A new policy advisory released by the International Renewable Energy Agency (IRENA) outlines how the strategic expansion of renewable energy has helped many countries strengthen their resilience during the current global energy crisis. The advisory is targeted at policy makers who are navigating disruptions in international energy markets and provides both short-term and long-term recommendations to enhance energy security, economic stability and system-wide resilience.
According to the brief, renewable energy is already reducing reliance on fossil fuel imports across a number of regions. Examples include Spain and Portugal in Europe, as well as China, India and Pakistan in Asia. On a global scale, renewable power deployment continues to accelerate, with 692 GW of new capacity added in 2025 alone.
These developments demonstrate how renewables are increasingly shaping energy diversification and long-term planning. The economic competitiveness of renewable power has also advanced significantly. More than 85% of newly deployed renewable energy capacity worldwide 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%. Combined systems that integrate wind or solar with storage, often referred to as firm renewables, can now supply around-the-clock electricity at lower costs than many fossil fuel-fired power plants.
IRENA Director-General Francesco La Camera emphasised the strategic role of renewable energy during the present crisis. He noted that renewables have become a national security priority, offering countries a pathway toward stable and affordable energy. He added that governments should take urgent and targeted measures to guide investment and emergency responses toward faster renewable energy deployment and greater electrification of key processes and sectors. The advisory also highlights how ongoing geopolitical tensions, including the conflict in the Middle East, have exposed the vulnerabilities of energy systems that remain heavily dependent on fossil fuels.
Price fluctuations in oil and gas markets continue to influence electricity prices, creating instability for businesses and households. These impacts ripple outward into supply chains, inflation and overall economic activity, disproportionately affecting the most vulnerable communities worldwide. La Camera noted that examples included in IRENA’s advisory demonstrate the resilience of renewable energy systems. He explained that renewables reduce exposure to fossil fuel price volatility, strengthen energy security and support stable economic development over time.
The brief outlines several recommended actions for policy makers. Immediate steps include facilitating the rapid deployment of distributed renewable energy projects, supported by cross-sector partnerships and financial incentives. Faster development can be achieved through streamlined logistics and targeted public assistance. Governments are also advised to reduce energy demand through public information campaigns and regulatory mandates.
Additional near-term actions include expanding time-of-use electricity tariffs so that consumers can shift their power usage to periods when renewable energy availability is high and prices are lower. Fiscal instruments such as grants, tax rebates and subsidies should be used to support electrification across households and businesses. The brief also encourages accelerating solar PV and battery hybrid mini-grids in off-grid and weak-grid remote areas, promoting two- and three-wheeler electrification in emerging markets, supporting the electrification of public transport and encouraging car-pooling to reduce demand on transport systems.
The advisory further recommends medium-term measures focused on increasing renewable energy capacity and improving the resilience of national energy systems. These include fast-tracking renewable and grid infrastructure projects, ring-fencing funding to ensure continuity, and adapting policies to address inflation and supply chain pressures. Expanding battery storage, enhancing grids and adopting more demand-side management tools will increase flexibility and allow for higher levels of solar and wind integration. Incentives should also be directed toward heating electrification, electric vehicle infrastructure and sustainable aviation fuels.
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