Mercedes Mullins
Fossil fuels—including coal, oil, and natural gas—have been the primary source of energy for over 150 years. In 2023, fossil fuels accounted for 82% of the global energy mix, with oil and coal making up a third and a quarter of the world's energy consumption, respectively. While electricity generation from renewable sources has grown at nearly triple the pace of fossil fuels since 2019, fossil fuels still dominate global power systems. Several key countries, including the United States, China, India, Japan, Poland, and Turkey, sourced more than half of their electricity from fossil fuels in 2023.
| Characteristics | Values |
|---|---|
| Percentage of global electricity from fossil fuels | 80-82% |
| Fossil fuel with the largest share of electricity generation | Natural gas (22.6%) |
| Countries where fossil fuels provide over half of electricity | US (59%), China (65%), India (75%), Japan (63%), Poland (73%), Turkey (57%) |
| Fossil fuel with the second-largest share of electricity generation | Coal (14-21%) |
| Percentage of global electricity from renewables | 17-21% |
| Percentage of global electricity from nuclear | 10% |
| Region with the highest coal output | Asia (56%) |
| Country with the highest coal consumption | China |
| Country with the second-highest coal consumption | India |
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What You'll Learn
Fossil fuels remain the primary energy source
While there has been a notable shift towards renewable energy sources, the absolute growth in renewable electricity generation has not kept pace with the increase in global energy demand. This means that the share of electricity coming from fossil fuels has remained high, despite the expansion of renewables. In 2023, electricity generation from renewable sources grew at nearly triple the pace of fossil fuels since 2019, yet clean electricity's share of total electricity generation remained below 40%.
Coal is the largest source of electricity globally and remains dominant in many countries. In 2023, coal's share of the total electricity generation mix was around 14% in Europe and North America, but it held steady at about 56% in Asia. China, the world's largest coal consumer, has seen a massive shift away from coal in recent years, leading the global renewable race and accounting for 55% of all renewable energy additions in 2023. However, coal output in Asia has increased, driven by strong growth in India and other countries.
Natural gas is the second-largest source of electricity generation globally, accounting for around 22.6% of total generation in 2023. While gas consumption has decreased in some key markets, it has seen an upturn in others, such as the United States during the summer months when air conditioning demand is high. Oil, the third major fossil fuel, constituted about one-third of U.S. energy consumption in 2023 and remains an important source of energy globally, especially in the transportation sector.
The high reliance on fossil fuels has severe environmental consequences. The burning of fossil fuels releases carbon and other greenhouse gases, leading to dramatic changes in Earth's climate. In 2023, fossil fuel consumption resulted in 40 gigatonnes of carbon dioxide (CO2) emissions, the highest level ever recorded. However, there are efforts to reduce these emissions, such as carbon capture and storage (CCS) technology, which collected 40 million tons of carbon globally in 2020. Additionally, the Group of Seven (G7) has agreed to exit coal in the first half of the 2030s, marking a significant step toward transitioning away from fossil fuels.
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Coal is the dominant fuel
Fossil fuels remain the primary source of electricity worldwide, with coal being the dominant fuel. In 2023, coal, oil, and natural gas comprised about 82% of the global energy mix, with oil and coal accounting for a third and a quarter of the world's energy consumption, respectively. Coal supplies just over a third of global electricity generation, despite being the most carbon-intensive fossil fuel.
Coal is generated by burning coal coke, which produces high temperatures necessary for steel production. The concrete and paper industries also burn large amounts of coal to generate heat. While coal is gradually being replaced in most countries, it remains crucial for iron and steel production until newer technologies emerge. Several countries, including the United States, China, India, Japan, Poland, and Turkey, sourced over half of their electricity from fossil fuels in 2023.
In Asia, coal's share of the electricity generation mix has remained flat at around 56%, with average monthly output increasing from 590 TWh in 2019 to 686 TWh in 2023 due to strong growth in China, India, and other countries. China, the world's largest coal consumer, is expected to level off consumption due to its expansion of renewables and strong electricity demand. In contrast, India, Indonesia, and Vietnam are witnessing rising coal demand as emerging economies.
While the United States remains the world's third-largest coal consumer, its consumption has halved in the last decade. In 2022, coal accounted for about 19.5% of US electricity generation, a decline from previous years. The Group of Seven (G7) nations, including the US, have pledged to exit coal by the 2030s, marking a significant step toward transitioning away from fossil fuels.
To summarize, coal is the dominant fuel in the world's electricity generation, contributing significantly to global energy consumption and carbon emissions. While some countries are transitioning away from coal, others are facing challenges due to rising energy demands and industrial needs.
