The global shift to clean energy has achieved significant milestones and is expected to continue advancing at a steady rate, according to two new reports by BloombergNEF (BNEF).

One of the reports reveals that, for the first time, more than 40% of global electricity in 2023 came from zero-carbon sources. Hydropower contributed 14.7%, while wind and solar provided almost as much – a combined 13.9% – and setting a new record. Nuclear energy accounted for 9.4%.

The reports are: "Power Transition Trends 2024" and the "2H 2024 Renewable Energy Investment Tracker."

They show that the push for clean power has gained momentum, with wind and solar comprising a startling almost 91% of new power capacity additions in 2023, up from 83% the previous year. Meanwhile, fossil fuels such as coal and gas made up only 6% of new power builds, the lowest percentage on record.

The renewable sector appears poised to replicate this success in 2024, as $313bn was invested in renewable projects in the first half of the year, consistent with investments during the same period in 2023.

Even with a 4% decline due to cheaper equipment, China remains the leader in new renewable investments. The United States ranked second in the first half of 2024, with investments increasing by 63% since the 2022 Inflation Reduction Act (IRA). Pakistan jumped to the fifth spot for solar investments, up from 14th place the previous year.

"Power Transition Trends" offers a comprehensive analysis of power capacity and generation data from 140 countries, along with aggregated data from other regions, to showcase trends in the global energy shift and efforts to reduce carbon emissions.

"We've observed a significant shift in renewable energy compared to just a few years ago," stated Sofia Maia, lead author of "Power Transition Trends 2024."

The "Renewable Energy Investment Tracker" provides a biannual overview of global investment in renewable energy and related company equity.

BNEF also notes that global power generation capacity reached 8.9 TW in 2023. Wind energy alone reached 1 TW of installed capacity, a notable milestone. However, this achievement was overshadowed by rapid solar growth, with an additional 428 GW of solar capacity installed in 2023, a 76% year-on-year increase, bringing the total global solar capacity to 1.6 TW.

In 2023, 10 countries produced about 75% of the world's renewable electricity. China remained the largest contributor, generating nearly one-third of global renewable energy, followed by the US, Brazil, Canada and India, which together accounted for 60% of global renewable output.

Regarding global renewable investments in the first half of 2024, the total of $313bn is lower than the investment tracked in the previous six months but matches the amount from the first half of 2023, showing the sector's continued momentum.

“Oil companies may be pulling back from renewables, but this hasn’t reduced global investment,” said Meredith Annex, lead author of the "Renewable Energy Investment Tracker."

"If projects are ready to move forward, funding will be available,” she said. “The priority should be making wind and solar development easier worldwide."

BNEF's analysis shows differing trends for wind and solar in 2024.

Solar investment in the first half of 2024 increased y/y to $221bn for both large and small-scale projects. However, growth may slow as cheaper technology means less investment is needed for the same capacity, and grid congestion becomes an issue in some regions. Wind investment dropped to $90.7bn, an 11% decrease compared with the same period last year, with offshore wind particularly affected by government auction schedules.

Onshore wind continues to face challenges, such as permitting and grid connectivity, making its growth slower compared with solar.