The world’s insatiable thirst for fossil fuels reached a new peak in 2023, with consumption of oil and coal hitting record highs. This surge in hydrocarbon use comes at a steep price, pushing greenhouse gas emissions to unprecedented levels.
Data from the Energy Institute’s (EI) “Statistical Review of World Energy 2024” paints a concerning picture. Global energy consumption from oil reached 196.43 Exajoules (EJ), a 2.5% increase compared to the previous year. Coal consumption also saw a rise of 1.6%, reaching a record 164.03 EJ. This increase is particularly alarming as it defies the global trend of a gradual shift away from coal.
The report attributes this rise in coal consumption primarily to the Asia-Pacific region, which has witnessed a sustained increase over the past two decades. China, India, Indonesia, and Australia are the main drivers of this trend, with China alone accounting for over half of global coal production.
While the global share of hydrocarbons in the energy mix has decreased slightly to 81.5%, this statistic masks a significant regional disparity. Europe’s energy mix has seen a dramatic shift, with the share of hydrocarbons dipping below 70% for the first time since the Industrial Revolution. This decline is largely driven by stricter energy efficiency regulations and changing consumer habits.
The United States also witnessed a decrease in coal consumption, leading to a lower share of hydrocarbons in its energy mix. However, this trend is not reflected globally, particularly in the Global South.
Here, energy consumption is growing at twice the global average, driven by rapid development and a growing population. Notably, 10% of the world’s population still lacks access to electricity, highlighting the critical role energy plays in development.
The record consumption of fossil fuels has a direct consequence on greenhouse gas emissions. In 2023, these emissions reached a historic high of over 40 gigatons of CO2 equivalent, a 2% increase compared to the previous year. Emissions from burning fossil fuels account for a staggering 87% of the total. This rise in emissions is a stark reminder of the urgent need for a global transition towards cleaner energy sources.
Despite the record-breaking fossil fuel consumption, there are glimmers of hope. Renewable energy sources like solar and wind are experiencing significant growth. China, for example, installed a staggering 63% of the world’s total solar and wind capacity in 2023. This rapid growth in renewables is contributing to a decline in the share of hydrocarbons in China’s energy mix, even as its overall energy consumption continues to rise.
However, significant challenges remain. While renewable energy is growing, its current capacity is insufficient to fully replace fossil fuels. Additionally, a large portion of the world’s population – roughly 10% – still lacks access to electricity. Another 2.6 billion people rely on highly polluting fuels for cooking and heating.
The report highlights a critical question: how can we meet the growing energy demands of developing nations while mitigating the environmental impact of fossil fuels? The report suggests that significant investment in renewable energy infrastructure and technological advancements will be crucial. Additionally, ensuring universal access to clean and affordable energy remains a vital goal for sustainable development.
Developed nations must continue to lead the way in adopting renewable energy sources and improving energy efficiency. Simultaneously, the Global South requires increased support and investment to ensure access to clean and reliable energy.
Bridging the gap between the Global North and South is crucial for achieving a sustainable energy future. Only through a collective effort can we ensure equitable development and mitigate the worst effects of climate change.
The path forward requires a delicate balancing act – promoting economic growth in developing countries while transitioning towards a cleaner energy future. Collaboration between governments, industries, and research institutions will be essential to navigate this complex challenge.