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Oil consumption varies by region
Oil consumption varies across the world, with several key countries sourcing more than half of their electricity from fossil fuels. The United States, for example, sourced 60% of its electricity from fossil fuels in 2023, with coal, natural gas, petroleum, and other gases accounting for the majority of this. China, on the other hand, has seen a decline in coal usage in some regions, with gas generation displacing dirtier-burning coal. Despite these efforts, China still leads the world in coal consumption, burning more coal than the rest of the world combined. India, another country with high fossil fuel consumption, has seen a surge in energy demand, contributing to the increase in fossil fuel consumption globally.
In 2024, non-OECD countries consumed 60% of oil products, with notable increases in Asian countries. India, Indonesia, Malaysia, and the Philippines all saw a 2% increase, while Vietnam's consumption surged by 27%. In OECD countries, oil consumption varied, with increases in the EU, Türkiye, South Korea, Mexico, and Australia, while it declined in Japan and Canada.
While there has been a push for renewable energy sources, fossil fuels still dominate global power systems. Natural gas, for example, accounted for around 22.6% of total electricity generation globally in 2023. Coal's share of the electricity generation mix has declined in Europe and North America but remained flat in Asia, where it accounted for around 56% in 2023. Despite the efforts of the Group of Seven (including Canada, France, Germany, Italy, Japan, the UK, and the US) to exit coal by 2030, fossil fuels continue to be the primary source of global electricity.
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Natural gas is the second-largest source
Fossil fuels continue to dominate global power systems, with coal, oil, and natural gas comprising 82% of the global energy mix in 2023. While coal is the largest source of electricity worldwide, natural gas is the second-largest source, accounting for around 22.6% of total electricity generation globally.
Natural gas has seen a steady increase in production over the years, with a 4% increase in 2019, contributing to the overall rise in fossil fuel consumption. This transition from coal to gas is positive from a climate perspective, as gas typically emits less CO2 per unit of energy. However, the ultimate goal is to shift from gas to low-carbon sources such as renewables and nuclear energy.
In 2019, natural gas was the third-largest component of the global energy mix, constituting 23% of the total. While renewables surpassed natural gas in 2013, natural gas has continued to play a significant role in electricity generation. In 2023, total natural gas production reached a record high, coinciding with increases in global natural gas plant liquids (NGPL) production.
Regionally, natural gas consumption patterns vary. In Europe, an ongoing downturn in industrial activity has impacted gas consumption, while in the United States, a strong upturn in gas-fired generation during the summer months for air conditioning has contributed to a new high in natural gas electricity generation. China has also witnessed a shift from coal to natural gas in some regions, contributing to a record high in gas generation this year.
Despite the positive trend towards natural gas and renewables, fossil fuels remain the primary source of electricity worldwide. Several key countries, including the United States, China, India, Japan, Poland, and Turkey, sourced more than half of their electricity from fossil fuels in 2023. While there is growing momentum towards clean energy, with investments in clean energy technologies and infrastructure, the world still has a long way to go before renewables dominate the energy mix.
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Renewables are increasing
Fossil fuels, including coal, oil, and natural gas, comprised 82% of the global energy mix in 2023. This is a slight increase from the year before, with the world consuming 1.5% more fossil fuels in 2023 than in 2022. Oil and coal made up a third and a quarter of the world's energy consumption, respectively. Natural gas accounted for around 22.6% of the energy generation globally in 2023.
However, there is a growing trend of renewable energy sources being used across the world. In 2024, renewable energy sources provided 30% of global electricity, up from 19% in 2000. This increase is driven by a rise in solar and wind energy, which made up 13.4% of the energy mix in 2023, up from 0.2% in 2000. Hydropower is the largest modern renewable energy source, but wind and solar power are growing quickly.
The growth in renewables is expected to continue, with the International Energy Agency (IEA) forecasting that the share of renewables in final energy consumption will increase to nearly 20% by 2030, up from 13% in 2023. By the end of the decade, the share of wind and solar PV in global electricity generation is predicted to double to 30%. China is set to account for almost 60% of all renewable capacity installed worldwide by 2030, with solar PV forecast to make up 80% of the growth in global renewable capacity. India is also rapidly increasing its renewable energy capacity, with the fastest growth rate among major economies.
The increase in renewable energy sources is having a positive impact on emissions. In 2023, the CO2 intensity of global power generation reached a new record low, 12% lower than its peak in 2007. Additionally, in Europe and the US, a decrease in fossil fuel consumption has led to a significant reduction in CO2 emissions of 6.6% and 2.7%, respectively.
While fossil fuels still dominate the global energy mix, the growth in renewable energy sources is encouraging and is expected to lead to a decline in fossil fuel generation in the coming years.
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Frequently asked questions
Fossil fuels account for about 80% of the world's energy, with coal, oil, and natural gas comprising 82% of the global energy mix in 2023.
Coal is the largest source of electricity globally, with natural gas being the second-largest.
Several key countries sourced well over half of their electricity from fossil fuels in 2023, including the United States (59%), China (65%), India (75%), Japan (63%), Poland (73%), and Turkey (57%).
