We are far from meeting the targets of the Paris Agreement. Global energy demand continues to grow, and is being met predominantly by coal and fossil fuels. The latest report from the International Energy Agency.
In 2018, global energy demand grew by 2.3 per cent compared to 2017, the fastest rate in the past ten years. The increase was driven mainly by positive global economic performance and a greater need for heating and cooling in certain regions. Natural gas recorded the largest growth, accounting for 45 per cent of the increase in energy source consumption. This trend was driven in particular by rising demand from the United States and China. The data come from the latest report by the International Energy Agency on global energy consumption and CO2 emissions.
"Last year can still be considered a golden year for gas, which accounted for nearly half of the growth in global energy demand. But despite the greater increase in renewables, global emissions are still rising, demonstrating once again that urgent action is needed on all fronts, developing all clean energy solutions, reducing emissions and stimulating investment and innovation, including carbon capture, utilisation and storage," said Fatih Birol, executive director of the IEA.
For the second consecutive year, in 2018 fossil fuels accounted for approximately 70 per cent of the growth in energy demand. Solar and wind also grew, but to a lesser extent; their increase was not fast enough to meet the higher global electricity demand, part of which was met by coal.
As a result, global CO2 emissions rose by 1.7 per cent (33 gigatonnes), and coal use for electricity generation alone exceeded 10 Gt of CO2, accounting for a third of the total increase. The majority of the rise in carbon dioxide is attributable to a new wave of coal-fired power plants in Asia. Most coal generation capacity is located in Asia, with plants that are on average 12 years old, meaning decades of operation still ahead given the average lifespan of 50 years for this type of power station.
Electricity continues to establish itself in the global energy landscape as the "fuel" of the future, with global electricity demand exceeding 23,000 TWh, growing by more than 4 per cent in 2018. This rapid rise, partly linked to electric mobility, is pushing electricity towards a share of 20 per cent of total final energy consumption. The increase in electricity generation accounts for approximately half of the growth in primary energy demand.
Renewable sources made a decisive contribution to the increase in electricity generation, accounting for nearly half of new demand. China remains the leader in renewables, both for wind and solar energy, followed by Europe and the United States.
Nearly a fifth of the increase in global energy demand comes from greater demand for heating and cooling as a result of a rise in extreme temperatures — that is, harsh winters and very hot summers — with historical records being broken.
China, the United States and India accounted for approximately 70 per cent of the increase in energy demand worldwide. The United States recorded the largest increase in oil and gas demand in the world. Their gas consumption rose by 10 per cent compared to 2017, the fastest increase since IEA data records began in 1971. To put that in perspective, the annual increase in energy demand in the United States was equivalent to the United Kingdom's current total gas consumption.
Global oil demand increased by 1.3 per cent in 2018, driven mainly by the United States with the launch of large petrochemical projects that boosted demand and partially offset the slowdown in fuel demand in India. The United States and China thus led the growth, while Japan and South Korea recorded a decline in consumption, with European demand remaining flat.
Natural gas consumption grew by 4.6 per cent last year, its largest increase since 2010. This second consecutive year of strong growth, following a 3 per cent increase in 2017, was driven by rising energy demand and the substitution of part of coal with natural gas, seen by many as a transitional source for the energy transition. The switch from coal to gas accounted for more than a fifth of the increase in gas demand.
Global demand for coal grew, but its role in the global energy mix continues to decline. Last year's increase of 0.7 per cent was significantly slower than the average annual growth rate of 4.5 per cent in the period 2000–2010. But, while coal's share of primary energy demand and electricity generation continues to fall, albeit slowly, coal nonetheless remains the largest source for electricity generation and the second largest source of primary energy.
