Warning About Network Investment for Electricity Demand from UEA

Critical Warning from the International Energy Agency

The report published by the International Energy Agency (IEA), Electricity 2026 Report, predicts that global electricity demand will grow at least 2.5 times faster than overall energy demand by 2030. The main reasons for this growth include industry, electric vehicles, air conditioning systems, data centers, and artificial intelligence.

Factors Driving Demand

Developing technologies and increasing energy needs strengthen the expectation that global electricity demand will increase at an average annual rate of 3.5% by 2030. Developing economies play a significant role in this increase in demand, while the stagnation process in developed economies has begun to come to an end.

The Rise of Renewable Energy

Low-emission energy sources are expected to account for 50% of global electricity production by 2030. Currently, these sources provide 42% of the world's electricity. The increase in renewable energy, nuclear energy, and natural gas production is essential to meet the growing demand for electricity.

Urgent Need for Grid Investments

IEA emphasizes the need for the rapid increase of electricity grid capacities in line with rising demand and production needs. It is stated that currently, projects with a total capacity of 2,500 gigawatts worldwide are unable to become operational due to waiting in the queue for grid connections.

Grid Investments Must Increase by 50%

IEA Director of Energy Markets and Security Keisuke Sadamori highlighted in a statement that in order to meet the increasing electricity demand, grid investments need to be increased by 50% by 2030, and ensuring system flexibility has become a critical priority.