Global Electricity Demand Surges; Grid Investments Must Triple to 2030

Global electricity demand is climbing at the fastest pace in 15 years, projected to average 3.6% annual growth through 2030, per the IEA. Growth is driven by AI, advanced manufacturing, EVs, air conditioning, and data centers, with emerging economies accounting for about 80% of the incremental demand by 2030. Advanced economies, including the U.S., EU, Japan, and South Korea, are seeing their first decade of electricity demand growth since 2009–2013. Demand outpaced grid capacity expansion in 2025, with global grid investments at about $400 billion per year and needing to rise by roughly 50% to meet 2030 needs. Over 2,500 GW of power projects are stalled in connection queues, and more than 1,600 GW could be integrated with grid-enhancing technologies and regulatory reforms. Rising equipment costs and supply chain constraints, plus aging infrastructure in key U.S. markets, suggest continued delays and a potential power crunch by 2030.