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Vehicle software and software-defined vehicles
…on subscription‑based functions could also increase costs for users, albeit creating a new revenue stream for manufacturers. For example, “feature‑as‑a‑service” business models – through which users can access premium vehicle functions through one‑off payments, subscriptions or pay‑per‑use arrangements – offer greater flexibility but may also raise lifetime costs depending on automaker strategies and consumer choices.At the same time, software – particularly over‑the‑air updates – can support affordability by ensuring the vehicle remains up to date for longer. First introduced by Tesla in 2012, OTA updates enable software and firmware upgrades delivered via wireless connectivity, without requiring a visit to a dealership or service…
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Energy and AI
…It also analyses what the uptake of AI could mean for energy security, emissions, innovation and affordability. Videos Tips for using the AI Agent Understand the limitations: This agent has been trained on the content of the IEA's Electricity 2025 report to make it easier to explore and understand the analysis it contains. The agent has access to a general knowledge base for training purposes, but it cannot access additional sources materials or online resources. For detailed or official interpretations, please refer to the full report or contact the International Energy Agency. Be clear and specific: Provide detailed and…
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Energy crisis threatens world’s most vulnerable as cooking fuel shortages grow
…billion people across the developing world use LPG as their primary source of energy for cooking. As of 2025, 30% of all seaborne LPG exports transited through the Strait of Hormuz. Developing Asia accounts for the largest share of LPG use for cooking, with almost 2.4 billion people using it as their main cooking fuel. India and Indonesia have relied heavily on LPG in successful campaigns to expand clean cooking access, shifting more than 800 million people away from using wood, charcoal, kerosene and other harmful fuels since 2010. Today, 90% of Indonesian households rely on LPG for cooking…
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Tracking SDG7: The Energy Progress Report, 2025
Tracking SDG7: The Energy Progress Report, 2025 Since its inception in 2018, Tracking SDG 7: The Energy Progress Report has become the global reference for information on progress toward the achievement of Sustainable Development Goal 7 (SDG 7) of the UN 2030 Agenda for Sustainable Development. The aim of SDG 7 is to “ensure access to affordable, reliable, sustainable, and modern energy for all.” This report therefore summarizes global progress on electricity access, clean cooking, renewable energy, energy efficiency, and international cooperation to advance SDG 7. It presents updated statistics for each of the indicators and provides policy insights on…
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World Energy Outlook 2025 Achieving access for all
…the access gap worldwide requires USD 4 billion each year for clean cooking from now until 2040, and around USD 23 billion each year for electricity until 2035. While it is encouraging that private sector involvement is expanding, public and concessional financing remains vital to attract capital to underserved segments, especially in riskier markets where public finances are constrained. Expanding energy access can support productivity improvements in agriculture and local industry, helping to drive broader economic and energy demand growth. However, the speed at which energy demand increases once access has been gained may be constrained by the cost of energy, the affordability of…
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The Implications of Oil and Gas Field Decline Rates
Much attention today focuses on uncertainties affecting the future evolution of oil and natural gas demand, with less consideration given to how the supply picture could develop. However, understanding decline rates – the annual rate at which production declines from existing oil and gas fields – is crucial for assessing the outlook for oil and gas supply and, by extension, for market balances.The International Energy Agency (IEA) has long examined this issue, and a detailed understanding of decline rates is at the heart of IEA modelling and analysis, underpinning the insights provided by the scenarios in the World Energy Outlook.This new…
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Financing Electricity Access in Africa State of play
…have proved essential alternatives and saw a 20% increase in their level of financing between 2019 and 2023.Private finance for electricity access remains limited, reaching USD 640 million (or 25% of total commitments) in 2023. The vast majority of this private capital comes from international sources, with impact investors providing over USD 1 billion to decentralised solutions over the five-year period. This reliance on international capital makes it challenging for smaller, often African-owned companies to scale up, illustrating the need to mobilise more financing from local institutions.Given the tight profit margins and affordability constraints facing electricity access projects…
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Financing Electricity Access in Africa Beyond new connections
…financing models.Women play an integral role in electricity access since they are often managers of household energy, as well as consumers, including as entrepreneurs. They face severe barriers to accessing finance, with an estimated USD 42 billion financing gap for women-led businesses on the continent. Improving sex-disaggregated data is key to understanding both supply- and demand-side challenges, as well as introducing tailored financial products such as loans backed by cash flows or moveable collateral.The impact of concessional capital is maximised when directed to the most underserved communities and to close affordability gaps – roles that other providers are…
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Universal Access to Clean Cooking in Africa Implications and policy considerations
…customer base quickly. In the ACCESS, the share of debt financing in the sector increases from 35% today to over 50%. This depends on more financiers being able to assess and appropriately price risk clean cooking companies and investments. Technical assistance and concessional finance can help, especially for small and medium-sized enterprises that play an important role expanding clean cooking where commercial players will not. At current prices, the cost of gaining clean cooking access would exceed 10% of household monthly income for nearly 600 million people in sub-Saharan Africa. Affordability varies significantly by fuel type, but financial…
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Financing Clean Energy in Africa Designing finance solutions for clean energy: solutions for key sectors
…from today’s levels, but understanding where it can be deployed is essential to enable the design of targeted interventions. And there are still some countries and sectors where grants and concessional funding need to lead. Achieving universal access to modern energy requires a major uptick in spending, reaching roughly USD 25 billion per year by 2030. Affordability constraints risk acting as a brake: only around half of the new electricity access connections providing the most basic energy services are likely to be affordable in the absence of additional financial support, such as subsidies, grants or tariff reform. Clean cooking projects beyond…
