The International Energy Agency (IEA) warns that the world needs a massive boost in new energy generation by 2027 to meet an “unprecedented” spike in electricity demand. The IEA forecasts an additional 3,500 terawatt-hours of energy production over the next three years, equivalent to adding more energy consumption than Japan per year.
The surge in demand is driven by growing needs in emerging markets, particularly in India and China, where air conditioning usage and datacenter power requirements are increasing. Advanced economies like those in the European Union are also seeing an uptick in energy consumption due to increased use of heat pumps and electric vehicles.
To meet this growing demand, renewables like wind, solar, and hydropower will play a crucial role, with the IEA predicting that they can meet 95% of the forecasted demand by 2027. However, the agency notes that changing weather patterns and strain on electrical systems could make renewables less resilient in the coming years.
The report highlights concerns over energy system flexibility, which could impact development of new energy sources without exacerbating the problem. The IEA warns that blackouts, droughts, and severe winter storms could be major issues, signaling a need for greater investment in energy infrastructure to ensure a stable supply.
Source: https://www.theregister.com/2025/02/14/iea_global_electricity_demand