Power Mix in Transition by Region, Technology and Disruptive Themes to 2035

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This outlook provides an analysis of how the global power mix has evolved in recent years and identifies key trends as we move towards 2035, delivering insight on future project costs as well as focus areas for investment in the industry. Overall, the power mix is expected to undergo significant changes in the run-up to 2035. Technological advancements, alongside strong policy initiatives, financial incentives, and increased market demand, will improve the competitiveness of renewable energy compared to conventional thermal power. As a result, renewable energy is forecasted to surpass thermal power in the global power mix by 2033 and will account for a 49% share of the generation mix in 2035.

Overall, the power mix is expected to undergo significant changes in the run-up to 2035. Technological advancements, alongside strong policy initiatives, financial incentives, and increased market demand, will improve the competitiveness of renewable energy compared to conventional thermal power. As a result, renewable energy is forecasted to surpass thermal power in the global power mix by 2033 and will account for a 49% share of the generation mix in 2035.
Solar PV will emerge as the single largest source of renewable generation, accounting for a 20% share of the global power mix in 2035. Despite the strong growth of renewables, thermal power will still account for 43% of the power mix in 2035, driven by sustained coal and gas generation, highlighting the challenge of decarbonizing while there is an ongoing need to reliably cater to burgeoning global energy demands.
Behind global aggregates lie distinctive regional trends. The rate at which regions will shift away from thermal generation will vary, informed by differing socio-economic circumstances, policies and industry. Asia-Pacific and the Middle East and Africa will retain a large share of thermal generation in their power mix, while South and Central America will continue to have the cleanest power mix.
Renewable generation faces numerous challenges, including its inherent intermittency and grid integration. Energy storage and hydrogen can help facilitate a faster adoption of renewable energy.

Scope

Global power generation outlook and trends, breakdown of power generation by region and technology, new investment trends in technology, global average project costs by technology, upcoming thermal capacity and decommissioning, disruptive themes within the energy transition – hydrogen and energy storage

Key Highlights

– Despite improvements in energy efficiency, global power demand is forecasted to continue to rise between 2025 and 2035, increasing at a CAGR of 3.4%. By 2035, the Asia-Pacific region will account for the largest share of power demand, with 62%. This is on account of it being the most populous region and experiencing economic growth and rising per capita energy demand.

– In 2024, renewable energy accounted for 33% of the total global power generation. Conversely, in 2024, thermal power accounted for nearly 60% of global generation. By 2035, renewable energy will account for 49% of the global power mix.

– Asia-Pacific and the Middle East and Africa will retain a large share of thermal generation in their power mix, due to its availability, reliability and affordability. Conversely, South and Central America will continue to have the cleanest power mix, maintaining a share of over 75% between 2025 and 2035, driven by a strong base of hydropower generation.

Reasons to Buy

– Identify the trends within the global power mix from 2022 to 2035, including assessing the breakdown of power generation by region and sub-technology

– Identify the macro factors impacting power generation globally

– Assess the impact of the rise of data centers and AI on power demand and the power mix

– Gain insight into key technological trends, including investments in different renewable energy technologies and fossil fuels, alongside average project costs by technology

– Identify the disruptive themes that could impact the power mix landscape over the next decade

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Table of Contents

Executive Summary

Transition of the power mix

– Macro indicators

– The rise of data centers and AI

– Global power mix

– Generation share by region

Energy mix per region

– APAC

– Europe

– Middle East and Africa

– North America

– South and Central America

Trends by power technology

– Solar

– Wind

– Hydro

– Biopower

– Geothermal

– Nuclear

– Thermal

Disruptive themes within energy transition

– Energy storage

– Hydrogen

Table

Countries with hydropower generation share % of total generation greater than 85%

Top 10 countries by upcoming solar PV capacity as of May 2025

Top 10 countries by upcoming wind capacity as of May 2025

European countries phasing out coal.

Figures

World population 2010-2050

Regional breakdown of power demand 2022-2035

Primary energy consumption per capita by region 2010-2023

Global – Data center construction projects by region and total value, as of March 2025

Global power generation mix 2022-2035

Power genreation mix by sub-technology 2022-2035

Global power mix by region 2022-2035

Asia-Pacific generation mix 2022-2035

Asia-Pacific power generation mix by technology 2022-2035

Europe generation mix 2022-2035

Europe power generation mix by technology 2022-2035

Middle East and Africa generation mix 2022-2035

Middle East and Africa power generation mix by technology 2022-2035

North America generation mix 2022-2035

North America power generation mix by technology 2022-2035

South and Central America generation mix 2022-2035

South and Central America power generation mix by technology 2022-2035

Thermal generation 2022-2035

Nuclear generation 2022-2035

Hydropower generation 2022-2035

Solar PV generation 2022-2035

Offshore and onshore wind generation 2022-2035

Biopower generation 2022-2035

Global average project cost 2022-2030

Thermal investment 2022-2030

Nuclear investment 2022-2030

Hydropower investment 2022-2030

Soar PV investment 2022-2030

Offshore and onshore wind 2022-2030

Biopower investment 2022-2030

Biopower generation by region 2022-2035

Leading countries by biopower capacity in 2035

Geothermal generation by region 2022-2035

Leading countries by geothermal capacity in 2035

Hydropower generation by region 2022-2035

Leading countries by net annual hydropower capacity additions 2022-2035

Top 10 countries by net annual nuclear capacity additions between 2022-2035

Nuclear generation by region 2022-2035

2035 regional distribution of solar PV capacity

Solar PV generation by region 2022-2035

Wind generation by sub-technology in 2024

Wind generation by sub-technology in 2035

Wind generation by region 2022-2035

Breakdwon of thermal power generation by region and power source 2022-2035

Upcoming vs decommissioning thermal capacity 2022-2035

Energy storage capacity by technology 2022-2030

Breakdown of rated power of upcoming energy storage projects by sub-technology as of May 2025

Regional share of upcoming energy storage projects as of May 2025

Capacity Scenarios to 2030

Regional breakdown of upcoming capacity.

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