Demand for fossil fuels is expected to peak this decade
Energy sector carbon emissions to peak in 2025 – IEA
New policies in the EU, the US and China will cause emissions to peak this decade, the first time this has been forecast in an IEA Steps scenario
New policies announced by governments around the world mean global energy‐related CO₂ emissions will peak in 2025, according to the IEA’s most recent World Energy Outlook. The US Inflation Reduction Act, the EU’s RepowerEU package and new targets in China mean that annual clean energy investment will rise to $2tn by 2030 from $1.3tn today, according to the IEA’s stated policies scenario (Steps) which is based on concrete actions taken by nations. This will cause demand for fossil fuels to peak this decade—the first time this has been forecast in an IEA Steps scenario. The scenario shows global energy‐related CO2 emissions peaking at 37gt/yr in 2025, before falling back to 32gt/yr by 2050. Th
Also in this section
13 December 2024
Prices in world’s largest compliance market have risen this year but remain below those seen in the EU
11 December 2024
Policymakers need to step up with a long-term, global strategy if the energy transition is ever to be a success
11 December 2024
CCUS and other carbon management technologies are gaining traction around the world, but heightened policy risk and other pressures will make 2025 a challenging year in some regions
10 December 2024
Tightened standards have helped improve the outlook for the voluntary carbon market, which is set for a record year and poised for long-term growth
