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Electricity Market Design
…liquidity and accessibility, which can make it harder for participants to manage risk and invest with confidence. Complementary mechanisms have become structural features of many systems, helping to support resource adequacy and decarbonisation objectives, but their effectiveness and cost efficiency depends on designs that work in concert with market signals.The analysis highlights that coherent evolution across market layers and mechanisms is essential to maintain secure, affordable and sustainable electricity systems. The report concludes with insights to guide policy makers as they refine market arrangements and ensure that markets remain resilient, efficient and responsive as system needs continue to change.
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Coal 2025
Analysis and forecast to 2030 Coal is a cornerstone of electricity generation in many countries as well as the single largest source of carbon dioxide emissions globally, placing it at the centre of international dialogues on energy. At a time of uncertainty and change for energy systems around the world, a range of different trends could shape coal markets in the years ahead.On the one hand, recent policy changes supporting coal could drive consumption higher, as could surging electricity demand in economies across the world, since two-thirds of global coal use today is for power generation. On the…
- Executive summary
- Demand
- Supply
- Trade
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+ 2 pages
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National Climate Resilience Assessment for Algeria
…nearly 310 km2 a year. At the same time, Algeria’s desert regions could see an increase in extreme precipitation events, flash floods and riverbed overflows in a high-emissions scenario which poses a risk to hydrocarbon extraction, refining activities and other energy infrastructure. Over the past 15 years, the Algerian government has allocated 70% of its annual disaster response budget – averaging USD 255 million per year – to flooding, highlighting the increasing threat posed. Algeria is increasing policy attention to managing these impacts, including through its National Adaptation Plan (NAP), the publication of its National Climate Plan 2020‑2030 and the establishment of the Nat...
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Health
…40%.In addition to physical health, energy efficiency can also lead to improvements to mental health, thermal comfort, and safety: Mental healthStudies show that thermal discomfort and fuel poverty have negative mental health impacts – such as anxiety, stress and depression – and that efficiency improvements can improve this. The impact on mental health may be enhanced if combined with financial support mechanisms and strong community engagement.Thermal comfortRetrofits that include installing insulation are shown to enable occupants to raise indoor air temperatures to comfortable levels. SafetyEfficient public lighting can enhance safety perceptions. For instance, efficient streetlighting projects in Brazil and India…
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Ukraine’s Energy Security
A pre-winter assessment As Ukraine enters its fourth winter of war, ensuring that residents retain reliable access to heat and power is of the utmost importance. While Ukraine made strong strides in rebuilding and strengthening the resilience of its energy system this past spring and summer, the situation remains fragile, and the risk of huge disruptions and widespread destabilisation remains – particularly as Russia expands the scope and sophistication of its attacks.This analysis builds on the IEA’s September 2024 report, Ukraine’s Energy Security and the Coming Winter. It provides an update on the latest developments through October…
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Gas Market Lessons from the 2022-2023 Energy Crisis
The 2022-2023 energy crisis tested the resilience of the global gas and LNG markets with the most severe gas supply shock in history. During the crisis, natural gas-importing markets around the world felt the pressures of record-high gas prices, including the scale-back in access to energy, the impediment to economic activity and the extra burden on government budgets. Market responses varied but governments were quick to react as the challenges of security of supply became apparent. Post-crisis, markets must continue to adapt as the effects of the crisis continue to influence security of gas supply…
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The Value of Demand Flexibility
…Energy Agency’s Digital Demand-Driven Electricity Networks (3DEN) Initiative, examines the value of demand flexibility as a core component of modern electricity systems, with a strong emphasis on its role in improving energy efficiency. As electricity demand grows and power systems become more electrified, decentralised and renewable-rich, managing when and how electricity is used is increasingly as important as expanding supply.The brief sets out a clear framework for understanding demand flexibility and highlights its contribution to an efficiency-first approach to power system planning and operation. By shifting or adjusting electricity use in response to system conditions…
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Policy options to accelerate distributed solar PV in Ukraine
…storage deployment will support Ukraine in establishing energy security.In the year following the Russian Federation’s full-scale invasion of Ukraine in 2022, available dispatchable power generation capacity halved from roughly 38 GW to 19 GW. After severe attacks in spring 2024, capacity declined further, down to 12 GW. Towards the end of 2024 Ukraine was able to restore 3 GW and has worked to restore and add additional capacity throughout 2025, despite ongoing attacks.Distributed solar PV has played a key role, providing cost effective and rapid increases in electricity generation capacity, contributing to system resilience and overall energy security…
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Financing Electricity Access in Africa
…insights into how investment evolves to reach universal access – quantifying the scale of private and public financing required as well as the affordability challenges across the continent.This report comes at a time when the international community is mobilising to provide additional financial support to tackle this key issue, under South Africa’s leadership of the G20, Brazil’s COP30 Presidency and the Mission 300 initiative. The IEA’s analysis underscores how international finance, resources and technical expertise must be strategically directed to drive the electricity access transformation needed across the continent, supporting Africa’s economic, social and environmental goals.
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Renewables for Industry
…paper, and other manufacturing activities. These sectors offer some of the most immediate and cost-effective opportunities for industrial decarbonisation and diversification of energy sources. Commercially available electric technologies – including heat pumps, electric boilers and resistance heaters – can meet most heat demand in these subsectors.Widespread electrification of low-temperature heat and steam in industry, coupled with increasing deployment of renewable electricity supply, can deliver multiple benefits. In addition to reducing fossil fuel use and associated emissions, it can improve energy security by lowering exposure to volatile gas and oil prices and, when integrated with thermal storage, it can create…
