In 2025, clean energy met 40% of new electricity demand; quicker advancements and sector innovations could lead to lasting emission reductions, according to the annual Energy Transition Monitor.

Key Findings from the Energy Transition Monitor 2026

1. Clean Electricity’s Growth:

   • Clean electricity accounted for 40% of new energy demand in 2025, with significant investments and deployment in renewables, particularly in solar and electric vehicles.

2. Emission Trends:

   • Despite the growth in clean electricity, global greenhouse gas emissions have plateaued rather than declined. The simultaneous rise in overall energy demand, driven by sectors such as data centers and heavy industries, is a significant factor.

3. Two-speed Transition:

   • Approximately 60% of global emissions, mainly from power generation and road transport, can be reduced through clean electrification at minimal costs. However, the remaining 40% from sectors like aviation, shipping, heavy industry, and agriculture is more challenging and requires innovations that are still in early-stage commercial development.

4. Unaddressed Levers:

   • Key areas needing attention include coal use, methane emissions, deforestation, and scaling carbon removal technologies.

5. Regional Variations:

   • China: Leads the world in clean electrification, supplying a majority of renewable energy equipment and having made significant investments in clean heavy industry.
   • United States: Faces delays in transition due to federal policy; despite cancellations of clean energy projects, renewable growth has remained steady.
   • EU and UK: Show the fastest emissions reduction progress among major economies but face grid connection bottlenecks.
   • India: Struggles with slow clean capacity installation despite rapid electricity demand growth.
   • Asia & Australia: Experience varying progress, with high fossil fuel prices driving increased clean energy initiatives.

6. Call to Action:

   • Leaders emphasize the urgency to address coal emissions, methane releases, and enhance carbon removal processes to mitigate climate change effectively.

7. Conclusion:

   • The challenge is no longer the feasibility of clean energy technologies but whether they can be deployed rapidly enough to meet rising energy demands while reducing emissions. Solutions are needed to alleviate permitting and connection barriers, ensuring a swift transition to a sustainable energy future.

For more detailed insights, download the full report here.