Electric energy consumption

While power is measured in watts (W) or kilowatts (kW), energy consumption is typically measured in watt-hours (Wh) or kilowatt-hours (kWh), following the fundamental relation:

E = P × t

where E is energy, P is power, and t is time.

Overview

Electric energy is most often measured either in joules (J), or in watt hours (W·h).

1 W·s = 1 J

1 W·h = 3,600 W·s = 3,600 J

1 kWh = 3,600 kWs = 1,000 Wh = 3.6 million W·s = 3.6 million J

Electric and electronic devices consume electric energy to generate desired output (light, heat, motion, etc.). During operation, some part of the energy is lost depending on the electrical efficiency.

Electricity has been generated in power stations since 1882. The invention of the steam turbine in 1884 to drive the electric generator led to an increase in worldwide electricity consumption.

In 2022, the total worldwide electricity production was nearly 29,000 TWh. Total primary energy is converted into numerous forms, including, but not limited to, electricity, heat and motion. Some primary energy is lost during the conversion to electricity, as seen in the United States, where a little more than 60% was lost in 2022.

In 2022, electricity accounted for more than 20% of global final energy consumption, while oil made up less than 40%, coal less than 9%, natural gas less than 15%, biofuels and waste less than 10%, and other sources (such as heat, solar, wind, and geothermal energy) more than 5%.

That year, total final electricity consumption was distributed unevenly across sectors: industry (42.2%), residential (26.8%), commercial and public services (21.1%), transport (1.8%), and other sectors such as agriculture and fishing (8.1%). In 1981, final electricity consumption continued to decline in the industrial sector, while it increased in the residential, commercial, and public services sectors.

A sensitivity analysis on an adaptive neuro-fuzzy network model for electric demand estimation shows that employment is the most critical factor influencing electrical consumption. The study used six parameters as input data, employment, GDP, dwelling, population, heating degree day and cooling degree day, with electricity demand as output variable.

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World electricity consumption

The table lists 45 electricity-consuming countries, which used about 22,000 TWh. These countries comprise about 90% of the final consumption of 190+ countries. The final consumption to generate this electricity is provided for every country. The data is from 2022.

In 2022, OECD's final electricity consumption was over 10,000 TWh. In that year, the industrial sector consumed about 42.2% of the electricity, with the residential sector consuming nearly 26.8%, the commercial and public services sectors consuming about 21.1%, the transport sector consuming nearly 1.8%, and the other sectors (such as agriculture and fishing) consuming nearly 8.1%. In recent decades, the consumption in the residential and commercial and public services sectors has grown, while the industry consumption has declined. More recently, the transport sector has witnessed an increase in consumption with the growth in the electric vehicle market.

Consumption per capita

The final consumption divided by the number of inhabitants provides a country's consumption per capita. In Western Europe, this is between 4 and 8 MWh/year. (1 MWh = 1,000 kWh) In Scandinavia, the United States, Canada, Taiwan, South Korea, Australia, Japan and the United Kingdom, the per capita consumption is higher; however, in developing countries, it is much lower. The world's average was about 3 MWh/year in 2022. Very low consumption levels, such as those in Philippines, not included in the table, indicate that many inhabitants are not connected to the electricity grid, and that is the reason why some of the world's most populous countries, including Nigeria and Bangladesh, do not appear in the table.

Electricity generation and GDP

The table lists 30 countries, which represent about 76% of the world population, 84% of the world GDP, and 85% of the world electricity generation. Productivity per electricity generation (concept similar to energy intensity) can be measured by dividing GDP over the electricity generated. The data is from 2019.

Electricity consumption by sector

The table below lists the 15 countries with the highest final electricity consumption, which comprised more than 70% of the global consumption in 2022.

Electricity outlook

Looking forward, increasing energy efficiency will result in less electricity needed for a given demand in power, but demand will increase strongly on the account of:

Economic growth in developing countries, and
Electrification of transport and heating. Combustion engines are replaced by electric drive and for heating less gas and oil, but more electricity is used, if possible with heat pumps.

The International Energy Agency expects revisions of subsidies for fossil fuels which amounted to $550 billion in 2013, more than four times renewable energy subsidies. In this scenario, almost half of the increase in 2040 of electricity consumption is covered by more than 80% growth of renewable energy. Many new nuclear plants will be constructed, mainly to replace old ones. The nuclear part of electricity generation will increase from 11 to 12%. The renewable part goes up much more, from 21 to 33%. The IEA warns that in order to restrict global warming to 2 °C, carbon dioxide emissions must not exceed 1000 gigaton (Gt) from 2014. This limit is reached in 2040 and emissions will not drop to zero ever.

The World Energy Council sees world electricity consumption increasing to more than 40,000 TWh/a in 2040. The fossil part of generation depends on energy policy. It can stay around 70% in the so-called "Jazz" scenario where countries rather independently "improvise" but it can also decrease to around 40% in the "Symphony" scenario if countries work "orchestrated" for more climate friendly policy. Carbon dioxide emissions, 32 Gt/a in 2012, will increase to 46 Gt/a in Jazz but decrease to 26 Gt/a in Symphony. Accordingly, until 2040 the renewable part of generation will stay at about 20% in Jazz but increase to about 45% in Symphony.

An EU survey conducted on climate and energy consumption in 2022 found that 63% of people in the European Union want energy costs to be dependent on use, with the greatest consumers paying more. This is compared to 83% in China, 63% in the UK and 57% in the US. 24% of Americans surveyed believing that people and businesses should do more to cut their own usage (compared to 20% in the UK, 19% in the EU, and 17% in China).

Nearly half of those polled in the European Union (47%) and the United Kingdom (45%) want their government to focus on the development of renewable energies. This is compared to 37% in both the United States and China when asked to list their priorities on energy.

The United States is on track to break electricity consumption records in 2025 and 2026, according to the U.S. Energy Information Administration’s (EIA) Short-Term Energy Outlook, released in February 2025. With demand from data centers powering artificial intelligence and cryptocurrency operations, alongside rising electricity use in homes and businesses for heating and transportation, the EIA projects total power consumption will hit 4,179 billion kilowatt-hours (kWh) in 2025 and 4,239 billion kWh in 2026—both surpassing the current record of 4,082 billion kWh set in 2024. The forecasted increase can be broken down as follows: residential electricity sales will climb to 1,524 billion kWh in 2025, commercial demand to 1,458 billion kWh, and industrial usage to 1,054 billion kWh. This would mark new highs for the commercial sector, which set its current record of 1,421 billion kWh in 2024, and for residential consumers, whose last peak was 1,509 billion kWh in 2022. Meanwhile, the industrial sector—historically the largest consumer of electricity—remains just below its all-time high of 1,064 billion kWh set in 2000. As AI, cryptocurrency mining, and electrification continue to drive demand, the U.S. power grid faces mounting pressure to keep pace with this record surge in electricity consumption.