The global energy system remains in flux. In 2024, G20 countries—accounting for nearly 80% of global energy consumption and CO₂ emissions—continued to advance renewable energy deployment. Yet, fossil fuel use remained stubbornly high, and CO₂ emissions rose again. These trends reflect the complexity of achieving a clean energy transition amidst ongoing industrial growth, climatic extremes, and geopolitical uncertainty.
This in-depth article unpacks the energy consumption, generation, fuel mix, and emissions dynamics in G20 nations in 2024—highlighting opportunities and obstacles on the road to a net-zero future.
Economic Expansion Fuels Energy Consumption
In 2024, the combined GDP of G20 economies grew by 3%—matching the long-term average from 2010 to 2019. Key growth engines included India (+6%), the United States (+3%), and the European Union (+1%). China, despite a cooling real estate sector, maintained a solid 5% GDP increase.
This economic momentum drove a 2% increase in G20 primary energy consumption, a rate above the historical 1% annual average. Emerging markets, particularly China and India, played a disproportionate role in this surge.
Fossil Fuels Still Represent 80% of G20 Energy Use
Despite the rapid addition of solar and wind power, fossil fuels—coal, oil, and natural gas—continued to dominate the G20 energy mix in 2024:
This shows incremental gains in decarbonization but underlines the persistent structural reliance on fossil fuels.
Coal consumption in the G20 grew by 2% in 2024—faster than its pre-2020 average, despite signs of deceleration. China, which accounts for 63% of G20 coal use, increased its consumption by 3%, while India (14% share) expanded coal use by 5%.
In contrast, OECD markets saw notable declines:
These reductions reflect ongoing coal phase-outs, energy efficiency gains, and renewable integration.
China's coal production slowed to 1.5% growth in 2024 after a three-year surge. Coal imports rose by 14%, substituting for domestic output amid lower international prices. U.S. coal production declined by 11%, while EU production continued its structural decline, notably in Germany (-10%) and the UK (-79%).
Despite price normalization, 2024 coal prices remained 47–75% higher than in 2019, showing how global energy shocks continue to affect markets.
G20 Oil Consumption Falls for the First Time Since the Pandemic
Oil consumption in G20 countries fell by 1% in 2024. Declines were concentrated in China, the EU, and Saudi Arabia, reflecting a convergence of structural and policy shifts:
Other notable trends:
OPEC+ extended production cuts through 2025, but rising production from the U.S., China, and Argentina softened global oil prices, which fell by 2.5% to an average of USD 80/barrel.
Gas Demand Rebounds in Key Markets
G20 natural gas consumption rose by 3% in 2024, driven by:
European trends were mixed. Germany saw a 4% rise in gas demand (industry and power sector), while gas use dropped in France (-6%) and the UK (-1%) due to falling power generation needs.
Gas prices declined by 15% globally, but remained above pre-crisis levels in Europe and Asia. This moderated industrial demand recovery and influenced generation choices.
G20 Electricity Use Grows by 4%
Electricity consumption across G20 nations rose 4%—well above the 2.6% long-term average. Drivers included industrial expansion, electric vehicle charging, data center growth, and cooling loads during heatwaves.
Other notable developments:
Historic Year for Renewable Capacity Additions
In 2024, the world added 585 GW of renewable capacity, up from 473 GW in 2023. Solar led the charge with 452 GW, followed by wind (113 GW), hydropower (15 GW), bioenergy (4.6 GW), and geothermal (~400 MW).
Non-hydro renewables reached 16% of G20 electricity generation. Solar power alone rose 29%, while wind grew by 8%. These technologies are now central pillars of electricity systems in multiple G20 nations.
CO2 Emissions Up 1%—Matching Pre-Pandemic Trend
G20 CO₂ emissions from energy and industrial processes rose by 1% in 2024, echoing the average annual growth from 2010 to 2019. This increase was heavily concentrated in China and India:
South Korea (-2%) and Canada (-1%) also achieved reductions through fossil fuel substitution and nuclear/hydro gains. Emissions rose notably in Indonesia (+8%) and South Africa (+4%) due to higher coal use.
These figures illustrate the uneven progress toward decarbonization—especially as economic growth continues to drive energy demand in coal-dependent economies.
1. Renewables Alone Cannot Offset Fossil Growth—Yet
Despite record renewable additions, total fossil fuel use and emissions continue to rise. This signals the urgency of complementing clean energy scale-up with fossil phase-down policies, carbon pricing, and electrification of heat and transport.
2. China’s Dual Role: Leader in Clean Energy, Driver of Emissions
China is simultaneously the largest installer of renewables and the largest emitter of CO₂. Managing this duality will be critical for global climate outcomes.
3. G20 Nations Are on Diverging Paths
While the EU and US are bending the emissions curve, countries like India and Indonesia still face structural coal dependence. A coordinated global policy and finance framework is essential to bridge this divide.
4. Clean Technology Investment Must Broaden
Beyond solar and wind, deployment of green hydrogen, long-duration energy storage, and electric mobility must accelerate. These technologies are crucial for sector coupling and deep decarbonization.
The 2024 G20 energy and emissions data underline both momentum and inertia in the global energy transition. Renewable energy is growing faster than ever, but fossil fuel dependency remains deeply embedded—particularly in power generation and heavy industry.
To meet climate goals and limit global warming to 1.5°C, structural reforms in energy systems are non-negotiable. This includes accelerating fossil fuel phase-outs, expanding electricity access based on clean energy, and investing in system flexibility through storage, grids, and demand response.
The next decade will determine whether the G20 can transition from incremental improvements to transformational change.