The world is rapidly transitioning toward a future dominated by low-emission energy sources, with more than half of global electricity expected to come from clean energy by 2030, according to the International Energy Agency’s (IEA) latest World Energy Outlook report.
The IEA projects that demand for oil, gas, and coal will peak by the decade’s end, potentially leaving an excess of fossil fuel resources. “We’ve experienced the Age of Coal and the Age of Oil,” said IEA Executive Director Fatih Birol. “Now, we are speeding into the Age of Electricity, increasingly powered by clean energy.”
The report highlights unprecedented growth in renewable energy, with 560 gigawatts (GW) of capacity added in 2023. Global investments in clean energy projects now approach $2 trillion annually—almost double the spending on fossil fuel supplies. By 2030, renewable energy and nuclear power will generate over half of the world’s electricity.
However, the deployment of clean energy remains uneven across regions and technologies. China, for instance, accounted for 60% of new global renewable capacity last year. In contrast, many developing nations face challenges such as policy instability and high financing costs, which are slowing their adoption of clean technologies.
The IEA also warned that despite the rapid growth in renewables, global energy demand remains heavily reliant on fossil fuels. Last year, two-thirds of the increase in demand was still met by coal, oil, and gas, resulting in record-high energy-related carbon dioxide (CO2) emissions.
While global carbon emissions are expected to peak soon, current policies fall short of aligning with the net-zero emissions target by 2050, a key objective for limiting global temperature rise to 1.5 degrees Celsius under the Paris Agreement. According to the IEA, the world remains on track for a 2.4-degree increase by 2100 unless more aggressive climate actions are taken.
As the global shift toward clean energy accelerates, the IEA urges policymakers to focus on making energy use more efficient to ensure that renewable growth translates into meaningful reductions in CO2 emissions.
The IEA report was released just weeks before the UN’s COP29 climate summit in Azerbaijan, where world leaders will continue discussions on transitioning away from fossil fuels and scaling up renewable energy efforts.
