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Installed capacity is a power generation facility’s maximum output under ideal conditions. It is expressed in megawatts (MW) or gigawatts (GW) and is a key indicator of a country’s or region’s ability to meet energy demands. Installed capacity includes contributions from diverse energy sources such as thermal, hydroelectric, nuclear, wind, and solar power. This metric does not account for actual energy production or efficiency, as output depends on operational conditions, maintenance, and resource availability. For instance, renewable energy sources like wind and solar are subject to variability due to weather conditions. Globally, the focus is shifting towards expanding installed capacity using sustainable energy sources to meet growing demand and reduce carbon footprints. Monitoring installed capacity helps policymakers and stakeholders ensure energy security and plan infrastructure investments effectively, aligning with future consumption needs.
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