 2026 for first time in five years: IRENA

Global additions to clean energy capacity are expected to decline in 2026 for the first time in five years, as inadequate electricity transmission infrastructure and trade barriers constrain the pace of deployment, Reuters reported, citing International Renewable Energy Agency (IRENA) Director-General Francesco La Camera.

The slowdown comes even as governments seek to expand clean energy capacity to strengthen power supply security and reduce energy costs, particularly following disruptions to global energy supplies and rising prices linked to the US-Israeli war on Iran.

China, the world’s largest renewable energy producer, has been a major factor behind the expected decline. Renewable energy deployment in the country has slowed as grid constraints have led to increased curtailment, where electricity generated from renewable sources cannot be absorbed by the power network.

La Camera told Reuters on the sidelines of the Singapore International Energy Week conference that the gap between electricity generation capacity and the ability of networks to transmit and distribute power was the main reason global capacity additions were unlikely to set a new record this year.

China curtailed enough clean electricity in the first half of 2026 to meet Mexico’s power requirements for an entire year, according to the report. Similar challenges are emerging in countries such as Australia and Japan, where electricity networks have struggled to keep pace with the rapid expansion of renewable energy capacity.

La Camera said growth in other markets was unlikely to compensate for the slowdown in China, indicating that global clean energy capacity additions could fall below the previous year’s level.

The development highlights the growing importance of investment in electricity grids and transmission infrastructure to ensure that new renewable energy capacity can be effectively connected to power networks and utilised.

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