World Energy Outlook 2022

Today, the world is in the midst of the first truly global energy crisis, with impacts that will be felt for years to come. Russia’s unprovoked invasion of Ukraine in February has had far‐reaching impacts on the global energy system, disrupting supply and demand patterns and fracturing long‐standing trading relationships.

The crisis is affecting all countries, but at the International Energy Agency (IEA), we are particularly concerned about the effect it is having on the people who can least afford it. One of the striking findings in this year’s World Energy Outlook (WEO) is that the combination of the Covid pandemic and the current energy crisis means that 70 million people who recently
gained access to electricity will likely lose the ability to afford that access – and 100 million people may no longer be able to cook with clean fuels, returning to unhealthy and unsafe means of cooking. That is a global tragedy. And it is not only an energy crisis with which we are dealing: many countries also face a food security crisis and increasingly visible impacts of climate change.

As the world faces this unprecedented energy shock and the other overlapping crises, we need to be clear on how we got here and where we need to go. The analysis in this Outlook is particularly important to shed light on these questions and to dispel some of the mistaken and misleading ideas that have arisen about this energy crisis.

For example, there is a mistaken idea that this is somehow a clean energy crisis. That is simply not true. The world is struggling with too little clean energy, not too much. Faster clean energy transitions would have helped to moderate the impact of this crisis, and they represent the best way out of it. When people misleadingly blame climate and clean energy for today’s crisis, what they are doing – whether they mean to or not – is shifting attention away from the real cause: Russia’s invasion of Ukraine.

Another mistaken idea is that today’s crisis is a huge setback for efforts to tackle climate change. The analysis in this Outlook shows that, in fact, this can be a historic turning point towards a cleaner and more secure energy system thanks to the unprecedented response from governments around the world, including the Inflation Reduction Act in the United States, the Fit for 55 package and REPowerEU in the European Union, Japan’s Green Transformation (GX) programme, Korea’s aim to increase the share of nuclear and renewables in its energy mix, and ambitious clean energy targets in China and India.

Read The Full Article