Environment & Energy

Renewables set to meet around 90% of global electricity demand growth out to 2027
Global electricity generation from renewable energies rose 10% y-o-y in 2024, double the 5% increase in 2023. Hydropower generation, which had declined by around 2% in 2023 amidst severe droughts in many regions, most notably in China, posted a substantial rebound in 2024, up by 4%. The increase was led by a strong recovery in both China and Europe due to higher precipitation.

At the same time, solar PV generation grew by 30% in 2024, its highest growth rate since 2017, totalling a record gain of 475 TWh y-o-y. More than half of the growth in solar PV generation came from China. Over the 2025-2027 forecast period, we expect global solar PV generation to rise by about 1 800 TWh. As a result, solar PV is set to meet around half of the growth in global electricity demand in our outlook period. The strong growth trend in solar PV is accompanied by continued expansion in wind generation, which is forecast to meet around one-third of additional global electricity demand during this period. We forecast total renewable generation to increase each year by 10% on average out to 2027, adding around 3 400 TWh globally in total.