• Global emissions from electricity generation rose by 1.2% in 2024 to around 13.9 Gt of CO2, following an increase of 1.6% in 2023.

• The global emissions intensity of electricity generation is on a contracting trend, with a record 3% reduction in 2024 compared to 1% in 2023. This improvement reflects the rapid growth in renewable energy and nuclear electricity production relative to rising demand.

• On an levelised cost of electricity (LCOE)1 basis, renewables remained the most cost-competitive option for new electricity generation in 2024.

• Onshore wind remained the most affordable source of new generation globally in 2024, with a weighted average LCOE of USD 0.034/kWh, followed by solar PV (USD 0.043/kWh) and hydropower (USD 0.057/kWh).

• Rising generation from renewables and nuclear power made up over 80% of global growth in electricity generation in 2024 – a step up from 2023, when they accounted for two-thirds of total growth.

• Global renewable power capacity is expected to reach 2.6 times its 2022 level by 2030, falling short of the COP 28 pledge of tripling renewable energy capacity.

Why is it important to achieve the success statement to reach the sectoral breakthrough goal?

• Electricity generation continues to have the highest emissions in the energy sector, with around 13.9 Gt CO2 emitted in 2024.

• Renewables, nuclear and other low-emissions electricity technologies are readily available to cut emissions. Faster deployment globally hinges on progress in all regions of the world, not just where deployment is taking place today.

• Recent progress and record growth years for renewables deployment, in particular, have been promising, but tapping into untouched potential in more regions and supporting the deployment of nuclear power can unlock greater emissions reductions.

Quantitative indicator for success

• Installed regional capacity and generation share of low-emissions power generation.

Qualitative examples of collaboration

• In 2025, the Energy Transition Council expanded its support to Latin America to help countries in the region deliver ambitious Nationally Determined Contributions (NDCs), in addition to continued support for the COP 28 Global Renewables and Energy Efficiency Pledge.

• At the G20 Summit in Brazil in 2024, more than a dozen countries launched the Global Clean Power Alliance (GCPA) to speed up the deployment of low-emissions power generation. The GCPA Finance Mission was launched to close the financing gap in emerging markets and, in the lead-up to COP 30, the GCPA aims to define how high-quality investment planning can facilitate greater private sector investment.

• At COP 28, 200 countries made a landmark pledge to triple renewable energy capacity globally by 2030, and over 20 countries pledged to triple nuclear energy capacity by 2050.

Why is it important to achieve the success statement to reach the sectoral breakthrough goal?

• The timely expansion of grids is essential to supporting electrification, energy security and the decarbonisation of electricity supply.

• As more parts of the economy electrify (such as through the adoption of heat pumps or electric vehicles) and demand greater amounts of electricity (such as for air conditioning), additional strain will be placed on the grid. Higher dependency on electricity means that access to a reliable, secure supply is even more important.

• In particular, the acceleration of renewable energy deployment calls for a modernisation of distribution grids and establishment of new transmission corridors to connect renewable resources and build out grid-scale storage.

• Emerging markets and developing economies (EMDEs) excluding China have seen grid investment decline by 7% per year on average in recent years, despite robust electricity demand growth, gaps in energy access and the need to continue improving reliability in many regions.

Quantitative indicator for success

• Global investment in grids and storage, with a focus on international public financing to EMDEs.

Qualitative examples of collaboration

• At COP 29, nearly 60 countries committed to the Global Energy Storage and Grids Pledge, which sets a goal of deploying 1 500 GW of energy storage, doubling global grid investments, and developing 25 million kilometres of grid infrastructure by 2030. The number of countries has now increased to 65, with over 100 non-state actors as signatories.

• In August 2025, the Green Grids Initiative finalised the Climate Finance Principles to Unlock Grids Financing, a landmark framework designed to unlock investment in electricity transmission, distribution and storage infrastructure. The Climate Finance Principles provide a forward-looking, methodology-neutral framework to assess the climate eligibility of grid investments.

Why is it important to achieve the success statement to reach the sectoral breakthrough goal?

• Interconnected grids can improve overall grid stability and flexibility, increase the diversity of resources for serving demand and provide a smoothing effect on variable renewables. Better interconnections allow countries and regions with excess clean energy to transfer it to areas with higher demand or less available capacity.

• Enabled by interconnections, cross-border electricity trade can lead to overall cost savings and revenue generation across the interconnected region, helping finance in-country deployments and reducing the cost of achieving energy and climate goals.

• While agreements on principles and best practice guidelines are an important foundation, an increased focus on deal-making is needed to bring progress in this area in line with the Power Breakthrough goal.

• Efforts need to go beyond resolving technical issues around interconnectors and move towards agreeing on plans for implementation and the harmonisation of regulatory and trading frameworks.

Quantitative indicator for success

• Volume of electricity generation traded across borders.

Qualitative examples of collaboration

• In August 2025, ministers of the Association of Southeast Asian Nations (ASEAN) countries welcomed a proposal by the World Bank and Asian Development Bank to develop the ASEAN Power Grid Financing Initiative, which will mobilise financing and provide technical support. The banks have so far pledged more than USD 12 billion to support this effort.

• In the context of the Renewable Energy Transition Accelerator, three knowledge products have been published by IEA, the World Bank and the International Renewable Energy Agency (IRENA), covering different aspects of regional interconnections: Institutional architecture; transmission pricing; and harmonisation of grid codes. These aim to provide regulators with examples and tools to ensure interconnectors increase flexibility in grids and support higher uptake of renewables.

Why is it important to achieve the success statement to reach the sectoral breakthrough goal?

• To ensure a just transition in the power sector, it will be crucial to accelerate learning from successful projects and to use this knowledge to better target resources towards a greater number of fossil fuel-dependent regions. In particular, there is enormous potential to expand activity into coal-intensive regions.

• Just transition plans designed to mitigate job losses and livelihood disruption in coal regions are essential to ensure that local communities both benefit from and support the transition. These strategies and financial plans should include training and reskilling programmes as well as protections, informed by dialogue and stakeholder participation.

• Dedicated funding should be allocated to environmental restoration plans. All these aspects are essential for building legitimacy and social acceptance, while reducing the risks of opposition, conflicts and delays.

• While there are a growing number of activities addressing the socio-economic impacts of the energy transition, these efforts are still in their early stages.

Quantitative indicator for success

• Percentage of coal workers covered by coal-specific just transition policies, announced and fully funded.

Qualitative examples of collaboration

•  The IEA’s Global Commission on People-Centred Clean Energy Transitions, comprised of energy, climate and labour leaders from governments and organisations around the world, released the Blueprint for Action on Just and Inclusive Energy Transitions, a major new guide for governments worldwide on translating the G20 Principles for Just and Inclusive Energy Transitions into real-world policy and practice.

• At COP 29, Uganda, and the bank Standard Chartered, joined the Powering Past Coal Alliance, a coalition working to advance the transition from unabated coal power generation to clean energy. While no coal-fired generation exists in Uganda, this signals that the country commits to not build any new coal in the future.