- IEA estimates that there are 1,500 gigawatts of solar PV and wind projects in advanced stages of development that remain stuck due to grid constraints.
- By 2030, the operation and regulation of grids will require significant reforms, including doubling annual investment in grids to over $600 billion.
In its latest Electricity Grids and Secure Energy Transitions report, the International Energy Agency has said the world needs to act fast to improve and expand its electricity grids or risk facing a climate catastrophe and frequent blackouts.
Electricity grids are the lifelines of modern societies, powering homes, factories, offices, and hospitals. They are also crucial for the transition to clean energy, as more and more electricity comes from solar, wind, and other low-carbon sources. However, the report found that grids must catch up with the pace of change and innovation in the energy sector.
The report warned that grids could become a bottleneck for deploying renewables and electrifying transport and heating without more investment and policy support. This could jeopardise the goal of limiting global warming to 1.5 °C and threaten energy security. According to IEA, to meet all national climate and energy targets, the world must add or replace 50 million miles (roughly converted from 80 million kilometres) of power lines by 2040.
This quantity is the same as the length of the existing grid. By 2030, the operation and regulation of grids will require significant reforms, including doubling annual investment in grids to over $600 billion. The report also highlighted the growing backlog of renewables projects awaiting connection to the grid. IEA estimates that there are 1,500 gigawatts of solar PV and wind projects in advanced stages of development. This is enough to power over a billion homes but remain stuck in limbo due to grid constraints.