Over 70 countries have pledged to achieve net zero in the coming decades. This means the sources of energy will rapidly shift towards synthetic fuels and hydrogen. They are likely to constitute a third of the global energy mix by 2035 and half by 2050. This means that net zero will not be achieved by a reduction in energy consumption as a 3–4% annual growth rate in electricity demand to 2050 is forecast. By that date, fossil fuels will meet 43% of global energy demand. However, growth in energy investments could be driven almost entirely by renewables and decarbonisation technologies. Despite the persistent pandemic-induced supply chain challenges, construction delays and rising raw material and commodity prices, renewable capacity increased by 6% in 2021 reaching almost 295 gigawatt (GW). This growth was higher than forecast and includes a 17% decline in annual wind capacity and an increase in solar photovoltaic (PV) and hydropower installations. Initial estimations are that renewable capacity increased by over 8% in 2022 providing more than 300 GW of global energy.
The world will continue to push for net zero
Navigating Future Energy Supply and Demand