Energy demand is exploding: forecasts show dramatic increases!

Energy demand is exploding: forecasts show dramatic increases!

Global energy demand has recorded a significant increase in 2024, almost double the average annual increase in recent years. According to a report by EcoNews Global energy demand increased by 2.2%, which is less than the gross domestic product (GDP), which grew by 3.2%. This development shows that the increase in energy demand was primarily driven by emerging and developing countries, which contributed over 80% to this growth.

Demand for energy in developed countries, which had been declining in recent years, increased by almost 1%. Particularly notable is the increase in global electricity consumption, which increased by approximately 1,100 terawatt hours, or 4.3%, almost double the annual average over the past decade. This increase is due, among other things, to extreme temperatures, higher cooling requirements and industrial consumption.

Renewable energy and CO2 emissions

Renewable energy played a crucial role, contributing 38% to the growth in energy supply. There was also a record new installed capacity in this area, reaching 700 gigawatts. Natural gas contributed 28% and coal contributed 15% to growth. Natural gas demand increased by 115 billion cubic meters (2.7%), exceeding the average of the past ten years, while oil demand grew moderately by 0.8%.

Although faster adoption of clean energy technologies led to a 1.1% decline in CO2 emissions in developed countries to their lowest level in 50 years, global CO2 emissions increased by 0.8% to 37.8 billion tonnes. This is primarily due to increased emissions growth in emerging and developing countries.

Market developments in the LNG sector

In addition to overall energy trends, a notable increase in global liquefied natural gas (LNG) capacity is expected. The report from IEA forecasts LNG export capacity to grow by almost 50%. The USA and Qatar are named as key players in this area, while total capacities are expected to grow to around 270 billion cubic meters per year by 2030.

Demand for LNG is expected to grow by over 2.5% annually through 2035, exceeding original assumptions. Nevertheless, Europe and China have certain infrastructural advantages for gas imports, but they face challenges in market adaptation. Without attractive pricing options of $3-5/MBtu, switching to natural gas may not be appealing to developing countries, the IEA said.

Overall, these developments reflect a complex dynamic in which renewable energies, fossil fuels and the challenges of climate change are closely linked. The ability of global markets to adapt to increasing demand and associated challenges remains critical to the coming energy future.