The International Energy Agency (IEA) recently released its second Global Energy and CO2 Status Report for 2018. The report analyzes the global trends across different fuel sources, renewable energy, energy efficiency, and carbon emissions. This is the first time the IEA has assessed the impact of fossil fuel usage on global temperature increases, marking a significant step in understanding the ramifications of fossil fuel consumption.
Key Findings: Global Energy Consumption and CO2 Emissions
In 2018, the global energy consumption increased at nearly twice the average rate of growth since 2010. This was primarily due to a robust global economy which expanded by 3.7% in 2018, and higher heating and cooling needs in certain regions. China, the United States, and India accounted for nearly 70% of the increase in energy demand, and were responsible for 85% of the net rise in emissions. In contrast, Germany, Japan, Mexico, France, and the United Kingdom saw a decline in their carbon emissions.
Unusual weather patterns in 2018 also contributed to the increase in global energy demand, as many regions experienced near or record-breaking winter and summer temperatures. The report further highlighted the dominant role of coal combustion as it was found responsible for over 0.3°C of the 1°C increase in global average annual surface temperatures above pre-industrial levels – making it the largest single source of global temperature increase.
Shift in Global Energy Dynamics
The period between 2014 and 2016 saw stagnant CO2 emissions despite the global economic expansion. This decoupling was largely due to strong energy efficiency improvements and the deployment of low-carbon technologies, leading to a decrease in coal demand. However, in 2017 and 2018, the dynamics changed. Higher economic growth was not accompanied by higher energy productivity and lower-carbon options failed to scale up fast enough to meet the rising demand. Natural gas emerged as the preferred fuel of 2018, accounting for nearly 45% of the increase in total energy demand.
Performance of Renewable and Nuclear Energy
Demand for all types of fuel rose in 2018, with fossil fuels meeting nearly 70% of the growth for the second consecutive year. Although renewable energy sources grew at a double-digit pace, they were still unable to meet the increasing global electricity demand. Nuclear energy saw an increase of 3.3% in 2018, primarily due to new capacity in China and the restart of reactors in Japan. Overall, nuclear power generation met 7% of the increase in energy demand worldwide.
| Fuel Type | Percentage of Global Energy Demand Increase 2018 |
|---|---|
| Natural Gas | 45% |
| Fossil Fuels | 70% |
| Nuclear Energy | 7% |
India’s Energy Consumption and Emission
In 2018, India’s energy demand outpaced the global average. It produced 2,299 million tonnes of carbon dioxide, marking a 4.8% increase from the previous year. This was mainly due to coal-based power generation and oil-based transport, the two major contributors to pollution. Despite this, India’s per capita emissions remained quite low, at only 40% of the global average. However, India’s emissions growth in 2018 exceeded that of the United States and China – the world’s top two emitters – largely due to an increase in coal consumption.
India saw a 3% decline in energy intensity improvement from 2018. On the other hand, its renewable energy installations increased by 10.6% from the previous year. According to its commitments under the United Nations Framework Convention on Climate Change, India aims to reduce the emissions intensity of its economy by 2030 compared to 2005 levels. It has also pledged to derive 40% of its energy from renewable sources by 2030 and install 100 GW of solar power by 2022.
