Renewables Crushing Coal
The IEA just issued a new report titled “Global electricity demand to keep growing robustly through 2026 despite economic headwinds. Its primary point is that renewables will be the primary source of rising energy needs. Their definition includes wind, solar, nuclear and natural gas. The demand side, the analysis says, is industry, appliances, data centers, and EVs.
Electricity needs will move up much faster than other energy categories. The researchers write, “Electricity demand is set to rise by 3.3% in 2025 and 3.7% in 2026 – more than twice as fast as total energy demand growth over the same period.” Given AI demand, that figure appears low.
Small Nuclear Reactors
Coal will be the loser in terms of supply going forward. Its use is expected to drop below renewables this year and next. Again, if AI data center use explodes, the forecast may not be accurate. Nuclear power use will rise, and not because of new aged small nuclear reactors (SMR). Rather, the rise will be largely because of the restarts in Japan, and expansion of legacy reactors in the US and France.
The rotation to renewables should also stop the rise in carbon emissions.
Oddly, electricity use growth will not be fastest in the US compared to other large nations. AI data center growth should put the US in the lead. However the report says, “China and India are expected to drive 60% of the increase in global electricity consumption over 2025 and 2026.” Of course, they are the two largest nations in the world, based on population, Each is home to over one billion people.
Of course, one of the final conclusions is that the price of electricity will go up in many places.
More from ClimateCrisis 247
- EV Batteries Will Power America’s Grid
- AI Helps Drive Up Electricity Bills 20%
- Blackouts May Be Stopped By Renewables
- America’s Cleanest Gasoline
