The International Energy Agency (IEA) reported today that the increasing supply of renewable energy helped meet a surge in global energy demand in 2024. The growth in energy consumption outpaced the global average, with renewables and natural gas covering the majority of the additional energy needs, according to the IEA’s Global Energy Review.
Global energy demand rose by 2.2% last year, a significant acceleration compared to the average annual growth rate of 1.3% between 2013 and 2023. The power sector saw the most significant increase, with global electricity consumption rising by nearly 1,100 terawatt-hours, or 4.3%. This was nearly double the annual average growth in electricity use over the past decade.
The IEA attributes much of the rise in electricity consumption to a combination of record global temperatures, which increased demand for cooling, alongside growing industrial consumption, the electrification of transport, and the expansion of data centers and artificial intelligence.
In response, renewable energy sources, particularly solar photovoltaics (PV), played a central role in addressing the demand. The installation of new renewable power capacity hit a record 700 gigawatts (GW) in 2024, marking the 22nd consecutive year of growth. Renewables and nuclear energy together accounted for 80% of the increase in global electricity generation, with renewable sources making up a record 40% of total global electricity generation for the first time.
IEA Executive Director Faith Birol emphasized the significance of these developments, stating, “What is certain is that electricity use is growing rapidly, pulling overall energy demand along with it to such an extent that it is enough to reverse years of declining energy consumption in advanced economies.”
Despite global energy consumption rising, the transition to cleaner energy technologies helped limit the increase in energy-related carbon dioxide (CO2) emissions. CO2 emissions rose by 0.8% in 2024, reaching 37.8 billion tonnes, in part due to the record temperatures. However, the widespread adoption of solar PV, wind, nuclear, electric vehicles (EVs), and heat pumps since 2019 has prevented an estimated 2.6 billion tonnes of CO2 emissions annually, which represents about 7% of global emissions.
The report highlighted that the majority of the global energy demand increase came from emerging and developing economies, which accounted for more than 80% of the growth in 2024. Although energy consumption in China slowed to less than 3%, well below its recent annual average, advanced economies saw a return to growth, with their energy demand rising by nearly 1% on average.
Birol concluded by noting the trend’s broader implications: “The strong expansion of solar, wind, nuclear power, and EVs is increasingly loosening the links between economic growth and emissions.”
The IEA’s latest findings underscore the continued rise in clean energy adoption and its role in shaping the global energy landscape as consumption and environmental concerns intersect.
