According to a recent report by the International Energy Agency (IEA), governments must take strategic actions to ensure the successful integration of newly deployed solar and wind energy into the grid, while also strengthening infrastructure and regulatory measures.
The report states that new solar and wind installations should be well-integrated into power systems from the outset to avoid losing significant benefits. It warns that failing to do so could result in solar and wind generation being 15% lower than expected by 2030, with a 5% reduction in their share of the global power mix and a 20% decrease in CO2 emissions reductions from the electricity sector.
“If grid integration measures are not implemented in alignment with national climate goals, global renewable electricity generation could be at risk of falling by up to 2,000 TWh by 2030,” the IEA stated, which is equivalent to the total electricity generation of China and the U.S. in 2023.
Keisuke Sadamori, IEA’s Director of Energy Markets, noted that while countries are seeking to enhance energy security and reduce emissions, global solar and wind capacity is significantly increasing. However, without intensified efforts to integrate these technologies into power systems, they cannot fully realize their benefits.
The report reviews global measures for integrating variable renewable energy, covering 50 power systems that account for nearly 90% of global solar and wind generation.
It emphasizes that government support must be strategic and provide guidance for countries at different stages of renewable energy deployment. The report also mentions that many grid integration challenges in regions with a low share of renewables, such as emerging markets like India and Brazil, can be addressed by modifying existing assets or improving operational management to enhance flexibility.
The IEA stated: “These measures include optimizing scheduling processes and improving forecasting, seeking greater flexibility and system services from both conventional and renewable power plants, achieving industrial demand response, and strengthening grid infrastructure.”
For regions with a higher share of renewables in their energy mix, such as Denmark, Ireland, and Spain, the key to successfully addressing grid integration challenges lies in policy and regulatory actions.
“Essential elements include modernizing system operation practices, improving strategic planning, and thoroughly reforming regulatory frameworks,” the IEA noted. “Market design must also evolve continually to accommodate the unique characteristics of new markets, combining solar and wind-dominant grids with new technologies and the evolving role of traditional generation as basic system services rather than just energy providers.”
The IEA predicts that new grid integration challenges will emerge as renewable energy continues to grow rapidly. These challenges include managing seasonal variations, ensuring the profitability of new investments amid increasing price volatility, and adequately compensating assets that provide flexibility.
The organization concluded: “Addressing these challenges requires ongoing innovation, collaboration, and commitment from global policymakers, technology leaders, and researchers.”
