IEA – Electricity Mid-Year Update, July 2024

The global electricity demand is expected to grow at a fast pace in 2024 and 2025, driven by economic growth, heatwaves, and continued electrification worldwide. The growth is projected to be 4% in both years, outpacing global GDP growth. China, India, and the United States are key drivers of this demand, with China's electricity consumption expected to grow by 6.5% in 2024 and India's by 8%. The United States is set to rebound with a 3% increase in demand in 2024. The European Union is expected to see a 1.7% growth in electricity demand in 2024 after a decline in the previous years. The rise of artificial intelligence is increasing the electricity consumption of data centres, highlighting the need for better data collection and understanding of future trends. Heatwaves continue to strain power systems globally, with countries like India, Mexico, and the United States experiencing surging peak loads due to increased cooling demand. Improving efficiency standards for air conditioning and expanding power grids will be crucial to ensure reliability in the face of growing demand. The IEA will be hosting a conference on Energy and AI in December 2024 to further study these trends.