The chapter evaluates the role of renewable energy as a common solution to both energy poverty and climate change. It highlights the necessity and urgency of transitioning to clean energy sources without compromising with the SDG-7 goal of universal energy access for all. Renewable energy provides opportunities and also encounters some challenges in the path towards low-carbon energy transition. The opportunities emanate from the plummeting costs of solar photovoltaic cells, increased storage capacity of batteries, international funding and cooperation, private and public financial support, generation of more jobs in the renewable energy sector, and decentralized renewable energy systems. Rising share of renewable energy in the energy mix has the potential to reduce energy poverty, and provide climate resilience. The main challenges for renewable energy adoption are integrating them into the existing grid and scaling up these technologies to meet global energy demand. Moreover, there are country specific challenges associated with differences in grid infrastructure, land-use patterns and the availability of critical minerals required for different renewable energy technologies. In this chapter, the pros and cons of different renewable sources and renewable energy projects have been discussed. Moreover, with particular reference to South Asia and Sub-Saharan Africa, the two most energy deprived regions of the world, the chapter discusses the potential of renewable energy in providing low-carbon and equitable energy access to the rural areas. The chapter emphasises the role of the government in establishing long-term renewable energy policies to create a conducive environment for investment.