Global energy demand to increase by 4.6% in 2021: IEA

The Economic Times, April 20, 2021

Global energy demand is set to increase by 4.6% in 2021, more than offsetting the 4% contraction in 2020 and pushing demand above 2019 levels, the International Energy Agency (IEA) has said in a report.
A demand recovery would also boost energy-related carbon dioxide emissions by almost 5% in 2021. “Global carbon emissions are set to jump by 1.5 billion tonnes this year – driven by in the resurgence of coal use in the power sector. This is a dire warning that the economic recovery from the Covid crisis is currently anything but sustainable for our climate,” said Fatih Birol, the IEA Executive Director.

Global coal demand in 2021 is set to exceed 2019 levels, rising 4.5%, with more than 80% of the growth concentrated in Asia, as per the report.

Global oil demand is forecast to rise 6.2% in 2021 but will still stay around 3% below 2019 levels. Natural gas demand is expected to grow by 3.2% in 2021, driven by rising demand in Asia, the Middle East, and Russia. The gas demand would exceed 2019 levels by 1%.

Electricity demand is set to register its fastest growth in more than 10 years in 2021. The demand would expand by 4.5% in 2021 with almost 80% of the projected increase in emerging markets and developing economies.

Electricity generation from renewables is expected to jump by over 8% in 2021, accounting for more than half of the increase in overall electricity supply worldwide. Renewables would provide 30% of electricity generation worldwide in 2021, up from less than 27% in 2019.