Climate policies to push global wind capacity past 2TW over coming decade

The recent passage of positive climate policies around the globe is expected to help drive growth in the wind energy sector, according to the most recent outlook from clean energy analysts Wood Mackenzie.
In the latest update to their wind outlook, Wood Mackenzie says it expects that “new climate policies and aggressive strategies across the Americas and Europe” will result in a 1.9% increase of installed capacity, quarter on quarter.
This would equate to 25.6GW of new capacity each quarter between 2022 and 2031, which in turn would push combined capacity over the next decade up to around 2,000GW.
Key amongst the policies driving expanded wind growth is the passage of the politically named Inflation Reduction Act (IRA) in the US.
“The Inflation Reduction Act (IRA) establishes long-term investment stability in the US, with more than 5GW of the 6.8 GW upgrade QoQ expected from 2028-2031,” explained Luke Lewandowski, Wood Mackenzie research director.
“Procurement activity in Quebec and a robust pipeline in Alberta will trigger a 2.5 GW upgrade in Canada, strengthening its position as a top 20 global market.”
Europe growth is certain
New and strengthened policies in Germany, France, and Greece, and project concessions and awards in Finland, Denmark, and the UK, have helped boost Europe’s own wind energy sector.
Specifically, Wood Mackenzie expects new European policies to help streamline permitting and help reduce current lead times, which have blown out to 7-10 years.
Similarly, short-term European growth is certain thanks to recent awards. The United Kingdom, for example, awarded a total of 8.5GW worth of new wind capacity in July, alone – 7GW worth of offshore and 1.5GW onshore.
The same could not be said for Eastern Europe, however, where Russia’s invasion of Ukraine has had a negative impact on the domestic renewables market.
China dominates
China remains the dominant long-term player with renewable targets from the provincial governments in their 14th Five Year Plan requiring 60-70GW of new wind capacity added each year by 2025. Short-term concerns remain, though.
“Offshore project disruption in China caused by typhoons, supply chain challenges and Covid-19 outbreaks has put even greater pressure on completing projects before 2026 as the 14th Five Year Plan ends in 2025,” said Lewandowski.
In the rest of the Asia Pacific, the outlook is not quite so robust. For this region, the outlook downgraded “due to the state utility in Vietnam not recognising new wind power over grid stability concerns, but also due to slow market development in Japan and project adjustments in South Korea,” Lewandowski said.
Joshua S. Hill is a Melbourne-based journalist who has been writing about climate change, clean technology, and electric vehicles for over 15 years. He has been reporting on electric vehicles and clean technologies for Renew Economy and The Driven since 2012. His preferred mode of transport is his feet.
“We MUST respect this earth - it is all we have
Claudio Dametto - South Australia
“I will always Vote to Preserve Our World.
Liam McGregor - Western Australia
“A simple message that even a politician can understand
Felicity Crombach - Victoria
“Please show you care about our future generations!!
Phil Harmer - New South Wales
“Save our world , Life & health before profits.
Kerry Lillian - New South Wales
“Close down all coal mines and Do not mine gas . Make these Companies
Daniel Johnson - New South Wales
“We want carbon free energy!
Edan Clarke - New South Wales
“Feels good to be taking a voter action step
Beaver Hudson - New South Wales
“Great Initiative. Let’s Hold elected officials Accountable to their bosses, us!
John Paul Posada - New South Wales
“We need actions not words we need honest democratic govt We need a pm
Bob Pearce - South Australia
“Thank you for this great resource. I was feeling helpless. Even this small step
Silvia Anderson - Victoria
“If political parties continue receiving political donations, we will rarely have politicians working for
Dan Chicos - New South Wales
“I only vote for people who will take urgent action to restore a safe
Susie Burke - Victoria
“Current government is not representing the opinion of the majority of Australian to meet
Neil Price - Tasmania
“We are fighting to rescue our kids' future from those who seek to steal
Vanessa Norimi - Queensland
“No time to waste Now or Never My vote is for NOW
Rosalie White - Victoria
“I am only 9 but I already care
Ava Bell - New South Wales
“From New Lambton Uniting Church - Caring for our world is a moral imperative.
Niall McKay - New South Wales
“Our federal govt is an International climate Embarrassment - its about time they stepped
Oriana Tolo - Victoria
“Vote earth this time!
Sue Cooke - Queensland
“We are in one on the wealthiest countries in the world. we have the
rowan huxtable - New South Wales
“The climate Emergency is the public health opportunity and urgent priority of the 21st
Mike Forrester - Victoria
“If they want my vote they better act now
Barbara McNiff - New South Wales
“We need to act locally now for the earth. Our only home. Vote Earth
Anne Miller - New South Wales
“I often look at the places I've known all my life and see how
Jim Baird - New South Wales
“Strike one For people power!!! Democracy might prevail outside the current cronyism that faces
Lorraine Bridger - New South Wales
“Our federal politicians Are Afraid to make action on climate change a major election
Jennifer Martin - New South Wales
“climate election, let's go!
Fahimah Badrulhisham - New South Wales
“Great to see this website that is a focus on action for climate change
Lynette Sinclair - New South Wales
“Let’s show politicians and the Murdoch media that climate change is by far the
Jane Aitken - Australian Capital Territory
“If you want to stay in power You need to take action to stop
Jane Bulter - New South Wales
“We are all that stands between terminal climate change and the vulnerable. We are
Carol Khan - Queensland
“We need a Government that Believes this is real and not taking money from
Ken Gray - New South Wales
“I'm voting for my childrens future
Anneliese Alexander - New South Wales