Electrification key to energy transition

The energy transition must focus on electrifying sectors such as industry, transport and buildings according to a new report.

The International Renewable Energy Agency said while global goals of tripling renewable power capacity and doubling energy efficiency by 2030 remain essential, electrification supported by digitalisation and modernisation of grids is crucial.

Its upcoming World Energy Transition Outlook 2026 report identifies electrification as the main structural driver behind the decline of fossil fuels across buildings, transport and industry.

Its revised 1.5°C scenario sees electricity's share in global consumption rise from 23% today to 35% in 2035 and over 50% in 2050, with rising demand mostly met by renewables.

It envisages the share of fossil fuels declining across sectors from 80% today to 50% in 2035 and 20% or less in 2050.