IEA reports record $3.3 trillion global energy investment for 2025

PARIS, France, 5 June 2025: The International Energy Agency (IEA) announced in a Press Release the release of the new edition of its annual publication, World Energy Investment, which presents key insights on investment trends across the global energy sector.

The IEA stated that global energy investment is projected to increase in 2025 to a record $3.3 trillion, despite ongoing geopolitical tensions and economic uncertainty. According to the report, investment in clean energy technologies—including renewables, nuclear, grids, storage, low-emissions fuels, efficiency and electrification—is on course to reach $2.2 trillion this year. In contrast, investment in oil, natural gas and coal is expected to amount to $1.1 trillion, as per the report.

The IEA noted that this rise in clean energy investment reflects industrial policy momentum, concerns over energy security and the cost competitiveness of electricity-based solutions.

“The fast-evolving economic and trade picture means that some investors are adopting a wait-and-see approach to new energy project approvals, but in most areas we have yet to see significant implications for existing projects,” said Fatih Birol, Executive Director, IEA.

According to the IEA, the 10th edition of the World Energy Investment report also provides a retrospective of major changes over the past decade. The IEA said one of the key findings highlights that China has emerged as the world’s largest overall energy investor, spending twice as much as the European Union and nearly as much as the EU and United States combined.

Further findings reported by the IEA include:

• China’s share of global clean energy investment has grown from a quarter to almost one third over the past decade, driven by strategic focus on technologies such as solar, wind, nuclear, batteries and electric vehicles
• Global electricity investment is now set to be 50% higher than fossil fuel investments, signalling what the IEA calls a “new Age of Electricity”
• Low-emissions power generation spending has nearly doubled over the past five years, with solar PV leading the surge. Battery storage investment is forecast to exceed $65 billion this year
• Nuclear investment has increased by 50% over the last five years and is expected to reach $75 billion in 2025
• Rapid electricity demand growth is maintaining coal investment in China and India, where 100 gigawatts of new coal-fired capacity has been initiated, marking the highest level of global coal approvals since 2015
• Grid investment, currently at $400 billion annually, is falling behind relative to overall electrification efforts, raising concerns for energy security
• Upstream oil investment is set to decline by 6%—the first annual fall since 2020—primarily due to reduced activity in the US shale sector
• By contrast, investment in new LNG facilities is increasing, with large-scale projects underway in the United States, Qatar, Canada and other regions
• Investment disparities persist globally, with Africa accounting for just 2% of global clean energy investment despite representing 20% of the world’s population

The IEA added that this year’s report includes an interactive data explorer, enabling users to compare investment data across technologies and countries between 2016 and 2020 and between 2021 and 2025.

According to the Agency, the full report is available on the IEA website, and the livestream launch event featuring Dr Birol; Tim Gould, Chief Energy Economist, IEA; and Cecilia Tam, Energy Investment Unit Head, IEA, is scheduled for 11 a.m. Paris time.