In this article, we will be covering the 20 countries with the most clean energy production. If you want to skip our detailed analysis of the global renewable energy market, you can go directly to 5 Countries with Most Clean Energy Production.
Significance of the Renewable Energy Industry
The renewable energy sector plays a vital role in reducing greenhouse gas emissions and in the fight against climate change. By utilizing sources like wind, solar, and hydroelectric power, renewable energy helps reduce our reliance on fossil fuels while also promoting a cleaner and more sustainable future. The growth of the renewable energy industry is crucial for environmental protection and long-term energy sustainability.
According to a report by The Business Research Company, the global renewable energy market was estimated to have reached a value of $1.02 trillion in 2023. Looking forward, the market is expected to grow at a compound annual growth rate (CAGR) of 8.8% from 2024 to 2028 to reach a value of $1.55 trillion by the end of the forecasted period. While the Asia-Pacific region was the largest market in 2023, North America is expected to be the fastest-growing region during the forecasted period.
An increasing number of countries, businesses, and other organizations are pledging to reduce emissions, leading to a surge in demand for renewable and clean energy. According to the United Nations, over 140 countries, including the world’s biggest polluters like China, India, and the US, have set a net-zero target. This covers approximately 88% of global emissions. Moreover, over 9,000 companies, more than 1,000 cities, over 1,000 educational institutions, and more than 600 financial institutions have also pledged to implement immediate and rigorous actions to cut global emissions by half by 2030.
Regulatory boosts and investments to replace polluting coal, gas, and oil-fired power with energy from renewable sources, such as wind or solar, to reduce carbon emissions represent a significant trend propelling growth in the renewable energy sector. There is a growing demand for energy due to increased industrial activity and technological advancements in various developing and developed regions around the world. The share of renewables in the global power mix is on the rise, further augmenting market growth.
Key Players in the Global Renewable Energy Sector
The renewable energy market exhibits a fragmented landscape. Some of the most notable names in the global renewable energy market are First Solar, Inc. (NASDAQ:FSLR), Ørsted A/S (CPH:ORSTED), and NextEra Energy, Inc. (NYSE:NEE).
NextEra Energy, Inc. (NYSE:NEE) is an American company that provides clean energy. It owns a competitive clean energy business, NextEra Energy Resources, LLC, which, together with its affiliated enterprises, is one of the world’s biggest producers of renewable energy from the sun and wind. Through its subsidiaries, the company generates clean, emissions-free electricity. NextEra Energy, Inc. (NYSE:NEE) also ranks high among the best renewable energy stocks to buy according to hedge funds. On January 25, NextEra Energy, Inc. (NYSE:NEE) reported strong earnings for the fiscal fourth quarter of 2024. The company reported earnings per share (EPS) of $0.52, surpassing EPS estimates by $0.03. The company’s revenue for the quarter grew by 11.57% year-over-year and amounted to $6.88 billion, ahead of market consensus by $557.42 million.
Renewable energy companies are actively exploring new opportunities to capitalize on the growing demand for renewable energy in a net-zero world. Ørsted A/S (CPH:ORSTED) is a Danish multinational energy company. It is a prominent name in the offshore wind power sector worldwide, offering large-scale offshore wind energy, as well as onshore wind energy and solar energy solutions. On February 22, Ørsted A/S (CPH:ORSTED) announced that it has entered into a memorandum of understanding (MoU) with Incheon Metropolitan City, Korea, to collaborate on developing an offshore wind power industry in the region. The goal is to establish a strong local wind power industry based on Ørsted A/S’ (CPH:ORSTED) 1.6 GW offshore wind project off the coast of Incheon. The Incheon project has the capacity to supply renewable energy to more than 1 million Korean households and reduce carbon emissions by about 4 million tonnes annually.
First Solar, Inc. (NASDAQ:FSLR) is an American solar technology company. Advancing the fight against climate change, the company provides eco-efficient solar panels and utility-scale photovoltaic (PV) power plants. First Solar, Inc. (NASDAQ:FSLR) is also one of the most profitable renewable energy stocks. On January 11, First Solar, Inc. (NASDAQ:FSLR) announced the inauguration of its new facility in Tamil Nadu, India. As the first fully vertically integrated solar manufacturing plant in India, this facility boasts an annual nameplate capacity of 3.3 gigawatts (GW). The manufacturing plant will produce First Solar’s Series 7 photovoltaic (PV) solar modules, which were developed at the company’s research and development centers in America and tailored for the Indian market. The facility is First Solar, Inc.’s (NASDAQ:FSLR) sixth operational factory, expanding the company’s manufacturing presence to four nations, including the US, Vietnam, and Malaysia.
Mark Widmar, First Solar, Inc.’s (NASDAQ:FSLR) CEO, said:
“The inauguration of this landmark manufacturing facility and the launch of commercial shipments to customers in India is a crucial milestone in our journey to long-term and sustainable growth.”
Now that we have discussed what’s going on in the global renewable energy market, let’s take a look at the top 20 countries with the most clean energy production.
An aerial view of a solar power plant, the sun’s rays illuminating the surrounding landscape.
