The Key Takeaways of the 2024 Statistical Review of World Energy

• Global energy consumption and emissions climbed to record highs in 2023.
• Renewable energy generation grew rapidly, but fossil fuels still account for most energy use.
• Coal production and consumption were the highest ever, oil consumption hit a new record high, and U.S. natural gas production also hit a record high.

Last year, after 70 years of publishing the Statistical Review of World Energy, BP handed over the 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.

Primary Global Energy Consumption by Source 2023. ROBERT RAPIER

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 and Carbon

Global emissions rose by 2.1%, crossing 40 billion metric tons of CO? equivalents for the first time. Emissions from flaring and industrial processes saw significant increases, contributing to record levels.

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.

By Robert Rapier via rrapier.com

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