- Record World Energy Consumption and Production: Primary energy consumption increased by 2%, surpassing pre-COVID levels, with renewables growing significantly but fossil fuels still dominating.
- Global Emissions Trends: Emissions fell in the U.S. and EU but surged in Asia Pacific, highlighting regional disparities in energy consumption and emissions.
- Market Highlights: Record highs in oil and coal consumption, significant natural gas production in the U.S., and unprecedented growth in renewable electricity generation.
Last year, after 70 years of publishing the Statistical Review of World Energy, BP handed over publication to the Energy Institute (EI). The full report and all data can be found at this link.
The Statistical Review is instrumental in providing comprehensive data on global oil, gas, and coal production and consumption, as well as on carbon dioxide emissions and renewable energy statistics.
On June 20th, the EI published its second Statistical Review. It was another year of record highs for consumption of fossil fuels and emissions, but also record generation of renewables.
Over the next month, I will focus on various categories from the report. Today, I provide a broad overview.
Record Energy Consumption and Production
Primary energy consumption increased by 2% from 2022, surpassing pre-COVID levels by over 5%. Renewable energy grew at six times the rate of total primary energy, making up 14.6% of total consumption. But fossil fuels still dominate, constituting 81.5% of primary energy consumption despite a slight percentage decline from 2022
Global energy consumption increased by 12.3 exajoules from 2022. Fossil fuels contributed 7.8 exajoules (63.6% of the increase) while renewables contributed the remaining 4.5 exajoules. Global energy demand continues to grow faster than the ability of renewables to keep pace, much less displace fossil fuels.
Global energy consumption increased by 12.3 exajoules from 2022. Fossil fuels contributed 7.8 exajoules (63.6% of the increase) while renewables contributed the remaining 4.5 exajoules. Global energy demand continues to grow faster than the ability of renewables to keep pace, much less displace fossil fuels.
Emissions in the U.S. declined by 2.7% from 2022, and emissions in the European Union fell by 6.6%. But, across Asia Pacific, emissions jumped 4.9%, an increase equivalent to triple the combined decline in the U.S. and EU.
Oil Market
Oil consumption reached a record 100 million barrels per day, driven largely by China’s post-lockdown recovery. The U.S. remained the largest oil producer, with an 8.5% production increase from 2022.
Natural Gas Trends
Natural gas prices dropped significantly in Europe and Asia, with the US seeing a 60% price fall. U.S. production set a new record for the 3rd consecutive year, climbing 4.2% from 2022. The U.S. overtook Qatar as the largest exporter of liquefied natural gas (LNG).
Coal Market Dynamics
Coal production hit a record high, with the Asia-Pacific region accounting for nearly 80% of output. Global coal consumption also reached new heights, driven by increased demand in China and India.
Electricity and Renewables
Electricity generation grew by 2.5%, with renewables contributing 30% of total generation. Solar and wind capacity saw unprecedented growth, with significant additions from China and Europe.
Key Minerals
Prices for key materials, such as cobalt and lithium, fell sharply, reflecting changes in global demand and supply dynamics.
Key Observations
Although there were record increases in renewable energy generation, fossil fuels still maintained a dominant share of the energy mix, highlighting the slow pace of the energy transition.
Energy consumption and production patterns reflected ongoing geopolitical disruptions and economic recovery post-COVID-19.
Advanced economies showed signs of slowing fossil fuel demand growth, while developing regions, particularly in the Global South, continued to drive energy demand growth.
The report emphasizes the importance of accelerating the transition to cleaner energy sources to meet climate goals and reduce carbon emissions while also acknowledging the diverse energy challenges and developments across different regions.
Robert Rapier is a chemical engineer in the energy industry, and Editor-in-Chief of Shale Magazine. Robert has 25 years of international engineering experience in the chemicals, oil and gas, and renewable energy industries, and holds several patents related to his work. He has worked in the areas of oil refining, oil production, synthetic fuels, biomass to energy, and alcohol production. He is author of multiple newsletters for Investing Daily, and of the book Power Plays. Robert has appeared on 60 Minutes, The History Channel, CNBC, Business News Network, CBC, and PBS. His energy-themed articles have appeared in numerous media outlets, including the Wall Street Journal, Washington Post, Christian Science Monitor, and The Economist.
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