IEA Report 2025: Solar PV Contributes the Largest Share to Global Energy Growth in 2025 – Battery Storage with Record Expansion

Paris (France) – Global energy demand rose more moderately in 2025 than in the previous year. In contrast, electricity consumption continues to grow at an above-average pace. This is according to the latest “Global Energy Review” published by the International Energy Agency (IEA).

According to the report, global energy demand growth slowed to 1.3% in 2025, slightly below the decade-long average of 1.4%. At the same time, global electricity demand increased by around 3%, more than twice as fast as total energy demand.

A particularly notable development in meeting rising electricity demand is the shift within the energy system: solar energy contributed the largest single share to global energy supply growth in 2025 for the first time. The expansion of photovoltaics accounted for more than 25% of total growth, ahead of all other energy sources. Natural gas followed with the second-largest share at 17%.

In the context of the energy system transformation, alongside renewables, the strong growth of the storage market stood out in 2025: battery storage was the fastest-growing technology in the energy sector. Around 110 gigawatts of new storage capacity were installed worldwide, surpassing the largest annual expansion ever recorded for gas-fired power plants.

IEA Executive Director Fatih Birol highlighted this development: “Electricity consumption is growing much faster than overall energy demand – and one energy source is growing much faster than any other. Solar PV accounted for over a quarter of all of the world’s energy demand growth – more than any other source, for the first time.”

The expansion of renewable energy led to a structural shift in the power sector. Solar power alone generated an additional 600 terawatt-hours, significantly contributing to the displacement of coal in electricity generation. Overall, electricity generation from renewable sources grew significantly faster than total electricity demand. Electric vehicle adoption also continued to rise. Sales increased by more than 20% to over 20 million vehicles, accounting for around one in four new car registrations worldwide.

The IEA sees the developments in 2025 as a continued shift toward a more electrified energy system increasingly shaped by solar power and storage technologies.

Source: IWR Online, 24 Apr 2026