The growth in end-use consumption results in electricity generation increasing 79% between 2018 and 2050. Electricity use grows in the residential sector as rising population and standards of living in non-OECD countries increase the demand for appliances and personal equipment. Electricity use also increases in the transportation sector as plug-in electric vehicles enter the fleet and electricity use for rail expands.
With the rapid growth of electricity generation, renewables—including solar, wind, and hydroelectric power—are the fastest-growing energy source between 2018 and 2050, surpassing petroleum and other liquids to become the most used energy source in the Reference case. Worldwide renewable energy consumption increases by 3.1% per year between 2018 and 2050, compared with 0.6% annual growth in petroleum and other liquids, 0.4% growth in coal, and 1.1% annual growth in natural gas consumption.
Global natural gas consumption increases more than 40% between 2018 and 2050, and total consumption reaches nearly 200 quadrillion Btu by 2050. In addition to the natural gas used in electricity generation, natural gas consumption increases in the industrial sector. Chemical and primary metals manufacturing, as well as oil and natural gas extraction, account for most of the growing industrial demand.
Global liquid fuels consumption increases more than 20% between 2018 and 2050, and total consumption reaches more than 240 quadrillion Btu in 2050. Demand in OECD countries remains relatively stable during the projection period, but non-OECD demand increases by about 45%.