January 2022Electricity Market ReportPAGE | 3 Abstract IEA. All rights reserved. Electricity Market Report – January 2022 Abstract The year 2021 placed exceptional demands on electricity markets around the world. Strong economic growth, combined with more extreme weather conditions than in 2020, including a colder than average winter, boosted global electricity demand by more than 6% – the largest increase since the recovery from the financial crisis in2010. The fast rebound in overall energy demand strained supplychains for coal and natural gas, pushing up wholesale electricityprices. Despite the impressive growth of renewable power,electricity generation from coal and gas hit record levels. As aresult, the global electricity sector’s annual carbon dioxideemissions leaped to a new all-time high after having decreased forthe previous two years.Building on our analysis of these recent events, the January 2022 edition of the IEA Electricity Market Report presents our forecasts for demand, supply and emissions in global electricity markets through 2024. While renewables are set to meet the vast majority of the increase in global electricity demand in the coming years, this trend would only result in a plateauing of emissions from electricity generation. That is insufficient for the power sector to fulfil its critical role as a leading force in the decarbonisation of economies around the world. Electricity Market Report – January 2022 PAGE | 4 IEA. All rights reserved. Table of contents Table of contents Executive summary ......................................................................................... 5 Global overview ............................................................................................... 7 Deman...
