Different elements of the world’s energy system saw very different rates of growth in 2024, reflecting both the impact of short-term factors and deeper structural trends. Global energy demand grew by 2.2% in 2024, a notably faster rate than the annual average of 1.3% seen between 2013 and 2023. This uptick was partly due to the effect of extreme weather, which we estimate added 0.3 percentage points to the 2.2% growth. Despite this, energy demand grew more slowly than the global economy, which expanded by 3.2% in 2024, close to its long-term average.

Electricity demand grew more rapidly than both overall energy demand and GDP, increasing by 4.3% in 2024. The absolute increase in demand was the largest ever recorded (excluding the jumps in years when the global economy recovered from recession). This reflects structural trends such as growing access to electricity-intensive appliances like air conditioning and a shift towards electricity-intensive manufacturing, as well as increasing power demand from digitalisation, data centres and AI, and the increasing electrification of end-uses. In all, the power sector made up three-fifths of the total increase in global energy demand.

Renewables accounted for the largest share of the growth in total energy supply (38%), followed by natural gas (28%), coal (15%), oil (11%) and nuclear (8%). The energy intensity of the global economy improved by a mere 1%, continuing the slowdown seen in recent years. The rise in energy-related CO₂ emissions slowed to 0.8%, compared with 1.2% in 2023.  

After the upheaval of the Covid-19 pandemic and the subsequent global economic recovery, the world economy saw further moderation in growth trends in 2024. Global growth averaged 3.2%, close to its pre-pandemic average of 3.4% from 2010 to 2019. Inflation continued to decline in 2024 following sharp post-pandemic price spikes and the impact of the war in Ukraine. Global energy prices have also moderated, with oil prices on a downward trend after the highs of 2022. Yet geopolitical risks persisted, and some markets remained exposed to volatility. The main European gas price benchmark, the TTF, doubled by December 2024 from its lows in February 2024. 

GDP growth in advanced economies slowed slightly to 1.7% in 2024. Continued stronger growth in the US was bolstered by healthy sentiment and consumer confidence. By contrast, the European Union saw weaker growth, amid competitiveness concerns. In emerging market and developing economies growth remained robust but slowed slightly to 4.4%.  People’s Republic of China (hereafter, “China”) reported growth at 5%, supported by strengthening manufacturing output and exports, while the real estate contraction continued. The rate of growth in India slowed to 6.5%. Brazil saw improved economic performance in 2024, with GDP expanding 3.7%.

Global energy demand rose by 2.2% in 2024, reaching nearly 650 EJ. This was led by a notable shift back to growth in advanced economies where demand grew by almost 1% (+2 EJ), after declining 2% in 2023. Demand in the European Union returned to growth for the first time since 2017 (aside from the post-Covid rebound in 2021), aided by easing energy prices and a lower base after reductions in recent years. In the United States, demand grew by 1.7%, while demand in Japan continued its long-term decline, falling 1.2%.

The rate of energy demand growth in emerging market and developing economies slowed in 2024, falling to below 3%, down from nearly 4% in 2023. This was led by the slowdown in demand growth in China, which halved from 2023 – in part reflecting the last effects of the country’s post-Covid reopening in early 2023. Growth also decelerated in India, falling to below 5%.

Nevertheless, despite this deceleration, four-fifths of total global energy demand growth still took place in emerging market and developing economies, with three‑fifths of the total in Developing Asia. Growth in India alone was more than the increase in demand in all advanced economies combined.

Demand for all fuels and technologies grew in 2024, but non‑fossil sources increased the most

Across the energy system, all fuels and technologies saw growth in 2024, although at different speeds. Among fossil fuels, natural gas grew the fastest, with demand rising by 2.7% to reach a new all-time high in 2024. Higher demand was focused in fast growing Asian markets, with growth of over 7% in China, and over 10% in the smaller Indian market. Advanced economies saw a return to growth in 2024 after two years of declines linked to higher prices. Globally, demand growth was driven by higher industrial use, and by increased gas use in power generation (in part due to the impact of extreme weather).

Global oil demand growth slowed in 2024, rising by 0.8%, after increasing by 1.9% in 2023. This reflected the end of the post-pandemic mobility rebound, slower industrial growth and the increasing growth of substitutes like electric vehicles. Demand was largely flat in advanced economies (down by 0.1%). Oil demand growth saw a sharp deceleration in China (+0.8%), and grew around 1% in other emerging market and developing economies. In terms of sectors, growth was led by petrochemicals and aviation, while demand from road transport fell marginally.

Coal demand increased by just over 1% in 2024 to reach an all-time high, but the growth rate has slowed in recent years after a strong post-Covid rebound. Increased use in power generation supported growth, but metallurgical coal demand was undermined by the decrease in steel production. Coal demand growth is driven by markets in Developing Asia, with China alone now consuming nearly 40% more coal than the rest of the world combined. Consumption in advanced economies continued to decline, falling by over 5% in 2024.

Other non-fossil fuel energy sources (including nuclear and renewables, bioenergy and waste) grew by over 5% in 2024, and made up nearly half the total growth in global energy demand in the year. Nuclear power rose by nearly 4%, while renewables grew at nearly 6%, led by the accelerated expansion of solar PV and wind. Energy supply from hydropower increased by 4.4%, posting a recovery from the record drop seen in 2023 due to droughts in major hydro markets.  

Global energy demand was impacted by extreme temperatures in 2024 – the warmest year recorded, surpassing the previous record set in 2023. Global cooling degree days (a measure of cooling needs) were 6% higher in 2024 than in 2023, and 20% higher than the long-term average between 2000 and 2020. Regions with high cooling demand were particularly affected, including China, India and the United States.

In addition to driving cooling demand, temperature trends can also impact electricity generation, including from hydropower. In all, we estimate that weather effects contributed about 15% of the overall increase in global energy demand. The effects were higher for electricity, coal and natural gas consumption, as electricity demand is directly impacted by cooling, while coal and gas stepped in to meet higher electricity demand in several regions. We estimate that temperature effects contributed around 20% to the increase in electricity and natural gas demand and drove the entire increase in coal demand. For CO₂ emissions, weather effects contributed around half of the 2024 increase. 

The primary energy intensity improvement of the economy, a key metric of energy efficiency, continued to slow in 2024. After improving at an average rate of around 2% annually from 2010 to 2019, the measure declined to 1.2% in recent years (2019-2023) and fell to around 1% in 2024. Key reasons for this slowdown in recent years include investment- and manufacturing-intensive economic recoveries in major emerging market and developing economies such as China and India; high energy demand due to extreme temperatures; and a trend of poor growth in hydropower output that was only partially reversed in 2024, leading to greater consumption of less-efficient coal power in some regions.

In 2024, energy intensity improvements slowed in advanced economies after several years of rapid progress due to high energy prices and weaker economic conditions in energy-intensive sectors. In contrast, China and India saw faster energy intensity improvements, although still below pre-Covid-19 rates.

The carbon intensity of global economic activity is the product of two factors: the energy intensity of GDP and the carbon intensity of total energy supply. As noted above, the energy intensity of GDP improved by around 1% in 2024. The carbon intensity of total energy supply improved by 1.1% in 2024. Combining these factors gives an improvement in the CO₂ intensity per unit of economic activity of 2.1% in 2024. This is slightly slower than the average improvement seen over the last decade and was caused by the slowdown in the improvement in energy intensity.

Electricity consumption growth has – amid wider electrification trends – remained broadly in line with GDP growth over the last decade. In 2024, the electricity intensity of GDP increased by 1%, as electricity demand growth exceeded the increase of GDP.