Renewables Slow Global Emissions Growth in 2025: International Energy Agency Report

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PARIS: A surge in renewable energy—particularly solar power—helped curb the growth of global emissions in 2025, even as advanced economies recorded a surprising uptick, according to a new report by the International Energy Agency.

The agency reported that energy-related carbon dioxide emissions rose by just 0.4% in 2025, marking a slowdown compared to recent years. The moderation was largely driven by rapid solar expansion in developing economies, which helped offset rising emissions in wealthier nations.

Global energy demand growth also eased to 1.3%, slightly below the previous decade’s average. Meanwhile, natural gas demand slowed significantly, particularly in the first half of the year, due to relatively high prices.

In a notable shift, advanced economies experienced their first annual increase in emissions since 2018. The United States led this trend, relying more heavily on coal-fired power generation amid elevated gas prices. Strong electricity demand—fueled by expanding data centres, industrial activity, and colder weather—further contributed to the rise.

Conversely, developing economies showed encouraging progress. China recorded a decline in emissions, supported by a significant increase in solar capacity installations. Similarly, India saw emissions fall under normal economic conditions for the first time on record, aided by a strong monsoon season and higher renewable energy generation.

The findings highlight the growing impact of renewable energy in reshaping global emissions trends, even as challenges persist in balancing energy demand and sustainability goals.

By Reuters

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