Global appetite for fossil fuel is still growing despite intensive and sustained investment in the renewable energy space.
Record increases in solar and wind installations in 2022 failed to cut into the massive 82 per cent share of fossil fuels in global energy consumption amid turbulent energy markets and energy security concerns, the annual Statistical Review of World Energy has shown.
Moreover, despite the record growth of global solar and wind capacity additions last year, emissions rose again, to a new record high, and further put the world off track to the Paris Agreement targets, said the report, published by the Energy Institute (EI) and partners KPMG and Kearney, which earlier this year took over the publishing of one of the industry’s most closely-watched reports from BP that had published it for the prior 71 years.
The latest report showed that primary energy demand growth slowed in 2022, increasing by 1.1 per cent, compared to 5.5 per cent growth in 2021, and taking it to around 3 per cent above the 2019 pre-COVID level.
Solar and wind capacity continued to surge, for a record increase of 266 gigawatts (GW) last year. Solar accounted for 72 per cent or 192 GW, of those capacity additions.
Despite the record rise in renewable energy, fossil fuels still account for 82 per cent of global energy consumption, the report noted.
“Despite record growth in renewables, the share of world energy still coming from fossil fuels remains stubbornly stuck at 82 per cent, which should act as a clarion call for governments to inject more urgency into the energy transition,” said Simon Virley, Vice Chair and Head of Energy and Natural Resources, KPMG in the UK.
As energy demand grew by 1.1 per cent last year, global energy-related emissions continued to grow, and rose by 0.8 per cent year-on-year, despite strong growth in renewables.
“Despite further strong growth in wind and solar in the power sector, overall global energy-related greenhouse gas emissions increased again,” EI President Juliet Davenport said.
“We are still heading in the opposite direction to that required by the Paris Agreement,” Davenport added.
