Global Carbon Emissions Nearing Peak Amid Accelerated Clean-Energy Technology Use, IEA Report Finds

A recent analysis conducted by the International Energy Agency (IEA) indicates that the global community is nearing peak levels of carbon emissions. The findings of the IEA reveal that there was an increase of 410 million tonnes of CO2 equivalent in global emissions in 2023, signifying a 1.1 per cent rise. Nevertheless, this escalation was notably lower than the 490 million tonnes rise observed in the previous year, suggesting a possible approaching peak in carbon emissions.

The report underscores the crucial importance of clean-energy technology in mitigating carbon emissions. The widespread adoption of clean-energy alternatives like solar PV, wind, nuclear power, and electric vehicles (EVs) has played a pivotal role in limiting the global increase in CO2 emissions over the past five years to a third of what it could have been. The expansion of these clean-energy options has led to a decrease in reliance on fossil fuels, resulting in a slower growth in emissions despite heightened energy demand.

One of the primary contributors to the surge in emissions in 2023 was an exceptional deficiency in hydropower due to severe droughts in various regions worldwide. This led to over 40 per cent of the emissions rise as countries turned to increased use of fossil-fuel alternatives to compensate for the decline in hydropower.

Moreover, the report highlights a positive trend observed in advanced economies, where a record reduction in CO2 emissions coincided with economic growth in 2023. This decline was attributed to the extensive deployment of renewables, coal-to-gas switching, enhancements in energy efficiency, and less aggressive industrial production. Notably, coal demand in these economies reverted to levels not witnessed since the early 1900s, indicating a substantial shift towards cleaner energy sources.

Fatih Birol, the director of the IEA, underlined the resilience of the clean-energy transition despite various challenges in recent years. He cited the impact of the COVID-19 pandemic, energy crises, and geopolitical instability as potential threats to the transition but noted that efforts to establish cleaner and more secure energy systems have prevailed in numerous economies.

The report also emphasizes the necessity for greater efforts to facilitate emerging and developing economies in augmenting their investment in clean energy. Although the successful deployment of wind and solar PV in electricity systems has diminished coal consumption and reduced natural gas demand, the IEA points out that clean-energy deployment remains heavily concentrated in advanced economies and China.

Additionally, the report highlights the role of electric vehicles in reducing oil demand, with one in five new car sales globally being electric vehicles in 2023. This significant adoption of electric vehicles has played a crucial role in preventing oil demand from exceeding pre-pandemic levels.

In conclusion, the report by the IEA presents an optimistic outlook regarding the global transition to clean energy and the potential for reaching peak carbon emissions. However, it also underscores the urgent need for more substantial investment in clean energy in emerging and developing economies to further expedite this transition on a global scale.