Page 14 - Policy Economic Report - April 2026

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

2. Global wind installations jump 40% to record 165 GW in 2025: GWEC – ET Energy

Global wind power installations recorded a significant surge in 2025, increasing by 40 per cent year-on-
year to a record 165 GW, reflecting a rapid acceleration in the global energy transition. The expansion
comes amid rising oil and gas prices and supply disruptions, highlighting the growing importance of
renewable energy in enhancing energy security and reducing dependence on fossil fuels. Total installed
wind capacity reached 1,299 GW by the end of 2025, with 138 countries now generating power from wind
energy, indicating broad-based adoption across regions.

Key Highlights

• Asia-Pacific accounted for nearly 80 per cent of global capacity additions, led by China and India
• China added over 120 GW, while India recorded 6.3 GW, nearly doubling its annual installations
• The top five markets contributed 86 per cent of global additions, including the United States,

Germany, and Brazil
• Onshore wind dominated growth with over 155 GW, while offshore wind added around 9 GW,

taking total offshore capacity close to 100 GW
• Europe surpassed 300 GW of installed capacity, adding 19.1 GW, while the United States added

nearly 7 GW of new onshore capacity
• Persistent challenges include regulatory delays and grid infrastructure bottlenecks
• Global wind capacity is projected to grow by ~969 GW during 2026–2030, with total capacity

expected to exceed 2 terawatts by the end of the decade

3. Increase in renewable energy curbs emissions growth in 2025

The expansion of renewable energy, particularly solar power, played a crucial role in moderating global
emissions growth in 2025. According to the International Energy Agency, energy-related carbon dioxide
emissions increased by just 0.4 per cent, marking a slowdown compared to previous years. This
moderation was driven largely by the rapid growth in renewable energy supply, which helped offset
emissions increases in advanced economies, even as global energy demand continued to expand.

Key Highlights
• Expansion of solar power was a major factor in slowing emissions growth
• Renewable energy growth in developing economies helped offset emissions increases in
advanced economies
• Advanced economies recorded a rise in emissions, led by higher coal use in some regions
• Global energy demand growth moderated to around 1.3%, with slower growth in gas demand due
to high prices
• In China, emissions declined due to increased deployment of renewables and low-emission
technologies

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