Global Power Demand Surge Threatens Net Zero Goals
According to Wood Mackenzie's 'Energy Transition Outlook 2025-2026' report, the world is now on track for 2.6°C of global warming due to surging power demand from artificial intelligence and mounting geopolitical tensions.
The report states that achieving a 2°C warming limit would require a significant increase in annual investment, to $4.3 trillion between 2025-2060, and reaching net zero emissions by around 2060.
Energy sector investment must grow from 2.5% of global GDP today to 3.
- A 30% increase in annual investment is needed to limit warming to 2°C.
- China takes global leadership in energy transition.
Author's summary: Global power demand surge puts net zero goals out of reach.