The Facts

• The International Energy Agency (IEA) has reported that global demand for electricity is expected to increase by 4% in 2024, the third-fastest pace since 2007, due to economic growth and the increasing use of artificial intelligence (AI) and air conditioning.The International Energy Agency (IEA) has reported that global demand for electricity is expected to increase by 4% in 2024, the third-fastest pace since 2007.

• This comes as electricity consumption in China and India is expected to increase by 6.5% and 8%, respectively, while demand in the US and Europe is set to rebound and rise up to 3% this year.The analysis published on Friday highlights that record heat waves in 2024 — the warmest year on record worldwide — have driven up air conditioning demand, and that generative artificial intelligence is ramping up data centers' energy needs.

• According to the Electricity Mid-Year Update report, worldwide electricity demand grew 2.5% last year and is forecast to increase by another 4% in 2025.This comes as the latest sustainability reports from Google's parent company, Alphabet, and Microsoft indicate that energy demands for AI are disrupting their ambitious climate goals to reduce greenhouse gas emissions.