IEA: Energy demand rise at an above-average rate in 2024, but oil falls back – Commerzbank

In its Global Energy Review published yesterday, the IEA identified trends for 2024 that are likely to continue this year, Commerzbank's commodity analyst Barbara Lambrecht reports. 

Oil's share of global energy consumption falls to a historical low

"It was primarily the sharp global increase in electricity demand (2024: +4.3% year-on-year) that drove overall energy demand (+2.2%). The latter therefore increased faster than in previous years, with emerging markets being the most important drivers of demand." 

"Last year's record temperatures pushed up the demand for air conditioning, but the advance of electric mobility and the expansion of data centres and artificial intelligence are also causing demand for electricity to rise sharply." 

"Renewables and nuclear energy have made the greatest contributions to covering the increasing demand, while the contribution of fossil fuels has declined. Oil's share of global energy consumption fell to a historical low of less than 30%, compared to a peak of 46% fifty years ago. Among fossil fuels, gas is the best performer."