Clean energy meets all new demand, marking a structural shift in the global power system and slowing fossil fuel growth
Clean energy drives the global shift in electricity generation
In 2025, global electricity generation entered a structural phase of transformation: clean sources fully covered the growth in global demand, halting the expansion of fossil generation for the first time outside of economic crises.
Following the International Energy Agency, the Global Electricity Review 2026 by Ember confirms that low-carbon generation growth exceeded global electricity demand, which reached 849 TWh (+2.8%), rising to 887 TWh.
This resulted in a slight decline in fossil generation of 38 TWh (-0.2%), an event recorded only five times this century. The outcome was driven mainly by solar power, which alone covered 75% of demand growth, while combined with wind it accounted for 99% of total expansion.
The global power system is thus showing a clear decoupling between demand growth and fossil fuel use, marking a shift from a coal- and gas-based model to one increasingly dominated by scalable renewable technologies. This trend is also gaining relevance across parts of Sub-Saharan Africa, where rapid electrification is creating similar opportunities for clean energy expansion.
The solar boom: +636 TWh, 30% growth
The most striking figure in global electricity generation concerns solar energy. In 2025, photovoltaic generation increased by 636 TWh (+30%), reaching 2,778 TWh, the highest level ever recorded.
This is the largest annual increase ever observed for a single source, excluding the post-Covid rebound in coal. Solar has now reached a scale comparable to the entire electricity demand of the European Union, surpassing wind for the first time and approaching nuclear.
Growth follows an exponential trajectory: production has increased more than tenfold since 2015 and doubles approximately every three years. China leads the sector, accounting for more than half of global growth (+336 TWh), followed by the United States (+85 TWh) and the European Union (+60 TWh).
This expansion is also supported by record levels of installed capacity, with 647 GW added in 2025 alone, signaling continued growth in the near term.
Renewable electricity generation overtakes coal globally
For the first time in modern history, renewable electricity generation surpasses coal in 2025.
Renewables reached 33.8% of the global mix (10,730 TWh), compared to coal at 33.0% (10,476 TWh). This milestone is driven by the combined growth of solar and wind, which now represent 17.3% of global generation, nearly four times their 2015 share.
At the same time, coal’s share continues to decline, falling below one-third of the mix for the first time. The drop in coal generation (-63 TWh) and the reduction in gas share have also improved the emissions intensity of the power system, which fell to 458 gCO2e/kWh (-2.7% year-on-year).
This highlights an ongoing decarbonization process, although still uneven across regions.
China and India lead the decline in fossil generation
The slowdown in global fossil generation is largely linked to China and India, which together account for 42% of global fossil-based electricity.
In 2025, both countries recorded a decline in fossil generation: China fell by 56 TWh (-0.9%), while India dropped by 52 TWh (-3.3%). This marks the first time this century that the two main drivers of global fossil growth have simultaneously reduced output.
In China, electricity demand continues to rise (+503 TWh), but is entirely met by clean energy (+561 TWh), driven by solar and wind.
In India, the decline is also supported by milder weather conditions and record renewable growth (+98 TWh). The combined result is a reduction of 79 MtCO2e, equivalent to the annual emissions of Brazil.
Storage enables the shift from daytime solar to continuous supply
A key element in transforming electricity generation is the integration of solar power with storage systems. In 2025, global battery capacity grew by 46% to around 250 GWh, while costs dropped by 45%.
This allows about 14% of new solar generation to be shifted from midday hours to other times, reducing reliance on fossil sources in the evening.
In advanced markets such as Australia and Chile, batteries already enable more than 50% of new solar output to be shifted, with direct effects on electricity prices and reduced curtailment.
The cost of solar generation with storage stands at around 76 USD/MWh, making it competitive with new gas or coal plants. This marks the beginning of a new phase: from intermittent generation to continuous renewable energy availability.
Global electricity demand continues to grow
Global electricity demand reached a new record of 31,779 TWh in 2025, growing by 2.8%. The slowdown compared to 2024 is linked to temporary factors such as stable temperatures and lower industrial activity, but the underlying trend remains upward.
Key drivers include transport electrification and the growth of data centers. Electric vehicles contributed 66 TWh (8%) to demand growth, while data centers added around 60 TWh (7%), with strong growth expected in the coming years.
Despite this increase, clean energy continues to grow faster than demand, at an average rate of 7.6% per year, paving the way for a stabilization and eventual decline of fossil generation within the next decade.
