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What happened
The global renewable energy sector has achieved a significant milestone, with renewables surpassing coal in electricity generation for the first time, according to a report by Ember. This achievement comes despite the U.S. government's efforts to phase out tax credits for wind and solar power, which have hindered domestic growth. The report highlights that solar energy accounted for over 80% of new global energy demand in the first half of 2025, particularly in China and India. While fossil fuel generation increased in the U.S. and EU due to adverse weather conditions, the International Energy Agency (IEA) projects that global renewable capacity will more than double by 2030. Experts believe that despite U.S. policy challenges, the momentum for renewable energy growth is unstoppable.
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Key insights
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1
Renewables Surpass Coal
For the first time, renewable energy sources have outpowered coal in global electricity generation.
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2
Record Investment in Renewables
Global investment in renewable energy reached record levels in the first half of the year.
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3
Solar Dominance
Solar energy accounted for over 80% of new global energy demand in early 2025.
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U.S. Policy Challenges
U.S. renewable energy growth is hindered by government policies and reduced tax credits.
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Future Projections
IEA expects renewable capacity to double by 2030 despite current setbacks.
Takeaways
The transition to renewable energy continues globally, despite challenges in specific regions like the U.S.