Renewables are set to make up 66% or electricity generation by 2050, DNV GL has forecast, while calling for more development of floating renewables to meet Paris Agreement targets.
DNV GL predicted “another significant rise” in renewables deployment this decade due to the decreasing costs of wind projects, and solar module improvements, combined with advanced energy storage solutions, in a new report.
The certification group said this will not be enough to meet the Paris Agreement target of keeping global warming well below 2°C by 2050.
DNV GL said its study aims to show the energy transition can be accelerated through the rapid uptake of renewable energy to limit global warming to 1.5°C.
Steps include the acceleration of floating wind and energy storage development as well as scaling up of emerging technologies such as electric vehicles and hydrogen.
System operators, utilities and electricity market regulators must provide “greater focus” on how the increasing volume of renewable energy is to be integrated efficiently while maintaining high levels of grid reliability for consumers, the report said.
This includes new business models to give users a greater role in balancing consumption.
Governments must “relax restrictions” on renewables and implement policies which favour investment in renewable energy by reducing risk and increasing rewards, including carbon tax or cap and trade system which fund subsidies for green energy, said DNV GL.
Meanwhile economic stimulus programmes built around the proven resilience of renewable energy will provide the opportunity to further accelerate their expansion, the study found.
Global experts from across technology, policy, markets and financial disciplines, as well as major industry players including RES, Equinor and Vestas contributed to the report.
DNV GL Energy chief executive Ditlev Engel said: “We know we need to change the forecast to prevent a rise in the average global temperature to 2.4°C above pre-industrial levels. To do so, we must transition to a clean energy future faster, much faster.”
“Although there is no silver bullet, there are steps that governments, businesses and society can take.
“Innovation is thriving and can deliver change at a rapid pace. But we need a combination of measures with technology, business models, policy and investment all working together to move towards a low-carbon future.”