- IRENA urges countries to accelerate renewable energy adoption to shield economies from fossil fuel shocks, outlining actions for energy security.
- The advisory highlights renewables as both cheaper and more resilient, with solar and battery costs falling sharply and countries with higher adoption better weathering the crisis.
The International Renewable Energy Agency (IRENA) has issued a policy advisory urging governments to move from the current energy crisis toward long-term energy security by accelerating the transition to renewable energy. The report comes amid supply disruptions in global oil and gas markets, driven by geopolitical tensions in the Middle East, which continue to push up energy prices and strain economies worldwide.
IRENA identifies renewable energy as the most effective way to reduce exposure to fossil fuel volatility. It outlines a phased approach covering short-, medium-, and long-term actions to stabilise energy systems and strengthen resilience.
In the short term (zero to six months), governments must prioritise essential services such as healthcare and agriculture. They should rapidly deploy decentralised solutions like solar PV systems and battery-based mini-grids, particularly in vulnerable and off-grid communities. At the same time, authorities should promote energy efficiency through public awareness campaigns and remove trade barriers on renewable energy equipment to speed up deployment.
In the medium term (six to twelve months), countries should establish national task forces to sustain funding for renewable projects and grid infrastructure. They must also improve system flexibility by scaling battery storage and optimising electricity demand. In addition, governments should accelerate the rollout of clean heating technologies such as heat pumps and biogas systems, while fast-tracking approvals for electric vehicle charging infrastructure.
Over the longer term (one to three years), IRENA calls for stable and transparent policy frameworks that attract investment in renewable energy. Countries should develop local manufacturing capacity and supply chains to reduce reliance on imports. Furthermore, governments should link any financial support for fossil fuel industries to measurable progress in renewable energy adoption.
The advisory underscores the strong economic case for renewables. By 2024, about 91% of new renewable power projects were cheaper than fossil fuel alternatives. Solar costs have dropped by 87% since 2010, while battery storage costs have fallen by 93%, making clean energy both affordable and competitive.
Recent trends show that countries with higher renewable energy penetration are managing the crisis more effectively. The European Union has reduced fossil fuel spending through increased solar and wind deployment, while Spain and Portugal have lowered their reliance on gas for electricity pricing. Meanwhile, China has limited exposure to global fuel shocks due to lower dependence on oil and gas.
Countries such as India and Pakistan are also expanding solar adoption and electric cooking solutions to ease energy costs for households. In parallel, rapid growth in electric vehicle adoption, particularly in Vietnam and China, is improving energy resilience by reducing reliance on imported fuels.
IRENA concludes that accelerating the shift to renewable energy is critical to delivering affordable, reliable, and secure energy systems while protecting economies from future shocks.