Decarbonization Trends and Challenges in the 2025 Global Energy Landscape
The 2025 Global Energy Review offers the first comprehensive overview of energy sector trends for 2024, covering all fuels, technologies, regions, and emissions. The data indicate a notable increase in global energy consumption, driven primarily by the power sector. Electricity demand surged nearly twice as fast as overall energy needs, fueled by rising cooling requirements, industrial activity, electrification of transport, and expansion of data centers and artificial intelligence.
This heightened electricity demand was primarily met through low-emission sources, showcasing a record-setting growth of solar photovoltaic capacity. Renewables like wind, hydro, and bioenergy, along with nuclear power, also experienced expansion, reinforcing their roles in the clean energy transition. Natural gas demand increased significantly, providing a flexible and lower-carbon alternative to fossil fuels, while oil and coal consumption grew at a slower pace compared to 2023, suggesting early signs of a shift in fuel preferences.
Despite these positive developments, energy-related CO2 emissions continued their upward trajectory in 2024. However, the rate of growth moderated compared to the previous year. Extreme global temperatures played a critical role, with record-high temperatures in 2024 and the likelihood of repeating weather patterns from 2023 possibly leading to around half of the potential emissions increase being avoided. This highlights the influence of climate variability and underscores the urgency of implementing resilient decarbonization strategies.
Significantly, the rapid deployment of clean energy technologies in 2024 has prevented an estimated 2.6 billion tonnes of additional CO2 emissions annually. This demonstrates that investments in renewables, nuclear, and energy efficiency measures are pivotal in limiting the growth of emissions amid rising energy demand. Achieving further decarbonization requires accelerating these trends, especially in sectors with traditionally high emissions such as industry and transportation.
Looking forward, the energy transition must address ongoing challenges, including ensuring energy security, managing intermittency in renewable generation, and expanding infrastructure. The connection between weather events and emissions emphasizes the importance of integrating climate resilience into energy planning. Overall, the 2024 data confirm that while progress has been made, substantial efforts are still required to steer the global energy system toward a cleaner, more sustainable future and meet global climate targets.