While there is no single solution that fits all contexts, systemic innovation can reshape the future of global energy systems, according to a new report from the International Renewable Energy Agency (IRENA).
Launched during a Ministerial Dialogue on the role of artificial intelligence at IRENA’s Assembly, the report, Innovation landscape for sustainable development powered by renewables, emphasises that meaningful transformation occurs when technological advances are integrated with innovation in policy, regulation, market design, system operation and business models. Rather than focusing on technology alone, the report highlights the importance of coordinated, system-wide change.
The study identifies 40 innovations spanning artificial intelligence and digital applications, smarter grid planning, off-grid solutions and emerging business models. It concludes that adopting a systemic and integrated approach can strengthen power system resilience, expand energy access, maintain affordability and unlock the full potential of the energy transition. The report is the third in IRENA’s Innovation Landscape series, which examines emerging solutions to maximise the impact of renewables across global energy systems and economies.
“The question isn't whether we can transform our energy system”, said Francesco La Camera, Director-General of IRENA, “it’s whether we will seize the moment to do it in a holistic way, benefitting all. The energy transition is not only about availability of technology, but also about solutions which deliver social justice. With Today’s report we call for a systemic innovation approach and guide policymakers with a toolkit to formulate tailored solutions.”
IRENA notes that renewable technologies are now the lowest-cost source of electricity in most regions. When combined with decentralised innovation, this cost advantage places universal electricity access and more resilient power systems within reach, particularly for emerging markets and developing economies pursuing a just transition and economic growth.
The report stresses that successful implementation depends on system-specific strategies, taking into account national grid conditions, economic structures, resource availability and social and cultural factors. Many of the highlighted innovations are already being piloted worldwide. Examples include community-owned renewable projects in Tanzania, Kenya, Colombia and Malaysia; cross-border power sharing through West African regional power pools; dynamic line rating in Malaysia to increase transmission capacity; battery swapping for electric mobility in Uganda and Rwanda; and pay-as-you-go models delivering affordable power to hundreds of thousands of people in Sierra Leone and Liberia.
To support policymakers, the 40 innovations are grouped into four strategic toolkits addressing grid modernisation, decentralised solutions, inclusive local development and energy access. IRENA concludes that coordinated action across international institutions, governments and communities is essential to translate these innovations into sustainable, context-specific outcomes.
IRENA says innovation key to transforming global energy systems
