Analysis: Solar overtakes gas power in Asia for first time ever

Solar power has officially surpassed gas power in Asia to become the continent's third-largest electricity source, marking a historic shift in the region's energy landscape. According to analysis by Carbon Brief, solar generation reached 1,727 terawatt-hours (TWh) in the 12 months ending April 2026, edging out gas, which produced 1,711 TWh during the same period. This milestone underscores a broader transformation in the global electricity mix, with wind and solar generation surpassing gas for the first time in April 2026. The rise of solar power in Asia is attributed to the rapid expansion of solar infrastructure in key countries such as China, India, and Pakistan, where annual solar output has more than tripled since 2020.

Asia accounts for approximately 60% of the world's solar-power growth since 2020, placing the continent at the center of the global solar boom. Despite coal and hydropower remaining the dominant sources—accounting for roughly 52% and 12% of total electricity generation, respectively—solar's ascent has been fueled by technological advancements, policy support, and declining costs. In particular, China has emerged as the driving force behind this growth, contributing nearly three-quarters of the regional solar expansion since 2020. By the end of 2025, China had achieved a cumulative installed solar capacity of 1.2 terawatts (TW), solidifying its position as the world's leading solar manufacturer. With over 80% of global solar manufacturing capacity located in China, the nation plays a crucial role in supplying affordable solar panels to other Asian countries, particularly during periods of geopolitical tension.

The surge in solar adoption has coincided with significant challenges for gas power in the region. Many Asian countries rely heavily on imported liquefied natural gas (LNG), and recent supply disruptions, coupled with soaring prices, have hindered the expansion of gas-powered facilities. Between 2022 and 2023, around 81 gigawatts (GW) of planned gas capacity was canceled, primarily due to LNG shortages and price volatility following Russia's invasion of Ukraine. Construction delays, rising costs, and weak demand have further constrained gas expansion, with existing plants often operating below full capacity as cheaper and cleaner alternatives gain traction. While gas power capacity rose by 22% between 2019 and 2024, actual generation only increased by 6%, highlighting the growing competitiveness of solar and other renewables.

Not all regions in Asia have experienced the same trajectory. Countries like China and Taiwan have seen substantial increases in solar and gas generation, while others, such as Japan and India, have witnessed declines. In China, despite a doubling of gas generation over the past decade, supply constraints and high prices have made gas less attractive compared to coal and renewables. Similarly, Pakistan has demonstrated a notable shift toward solar, with widespread adoption of rooftop solar systems reducing reliance on fossil fuels. These developments reflect a broader trend of decarbonization, driven by both economic factors and environmental imperatives.

The implications of this shift extend beyond energy production. As solar becomes a more reliable and cost-effective option, it is reshaping the dynamics of the global energy market, challenging traditional energy sources and influencing international trade. Meanwhile, in Australia, the solar revolution has predominantly focused on residential installations, with households accounting for most of the country's solar capacity. However, commercial and industrial sectors have lagged behind, despite their higher electricity consumption. Reports suggest that barriers such as complex investment structures, inconsistent grid policies, and regulatory hurdles have limited the uptake of solar in these sectors. Experts argue that addressing these challenges could significantly accelerate Australia's transition to renewable energy, aligning with broader climate goals.