Global electricity generation reached a historic turning point in 2025 as renewable energy sources officially surpassed coal for the first time. According to a new report from energy think tank Ember, clean energy now accounts for nearly 34% of the world’s power, with solar power emerging as the leading renewable source, overtaking wind. While solar adoption is accelerating in nations like Chile and Hungary, legal battles in the United States have temporarily halted federal policies that threatened to stall dozens of gigawatts of new clean energy projects.
The energy landscape underwent a fundamental shift last year, driven by a massive surge in solar capacity. For the first time in modern history, the combined output of solar, wind, hydropower, and biofuels reached 34%, edging out coal’s 33% share of the global power mix. Solar power played the most critical role in this transition, officially becoming the world’s primary renewable energy source. The growth is not limited to traditional leaders; the number of countries generating at least 10% of their electricity from solar has more than tripled since 2020, rising from 15 to 50 nations.
Chile and Hungary have emerged as notable success stories in the transition to clean energy. Last year, Chile sourced 25% of its total power from solar, while Hungary reached 27%. These figures represent a dramatic escalation from 2020 levels, when solar contributed less than 10% to their respective grids. The intensity of solar production is particularly visible during midday peaks. In May 2025, solar provided an average of 25% of global electricity during noon hours. On a local level, the figures were even more striking: the Netherlands averaged 77% of its midday power from solar, while Hungary peaked at a record-breaking 91%.
Despite these gains, significant untapped potential remains in countries where energy demand is skyrocketing. While the United States met 88% of its new power demand with clean energy last year, India—which saw the second-highest demand growth globally—still relied on fossil fuels for more than half of its new requirements. Analysts point out that India, Saudi Arabia, Indonesia, and Egypt possess vast solar resources that remain largely underutilized as they continue to expand their fossil fuel infrastructure.
In the United States, the clean energy sector recently secured a legal victory against federal restrictions. A judge has issued a temporary stay on Trump administration policies that had effectively frozen wind and solar projects on federal lands. These regulations required personal approval from the Interior Secretary for all project decisions, a move that advocates claim put 57 GW of capacity at risk and jeopardized nearly $905 million in investments. While the pause is temporary, the court indicated that the current blockade likely violates federal law.
The global offshore wind sector also saw steady progress, adding 9 GW of new capacity in 2025 to reach a global total of 92 GW, led primarily by developments in China and the United Kingdom. However, the U.S. market continues to face headwinds. Federal negotiations are underway to potentially refund developers for canceled leases, and several turbine manufacturers and subsidiaries have faced bankruptcy or contract disputes.
Technological innovation continues to move forward in the background. Startups are currently working to commercialize “solar panel sandwiches” using perovskite crystal structures, which could significantly boost the efficiency of a standard solar module. In more localized developments, small communities are pursuing geothermal heating projects, while educational institutions are piloting thermal batteries to maximize the utility of wind-generated power and reduce CO2 emission levels.