- IRENA advisory highlights renewables as a strategic tool for energy security and resilience during the ongoing global energy crisis.
- Global renewable power capacity surged with 692 GW added in 2025 while more than 85% of new renewable power is now cheaper than fossil fuel alternatives.
- Policy makers urged to accelerate distributed renewables, storage, electrification and grid flexibility to strengthen long term energy security.
A new policy advisory from the International Renewable Energy Agency (IRENA) has underscored the growing role of renewable energy in strengthening energy security and system resilience as countries continue to grapple with ongoing disruptions in global energy markets. The brief highlights how the strategic deployment of renewables is already helping multiple economies reduce exposure to fossil fuel price volatility and improve energy independence.
According to the advisory, countries including Spain and Portugal in Europe as well as China, India and Pakistan in Asia are already demonstrating reduced reliance on imported fossil fuels through accelerated renewable energy deployment. The report notes that global renewable power capacity continues to expand at record pace, with 692 GW added in 2025.
The economics of power generation have also shifted significantly in favour of renewables. More than 85% of newly installed renewable power capacity is now cheaper than fossil fuel based alternatives. Since 2010, the cost of solar energy has fallen by 87%, onshore wind by 55% and battery storage by 93%. The report also highlights that firm renewable solutions that combine wind or solar with battery storage are increasingly capable of delivering reliable round the clock electricity at lower cost than most fossil fuel generation.
IRENA Director General Francesco La Camera said the current crisis reinforces the strategic importance of renewables as a national security priority. He noted that governments now face a critical opportunity to accelerate investment in renewable power, electrification and energy system transformation in order to strengthen long term stability and resilience.
The advisory further warns that continued reliance on fossil fuels exposes national economies to structural vulnerabilities, particularly in markets where oil and gas price fluctuations strongly influence electricity costs. These risks are expected to extend beyond energy markets, contributing to inflationary pressures and wider economic instability, with the most severe impacts likely to affect vulnerable communities.
La Camera added that country level evidence confirms renewables are increasingly central to strengthening energy system resilience, reducing exposure to external shocks and supporting stable economic development.
The brief sets out a series of recommendations for policy makers. In the short term, it calls for accelerated deployment of distributed renewable energy systems supported by financial and logistical measures to enable rapid rollout. It also recommends public awareness campaigns and targeted measures to reduce energy demand, alongside the introduction of time of use tariffs to shift electricity consumption to periods of high renewable generation.
Additional recommendations include fiscal incentives such as grants, subsidies and tax rebates to support electrification, faster deployment of solar PV battery hybrid mini grids in off grid and weak grid areas, and increased support for transport electrification including two and three wheeler adoption and electric public transport systems.
In the mid term, the advisory emphasises the need to scale up renewable generation and strengthen enabling infrastructure through accelerated project approvals, improved grid capacity, expanded battery storage and stronger demand side management. It also highlights the importance of adapting policy frameworks to manage inflationary pressures and supply chain constraints while supporting electrification across heating, transport and industrial sectors.
Over the long term, the report calls for clear and stable policy frameworks to attract investment, integration of electrification into national energy planning, and stronger domestic supply chains. It also recommends expanding hybrid renewable projects, supporting industrial electrification and ensuring that any continued fossil fuel support is aligned with measurable progress toward renewable energy targets.
Author: Bryan Groenendaal
