The International Energy Agency (IEA) has reported that renewables will surpass coal as the world's largest source of electricity generation in 2026, driven chiefly by rapid expansion in solar PV and wind output. Global solar and wind generation increased by over 25 per cent in the first half of 2026, the agency has indicated, changing the supply mix in several major markets. The shift reflects a combination of falling technology costs and accelerated commissioning of projects worldwide.\n\nIn India, combined solar PV and wind output rose by over 25 per cent in H1 2026 and reached a 16.5 per cent share of the supply mix, up from 14 per cent in H1 2025, the IEA noted. Gas-fired generation in the country declined by about 15 per cent compared with H1 2025 and remained more than 40 per cent below H1 2024 levels, reflecting a displacement of thermal output. These changes contributed to a marked reshaping of the domestic generation mix in the period under review.\n\nThe IEA's mid-year update forecasts global electricity demand growth of 3.6 per cent in 2026 and of 3.8 per cent in 2027, up from three per cent growth in 2025. Global electricity consumption is projected to reach 30,700 terawatt-hours in 2027, compared with 28,600 terawatt-hours in 2025, the report has stated. Analysts will view the higher demand projections as reinforcing the need for continued investment in flexible capacity and grid infrastructure to integrate variable generation.\n\nThe update underlines how rapidly the energy transition is progressing and indicates shifting investment priorities for utilities and policymakers. India is identified as one of the key drivers of the renewable surge, with implications for domestic manufacturing, transmission planning and market operations. Observers will monitor subsequent data and policy announcements to assess whether the trends become entrenched over the remainder of the year.