Global electricity demand rises by 4.3% in 2024 – IEA
Global electricity demand rises by 4.3% in 2024 – IEA
The International Energy Agency has reported a sharp increase in global electricity demand, which surged by 4.3% in 2024, marking a significant rise from the 2.5% growth recorded in 2023.
The newly released Global Energy Review 2025 on Friday attributes this surge to rising electrification across multiple sectors, extreme weather conditions, and growing industrial activity.
According to the report, electricity demand growth in 2024 nearly doubled the annual average of the past decade, with China leading the charge.
The world’s second-largest economy accounted for more than half of the global increase, as its electricity consumption jumped by over 550 terawatt-hours (TWh), a 7% rise from the previous year.
“China’s power demand in 2024 exceeded the entire global average annual increase of the last decade,” the IEA noted, adding that the expansion was fueled by industrial output, data center growth, and rising air conditioning use.
Meanwhile, advanced economies also experienced a strong rebound in electricity demand, reversing a 140 TWh decline in 2023.
The United States led this recovery, contributing significantly to the 230 TWh rise seen across developed nations.
“A combination of rising industrial production, the rapid expansion of data centers, and record-breaking heatwaves increased electricity consumption across North America,” the report stated.
In Europe, the trend was similar, though less pronounced. The European Union’s electricity consumption grew by approximately 1.5% in 2024, a notable improvement compared to near-zero growth over the previous two decades.
Other advanced economies, including Australia and South Korea, also witnessed accelerated power demand.
The building sector emerged as a key driver of global electricity consumption, growing four times faster than in 2023.
The IEA highlighted that power demand in buildings surged by over 600 TWh, accounting for nearly 60% of total electricity consumption growth worldwide.
“Rising air conditioning usage due to severe heatwaves, particularly in China and India, played a major role in this increase,” the report stated.
In India, however, electricity demand growth slowed slightly in 2024 compared to 2023, normalizing after an exceptional spike driven by extreme weather conditions in the previous year.
On the other hand, Southeast Asia experienced one of the highest regional increases, with electricity consumption soaring by more than 7%, up from 4% in 2023.
Experts warn that while electrification is essential for economic growth and sustainability, the sharp rise in power demand underscores the need for accelerated investments in clean energy infrastructure.
“The challenge now is ensuring that this growing demand is met with renewable energy sources rather than an increased reliance on fossil fuels,” said an IEA.
