Renewable energy

Renewable energy, also called clean energy, is energy obtained from natural sources that replenish on a human timescale, such as sunlight, wind, water, geothermal heat and biomass. Unlike fossil fuels (coal, oil and natural gas), which are finite and highly polluting, renewable energy provides a low-carbon alternative to meet energy demand while reducing greenhouse gas emissions and fighting climate change.

Types of renewable energy

Solar energy

Harnesses the sun's radiation in two main forms:

• Photovoltaic solar: converts sunlight directly into electricity using panels made of photovoltaic cells.
• Solar thermal: uses solar radiation to heat a fluid, which can supply domestic hot water, heating or electricity generation through turbines.

Wind energy

Generated from wind using wind turbines, which convert kinetic energy into mechanical energy and then into electricity. Onshore and offshore wind farms are a major source of large-scale clean power.

Hydropower

Obtained from the movement of water in rivers and reservoirs. Hydroelectric plants use flowing water to spin turbines and generate electricity, and pumped-storage hydropower also provides grid balancing.

Geothermal energy

Comes from the Earth's internal heat. It can be used for electricity generation in geothermal plants or for heating and cooling through the direct use of underground temperature.

Biomass

Refers to organic matter such as wood, agricultural residues or dedicated energy crops. When processed, biomass generates heat or electricity. It is only genuinely low-carbon when the feedstock is sustainably sourced and the carbon released is reabsorbed by new growth.

Benefits of renewable energy

Environmental benefits

• Lower greenhouse gas emissions: most renewable sources produce no direct emissions during operation, making them central to climate change mitigation.
• Resource conservation: reduces dependence on finite fossil fuels.
• Less pollution: cuts air, water and soil pollution compared with fossil fuel combustion.

Economic and social benefits

• Job creation: the sector keeps growing, generating employment in installation, maintenance, R&D and manufacturing.
• Energy security: diversifies supply and reduces exposure to imported fossil fuels and price volatility.
• Rural development: wind, solar and biomass projects can revitalise rural economies.

Renewable energy and the carbon footprint

The carbon footprint measures the total greenhouse gases emitted, directly or indirectly, by an activity, product, organisation or individual. Renewable energy reduces this footprint by replacing high-emission sources with near zero-emission alternatives, particularly for purchased electricity (Scope 2 emissions).

Emissions are typically quantified following the Greenhouse Gas Protocol, which organises them into three scopes: direct emissions (Scope 1), indirect emissions from purchased energy (Scope 2) and other value-chain emissions (Scope 3). Companies often back renewable electricity claims with Renewable Energy Certificates (RECs).

Renewable energy targets in the EU

Renewable energy is a pillar of the European Green Deal. The revised Renewable Energy Directive, known as RED III (Directive (EU) 2023/2413), raises the EU binding target to at least 42.5% renewable energy in final consumption by 2030, with an indicative ambition of 45%. It is complemented by the recast Energy Efficiency Directive (EU) 2023/1791, which sets a binding reduction in final energy consumption of 11.7% by 2030 relative to 2020 projections. Together they anchor the EU's goal of cutting net emissions by at least 55% by 2030 and reaching climate neutrality by 2050.

The role of renewable energy in decarbonization

Decarbonization, the deep reduction of carbon emissions, depends heavily on renewable energy, which replaces fossil fuels in power generation, heating and transport. Combined with energy efficiency and electrification, it is the fastest route to a low-carbon economy.

Innovation and the future of renewables

The outlook is strongly positive, driven by growing climate awareness, falling technology costs and supportive policy. Emerging technologies such as floating offshore wind, advanced photovoltaics and next-generation energy storage keep improving efficiency and reducing costs, paving the way for a sustainable energy system. Policy instruments such as auctions, tax incentives and binding targets continue to accelerate the transition.

By adopting renewable energy, organisations and individuals make a meaningful contribution to reducing their carbon footprint, strengthening energy resilience and building a healthier planet. At Manglai we help companies measure their carbon footprint and integrate renewable energy into their sustainability strategy. Discover how Manglai can help you.