Clean energy sources met all global electricity demand growth in 2025, marking a structural turning point for the power sector and halting the long-standing expansion of fossil fuel generation, according to a report by Ember.

Global electricity demand rose by 2.8% year-over-year, or 849 TWh. Low-carbon generation increased by 887 TWh, exceeding demand growth and resulting in a slight 38 TWh decline in fossil generation, or 0.2%. The report notes this was the first year since 2020 without fossil growth and only the fifth such instance this century.

Solar accounted for 75% of global electricity demand growth in 2025, cementing its position as the fastest-growing power source globally.

Solar generation rose by a record 636 TWh, a 30% increase from 2024. Wind added 205 TWh, with the two sources together meeting 99% of the new demand. Solar’s growth was 18 times that of gas, the only fossil fuel to record an increase.

Global solar output reached 2,778 TWh, overtaking wind for the first time and nearing nuclear levels. Solar and wind are both expected to surpass nuclear generation in 2026. Solar generation is now roughly equal to the European Union’s total electricity demand.

Solar capacity additions also reached a record 647 GW in 2025, up 11% from the previous year.

Renewables Overtake Coal

Renewables accounted for 33.8% of global electricity generation in 2025, surpassing coal at 33% for the first time in the modern power system.

Coal generation declined by 63 TWh, or 0.6%, falling below one-third of global electricity generation for the first time. The carbon intensity of electricity generation also declined to 458 gCO2e/kWh, down 2.7% year-over-year.

Battery Storage Accelerates Transition

Battery storage deployment expanded rapidly, with global additions reaching 247 GWh in 2025, a 46% increase. Battery pack prices fell 45% to a record low of $70/kWh.

The report estimates that new battery capacity installed in 2025 can shift around 14% of new solar generation from daytime to other hours. Dispatchable solar paired with storage can now be delivered at around $76/MWh, making it competitive with fossil fuel-based generation in several markets.

China, India Drive Global Shift

China and India played a central role in the global shift, marking the first year this century that fossil generation declined in both countries simultaneously.

In China, fossil generation fell by 56 TWh, or 0.9%, even as electricity demand increased by 5%. The country added 336 TWh of solar and 138 TWh of wind generation, accounting for more than half of global solar expansion.

China also led capacity additions, accounting for 58% of global solar installations and 72% of wind installations.

China’s role in the 2025 transition was also foreshadowed by the scale of its capacity additions. Mercom reported that the country added a record 311 GW of solar and 119 GW of wind capacity during the year, pushing total power capacity to 3,890 GW.

In India, fossil generation declined by 52 TWh, or 3.3%, as renewable generation rose by a record 98 TWh, double the previous annual high. Solar generation increased by 53 TWh and wind by 22 TWh. India also installed more solar capacity than the United States for the first time.

The combined impact reduced power-sector emissions by 79 MtCO2e in China and India, while global power-sector emissions remained broadly flat.

Mixed Regional Signals

In the European Union, wind and solar exceeded fossil generation for the first time, accounting for 30% of electricity generation. Solar output rose by 60 TWh, while coal generation declined and gas generation increased, driven by lower hydropower output.

Brazil also saw solar generation surpass fossil fuels for the first time, highlighting the growing role of solar in emerging markets.

However, Asia remains the only region where coal continues to dominate, accounting for 52% of electricity generation compared to 32% from renewables.

EVs Driving Demand Growth

Electric vehicles contributed about 66 TWh, or 8%, of global demand growth in 2025. Data centers added an estimated 60 TWh, with demand expected to nearly double from around 500 TWh in 2025 to 950 TWh by 2030.

Mercom had earlier reported that 2025 was already shaping up to be a milestone year for the global power sector, with the IEA saying renewables were on track to overtake coal-fired generation either in 2025 or by 2026 at the latest.