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IRENA warns global clean energy capacity additions will decline in 2026 for the first time since 2021, as transmission bottlenecks and trade barriers block new generation from reaching consumers.
Solar PV accounted for 83% of all new electricity generation capacity added globally in 2025, and for the first time, renewables surpassed coal in total global electricity generation. The challenge now isn't building clean energy — it's using it efficiently.
Grid-scale battery storage is filling the gap between AI data centers' round-the-clock power demands and intermittent renewables — reshaping how hyperscalers structure power agreements.
A World Economic Forum analysis finds that AI-enabled tools — not government policy — have become the primary driver of renewable energy deployment speed, as global renewables added 793 GW in 2025 and surpassed coal in electricity generation for the first time.
AI's energy demand is accelerating renewable buildout through hyperscaler procurement commitments — but the feedback loop is policy-dependent and could reverse if clean-energy matching requirements aren't enforced.
AI data centers are projected to account for 55% of all U.S. electricity demand growth over the next five years — and renewables are the only generation technology that can keep pace.
A new U.S. energy outlook projects AI data centers will account for 55% of all electricity demand growth through 2050 — stressing the grid while paradoxically accelerating the renewable energy build-out as hyperscalers buy clean power at scale.
Workable solutions to AI's power grid strain exist — but permitting bottlenecks, eliminated tax credits, and political obstacles are blocking 2,500 gigawatts of energy projects worldwide.