Methodology
For this article, we compiled a list of the 20 countries with the most clean energy production. To collect data for our list, we consulted the latest edition of the Statistical Review of World Energy by the Energy Institute (EI), which was published in June 2023. This database provided us with a list of countries and information on their renewable energy generation for the year 2022 as well as each country’s market share as a percentage of the global market share. Renewable power generation is based on gross generation from renewable sources including wind, geothermal, solar, biomass, and waste. It does not account for cross-border electricity supply. Renewable energy generation has been measured in exajoules (EJ). The 20 countries with the most clean energy production in the world are listed below in ascending order.
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20 Countries with Most Clean Energy Production
20. Vietnam
Renewable Energy Generation: 0.33 Exajoules
Global Market Share: 0.8%
Vietnam is a developing country that ranks among the top 20 countries with the most clean energy production. The country utilizes hydroelectricity, wind power, solar power, and biomass as main sources of renewable energy. In 2022, Vietnam generated 0.33 exajoules of renewable energy.
19. Poland
Renewable Energy Generation: 0.34 Exajoules
Global Market Share: 0.8%
Poland is a country in Central Europe that is reducing its reliance on coal for energy. In the past few years, the country’s electricity production has witnessed significant progress towards clean energy. In 2022, Poland generated 0.34 exajoules of renewable energy.
18. Indonesia
Renewable Energy Generation: 0.39 Exajoules
Global Market Share: 1%
Indonesia is a country in Southeast Asia that ranks among the countries with the most clean energy production. The country is aiming to boost the share of renewables in the energy mix. According to reported data, Indonesia’s renewable energy output reached 0.39 exajoules in 2022 to account for 1% of the global market share.
17. Mexico
Renewable Energy Generation: 0.44 Exajoules
Global Market Share: 1.1%
Mexico has substantial renewable resources including high solar radiation, wind capacity, and geothermal sources. In Mexico, renewable electricity generation from wind and solar has seen remarkable growth over the years. In 2022, Mexico produced 0.44 exajoules of renewable energy.
16. Netherlands
Renewable Energy Generation: 0.47 Exajoules
Global Market Share: 1.2%
Renewable energy has witnessed a significant increase in the Netherlands over the past few years. Clean and renewable energy sources play a crucial role in the country’s electricity consumption. In 2022, the Netherlands generated 0.47 exajoules of renewable energy.
15. Sweden
Renewable Energy Generation: 0.48 Exajoules
Global Market Share: 1.2%
Sweden is a Scandinavian nation that ranks among the top 15 countries with the most clean energy production. According to reported data, Sweden’s renewable energy output reached 0.48 exajoules during the year 2022 to account for 1.2% of the global market share.
14. South Korea
Renewable Energy Generation: 0.48 Exajoules
Global Market Share: 1.2%
South Korea is an East Asian nation that ranks among the top clean energy-producing countries. Renewables account for a small portion of South Korea’s primary energy consumption. In 2022, South Korea produced 0.48 exajoules of renewable energy.
13. Canada
Renewable Energy Generation: 0.51 Exajoules
Global Market Share: 1.2%
Canada is the second-largest country in the world. With its large landmass and diversified geography, Canada has substantial renewable resources including water, wind, biomass, solar, and geothermal. The majority of renewable energy produced in the country comes from hydroelectricity. In 2022, Canada generated 0.51 exajoules of renewable energy.
12. France
Renewable Energy Generation: 0.66 Exajoules
Global Market Share: 1.6%
France ranks 12th on our list of countries with the most clean energy production. The primary sources of renewable energy in France are hydropower, wind, and solar. The electricity sector in the country is also dominated by nuclear power. France produced 0.66 exajoules of renewable energy in 2022.
11. Turkey
Renewable Energy Generation: 0.69 Exajoules
Global Market Share: 1.7%
Turkey is one of the largest generators of renewable energy in Europe. According to reported data, Turkey’s renewable energy output reached 0.69 exajoules during the year 2022 to account for 1.7% of the global market share.
10. Australia
Renewable Energy Generation: 0.7 Exajoules
Global Market Share: 1.7%
Australia ranks among the top 10 countries with the most clean energy production. Australia generates around 30% of its total electricity from renewable energy sources, including solar, wind, and hydro. In 2022, Australia generated 0.7 exajoules of renewable energy.
9. Italy
Renewable Energy Generation: 0.71 Exajoules
Global Market Share: 1.7%
Italy has experienced notable growth in the renewable energy sector over the past few years. According to reported data, renewable energy output in Italy reached 0.71 exajoules during the year 2022.
8. Spain
Renewable Energy Generation: 0.98 Exajoules
Global Market Share: 2.4%
Spain ranks 8th on our list of countries with the most clean energy production. Renewable energy accounts for more than 40% of Spain’s electricity needs. In 2022, Spain generated 0.98 exajoules of renewable energy.
7. United Kingdom
Renewable Energy Generation: 1.29 Exajoules
Global Market Share: 3.2%
The United Kingdom is one of the top clean energy-producing countries in the world. The main renewable energy sources in the UK are wind, solar, hydroelectric, and bioenergy. Renewable energy output in the UK reached 1.29 exajoules for the year 2022.
6. Japan
Renewable Energy Generation: 1.51 Exajoules
Global Market Share: 3.7%
Japan is an island nation that has experienced significant growth in clean energy over the past few years. In 2022, Japan produced 1.51 exajoules of renewable energy. Japan ranks 6th on our list of countries with the most clean energy production.
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Disclosure: None. 20 Countries with Most Clean Energy Production is published on Insider Monkey.