Global electricity demand witnessed a remarkable surge in 2024, growing by 4.3%, a significant jump from the 2.5% recorded in 2023, according to the International Energy Agency’s Global Energy Review 2025 released on Friday.
This dramatic rise in demand was driven by expanding electrification across multiple sectors, intensified weather conditions, and an uptick in industrial operations.
The IEA report reveals that the 2024 growth rate nearly doubled the average annual increase seen over the past decade, with China standing out as the biggest contributor.
The world’s second-largest economy saw its electricity usage spike by over 550 terawatt-hours, marking a 7% rise compared to the previous year.
“China’s power demand in 2024 exceeded the entire global average annual increase of the last decade,” the IEA noted. The agency attributed this growth to increased industrial activity, rapid development of data centers, and soaring use of air conditioning.
Advanced economies also showed strong signs of recovery after a 140 TWh decline in 2023, with electricity consumption among developed nations climbing by 230 TWh in 2024. The United States was at the forefront of this rebound.
“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.
Europe followed a similar path, though its rebound was more modest. The European Union experienced a 1.5% increase in electricity usage, an improvement after two decades of stagnation.
Other developed countries such as South Korea and Australia also posted significant growth in power demand.
One of the standout contributors to the global electricity surge was the buildings sector. It grew at four times the pace seen in 2023, with over 600 TWh added—representing nearly 60% of the overall global increase.
“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, electricity demand growth eased slightly in 2024, settling back after an unusually high increase in 2023 that was fueled by extreme weather.
Conversely, Southeast Asia emerged as a high-growth region, with demand leaping over 7%, a notable rise from 4% in the previous year.
While rising electricity consumption reflects expanding economies and deeper electrification, energy experts caution that meeting this demand sustainably is now a pressing concern.
“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 official.
