Renewables soar, but fossil fuels continue to rise as global electricity demand hits record levels

Key Findings:

• Wind and solar combined grew by 16%, reinforcing their role as the fastest growing areas of the energy system. China was responsible for 56% of new additions with solar almost doubling in just two years.
• Wind and solar grew nearly nine times faster than total energy demand, and fossil fuels also grew (just over 1%) in 2024.
• The world saw a 2% annual rise in total energy demand, reaching a new high of 592 EJ. 
• All-time records were reached across ALL forms of energy (coal, oil, gas, renewables, hydro and nuclear). 
• At 4%, electricity demand growth continued to outpace total energy demand growth, an indicator that the age of electricity is not just emerging but is shaping a new global energy system.

The Energy Institute (EI), in collaboration with Kearney and KPMG, today released the 74th edition of the Statistical Review of World Energy, offering the first complete look at global energy data for 2024.

In a year when average air temperatures consistently breached the 1.5°C warming threshold, global CO₂-equivalent emissions from energy rose by 1%, marking yet another record, the fourth in as many years.

Wind and solar energy alone expanded by an impressive 16% in 2024, nine times faster than total energy demand. Yet this growth did not fully counterbalance rising demand elsewhere, with total fossil fuel use growing by just over 1%, highlighting a transition defined as much by disorder as by progress. 

Crude oil demand in OECD countries remained flat, following a slight decline in the previous year. In contrast, non-OECD countries saw oil consumption rise by 1%, where much of the world’s energy demand growth is concentrated and fossil fuels continue to play a dominant role. Notably, Chinese crude oil demand fell in 2024 by 1.7%, indicating that 2023 may have reached a peak. Elsewhere, global natural gas demand rebounded, rising by 2.5% as gas markets rebalanced after 2023 slump. India’s demand for coal rose 4% in 2024 and now equals that of the CIS, Southern and Central America, North America, and Europe combined.

These trends underscore a stark truth: while renewable energy is scaling faster than ever, global demand is rising even faster. Rather than replacing fossil fuels, renewables are adding to the overall energy mix. This pattern, marked by simultaneous growth in clean and conventional energy illustrates the structural, economic, and geopolitical barriers to achieving a truly coordinated global energy transition.

Energy Institute President Andy Brown OBE FEI said “This year’s data reflects a complex picture of the global energy transition. Electrification is accelerating, particularly across developing economies where access to modern energy is expanding rapidly. However, the pace of renewable deployment continues to be outstripped by overall demand growth, 60% of which was met by fossil fuels. The result is a fourth consecutive year of record emissions, highlighting the structural challenges in aligning global energy consumption with climate goals.”

“All major energy sources, including nuclear and hydro, hit record consumption levels (for the first time since 2006), a reflection of surging global demand," commented Dr Nick Wayth CEng FEI, CEO of the Energy Institute. "No country has shaped this outcome more than China. Its rapid expansion of renewable capacity, alongside continued reliance on coal, gas, and oil, is driving global energy trends. The scale and direction of China’s energy choices will be pivotal in determining whether the world can deliver a secure, affordable, and low-carbon energy future." 

Dr Romain Debarre, Partner and Managing Director Energy Transition Institute, Kearney stated: “Last year was another turning point for global energy, driven by rising geopolitical tensions. Energy security, resource access, and technological sovereignty are now taking priority over climate goals. This year’s data reveals three trends that are shaping the energy landscape: energy use is rising, but patterns are shifting; electrification is rapidly accelerating; and the energy transition remains chaotic.

“We are witnessing the real dangers of regional differences and the cost of inaction in real time. Record-high GHG emissions and soaring temperatures in 2024 are a deafening wake-up call. We have the strategies, technologies, and know-how to deliver the energy transition with an integrated, secure, and people-centred approach. Now, we must move from promises to action, at scale and at speed.”

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