As global energy markets face prolonged disruption, renewable energy is increasingly seen as a safeguard against volatility, according to a new policy advisory from the International Renewable Energy Agency (IRENA).
Aimed at policymakers navigating heightened uncertainty, the brief outlines a mix of immediate and long-term interventions designed to protect economies while accelerating the transition to more resilient and secure energy systems.
Its findings suggest that renewables are already reshaping energy independence. Countries such as Spain and Portugal, alongside China, India, and Pakistan, are reducing their reliance on fossil fuel imports. At the same time, global renewable capacity continues to expand, with an additional 692GW added in 2025 alone.
Cost dynamics are further reinforcing this shift. Today, more than 85% of new renewable power capacity is cheaper than fossil fuel alternatives. Since 2010, solar costs have fallen by 87%, onshore wind by 55%, and battery storage by 93%. Hybrid systems combining renewables with storage are also increasingly capable of delivering round-the-clock power at lower costs than conventional fossil-fuel generation.
For Francesco La Camera, the transition is no longer optional. “The current crisis clearly demonstrates the strategic case for renewables as a national security imperative,” he said. “There is an opportunity to prioritize actions that enhance long-term energy stability. Governments must urgently consider targeted interventions to steer investment and emergency responses towards accelerating the deployment of renewable power and the electrification of energy-consuming processes and sectors.”
The advisory also highlights geopolitical instability, including ongoing tensions in the Middle East, as a reflection of the structural vulnerabilities of fossil fuel-dependent systems, where fluctuations in oil and gas prices directly affect electricity costs and broader economic stability.
These pressures are expected to extend beyond energy markets, influencing inflation, supply chains, and overall economic performance, with the most pronounced impact likely to be felt by vulnerable communities.
“Country examples in IRENA’s advisory confirm the resilience of renewables,” La Camera added. “They demonstrate the growing role renewables can play in strengthening energy system resilience and security, reducing exposure to fossil fuel price volatility, and supporting long-term economic stability.”
In response, IRENA outlines a set of near-term priorities, including accelerating the rollout of distributed renewable systems through cross-sector collaboration, supported by financial and logistical backing. It also calls for demand-side measures, such as public awareness campaigns and policy mandates, to reduce energy consumption.
The advisory further recommends fast-tracking time-of-use tariffs to encourage consumption during periods of high renewable supply and lower costs, alongside fiscal tools such as subsidies, grants, and tax incentives to support electrification.
Additional measures include scaling solar PV–battery mini-grids in remote and underserved areas, accelerating the electrification of transport—particularly two- and three-wheelers in emerging markets and incentivizing the expansion of public transport systems.
Over the medium term, the focus shifts to accelerating infrastructure development while strengthening investment conditions. This includes expediting renewable and grid projects, safeguarding funding, and adapting policies to address inflation and supply chain pressures. Expanding storage capacity and enhancing grid flexibility will be critical to integrating higher shares of solar and wind.
Support mechanisms will also be needed to scale heating electrification, EV infrastructure, and sustainable aviation fuel.
Looking ahead, IRENA emphasizes the importance of clear, long-term policy frameworks to attract investment, integrate electrification into national strategies, and build resilient domestic supply chains. Enabling hybrid projects, advancing industrial electrification, expanding mini-grids, and linking fossil fuel support to renewable targets will be central to driving a structural shift in global energy systems.