(www.MaritimeCyprus.com)Â The global energy landscape reached a historic turning point in 2025. According to the latest Global Energy Review 2026 by the International Energy Agency (IEA), the world has officially entered the "Age of Electricity". While total energy demand growth slowed to 1.3%, electricity demand surged at more than twice that rate.
From the record-breaking rise of Solar PV to the surprising impact of data centers on the U.S. power grid, here is the "juice" of the 2026 report.
Solar PV: The New King of Energy Growth
For the first time in history, a modern renewable source provided the largest share of global energy demand growth.
- Record Generation: Solar PV generation increased by 600 TWh in 2025—the largest single-year increase for any energy source ever recorded outside of a post-crisis recovery.
- Market Share: Solar now accounts for over 8% of total global electricity generation.
- Global Reach: While China led the way, the U.S., India, and the Middle East all saw solar growth of 20% or more.
The Rise of Data Centers and EVs
The shift toward an electrified economy is being accelerated by two massive tech drivers:
Data Centers: In the United States, data centers were responsible for half of all electricity demand growth in 2025. Globally, electricity demand from data centers rose by 17%.
Electric Vehicles (EVs): EV sales climbed over 20%, exceeding 20 million units. This growth significantly muted the demand for oil in the road transport sector.
A Historic Shift in Coal and Emissions
2025 saw a structural "squeeze" on fossil fuels, leading to a significant slowdown in $CO_{2}$ emissions growth, which rose by only 0.4%.
- China and India: For the first time in five decades, both nations saw simultaneous declines in coal-fired power generation.
- Clean Energy "Shield": The deployment of solar, wind, nuclear, EVs, and heat pumps since 2019 avoided 3 billion tonnes of $CO_{2}$ in 2025—roughly 8% of total global emissions.
Regional Divergence: U.S. vs. China
While global trends pointed toward a slowdown, regional stories varied:
- United States: Energy demand growth accelerated to over 2%, driven by robust industrial growth, a cold winter, and the aforementioned data center boom.
- China: Although China still held the largest share of global demand, its growth rate slowed sharply to 1.7% due to rapid renewable expansion and a structural shift away from energy-intensive industries.
Battery Storage: The Fastest-Growing Technology
To support the "Age of Electricity," energy storage is scaling at breakneck speed.
- Rapid Expansion: Battery storage was the fastest-growing power technology in 2025, with capacity additions rising by 40%.
- New Benchmarks: At nearly 110 GW of new capacity, battery additions in 2025 actually surpassed the highest-ever annual capacity additions for natural gas.
The Global Energy Review 2026 confirms that while fossil fuels still dominate the total mix, their growth is stalling. The massive rollout of clean energy is now powerful enough to displace fossil fuel demand even as the global economy continues to grow.
For more details, click below image to download the full report:
Source: IEA
