Renewable energy on the rise, Part 2: Seeking stability amid fossil fuel market volatility

In contrast to oil and gas, which expose countries to price spikes and geopolitical risks, renewables offer stable, domestically produced energy that can strengthen energy security, reduce harmful greenhouse gas emissions, and support long-term growth.

In the second part of our series focusing on how renewable energy is shaping the future of energy security, UN News looks at four countries that are working to increase their share of greener energy sources.

Why this matters:

As said UN Secretary General António Guterres in March: “The fastest path to energy security, economic security, and national security is clear: accelerate a just transition from fossil fuels to renewable energy.”

Germany: Accelerating the energy transition

The big picture:

Germany is one of the world’s largest economies and according to the German environmental agency, “renewable energy has experienced constant growth” as part of the European country’s long-term shift away from fossil fuels.

Renewable energy helps reduce dependence on imported fuels and protects consumers from global price shocks and addresses climate change.

Energy mix:

• Renewable energy provides 55 percent of electricity consumption
• Wind – and to a lesser extent, sun – dominates.
• Biomass (energy produced from organic matter) and hydropower are also part of the combination
• Fossil fuels are still used in industry and transportation

Main challenges:

Wind power is by far the most important energy source, and this sometimes leads to inconsistent electricity generation levels. Ensuring industrial demand is met and maintaining the stability of the electricity grid remains a major challenge. Meanwhile, fossil fuel reserves continue to be needed during the transition to renewable energy.

Progress towards full transition:

• Expansion of offshore wind power and solar power
• Modernization and expansion of the power grid as well as investment in storage facilities were described as “critical” in the transition process

India: Scaling up renewable energy for development

The big picture:

India has a developing economy and is the country with the largest population in the world. The country still relies on coal to generate the electricity it needs despite the rapid development of solar and wind energy.

Renewable energy helps reduce expensive fuel imports and stabilize energy supply in a dynamic economy.

Energy mix:

• Renewable energy accounts for around 30% of installed capacity (a measure of potential maximum electricity output)
• Solar power is growing rapidly
• Coal still dominates

Main challenges:

Meeting rapidly increasing energy demand as the economy grows while reducing dependence on coal remains a challenge, especially given concerns about the affordability of renewable energy and the need to ensure reliable electricity supplies across the country.

Progress towards full transition:

• Large solar garden and roof extension
• Wind and hybrid systems
• Green hydrogen initiative

Solar-powered livelihood programs increase income and energy access in rural communities. Read more Here.

Bolivia: Switching from gas to renewable energy

The big picture:

Bolivia is seeking to diversify away from natural gas, which dominates its energy system. Hydroelectric power generation is key to the South American country’s long-term energy stability and economic resilience.

Energy mix:

• Renewable energy provides around 30–35% of electricity generation
• Hydroelectric power is a major renewable source
• Solar and wind power are becoming more widespread
• Natural gas still dominates

Main challenges:

Bolivia continues to rely on existing gas revenues and infrastructure to extract, process and transport the fuel. Large structural dependencies and access to sufficient funding for large-scale deployment of renewable energy make a rapid transition from fossil fuel sources a challenge.

Progress towards full transition:

• Expansion of solar power in rural and highland areas
• Wind farm development
• The national roadmap targets major renewable energy growth

Read how Solar powered irrigation helping rural communities increase agricultural productivity in Bolivia.

Nigeria: Unlocking the potential of solar power

The big picture:

Nigeria is the country with the largest and most populous economy in Africa. More than 60 percent of its 241 million people live in poverty according to UN figures.

Despite the development challenges it faces, the country has huge renewable energy potential even though it still relies heavily on fossil fuels. Frequent electricity shortages and reliance on diesel generators highlight the need for more resilient renewable energy-based systems.

Energy mix:

• Renewable energy contributes around 20–25 percent of electricity generation
• Hydroelectric power plants provide most of the renewable supply
• Solar power is growing but underdeveloped
• Gas dominates electricity generation

Main challenges:

The goal of this West African country is to produce 50 percent of its electricity comes from renewable energy by 2030 and to achieve this, the country needs to build more infrastructure especially a more reliable electricity grid, spend more money and end the industry’s dependence on gas-fired power plants.

Progress towards full transition:

• Expansion of solar power grids and off-grid small grids
• National electrification program
• Increase investment in home solar systems

Read how UN-backed solar power grid program in Nigeria provides electricity to rural communities, supports business and improves the quality of life.

The main thing is:

Across countries, from industrialized Germany to developing countries such as India and developing countries such as Bolivia and Nigeria, there are clear trends:

• Renewable energy strengthens energy security
• They reduce dependence on volatile fossil fuel markets
• They provide real benefits to society and the economy

But challenges remain – from financing and infrastructure to balancing reliability and rapid expansion.