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THE global installed capacity of renewable energy could double to more than 3,203 GW in 2025 from 1,566 GW in 2012, a new analysis by Frost & Sullivan shows. The study, titled Annual Renewable Energy Outlook 2014, anticipates an average yearly growth rate of 5.7 percent and for solar photovoltaic (PV) technology to account for 33.4 percent of total renewable-energy capacity additions over the period.

Wind is expected to follow with 32.7 percent of new capacity additions, ahead of hydropower at 25.3 percent, while other renewable technologies will represent the remaining 8.6 percent.

Industry director Harald Thaler also expects emerging economies to play a larger role, as the weak economic climate in Western Europe affects support schemes.

More than 130 countries currently have supportive policies in place for renewables, which has translated into a dramatic rise in renewables investment in recent years.

In addition, a decline in the cost of renewable energy, as a result of technological innovation and economies of scale, has also enabled developing countries to adopt these technologies.

The cost of solar PV modules, for instance, have dropped by about 70 percent between 2008 and 2013, making solar more competitive with fossil-fired power and driving accelerated adoption rates.

“Renewable-energy installations in 2013 saw the continued, gradual shift in market power to emerging economies, where economic growth and revised energy priorities will drive a sustained increase in the adoption of renewable energy,” Thaler says. – Online.