Cairo: The Cabinet Information and Decision Support Center (IDSC) has announced that the global energy sector is experiencing a rapid structural transformation, despite ongoing geopolitical and trade challenges that are affecting energy markets and supply chains. Reviewing a report by the International Energy Agency (IEA), the center emphasized that energy has become a crucial pillar of economic stability and national security, with long-term shifts toward low-emission energy sources continuing to gain momentum.According to State Information Service Egypt, the report noted that global energy demand grew by 1.3 percent in 2025, slightly below the average recorded over the previous decade, bolstered by improved economic conditions and higher energy efficiency. Renewable energy and nuclear power accounted for around 60 percent of the increase in global demand, with solar photovoltaic (PV) power alone contributing more than one-quarter of the growth.The report highlighted that electricity is a major driver of the energy transition, with global electricity demand rising by approximately 3 percent in 2025, more than double the growth rate of overall energy demand. Solar power witnessed the largest annual increase, with about 600 gigawatts of new capacity added, while renewable energy additions reached a record 800 gigawatts. Battery energy storage also saw significant expansion, growing by more than 40 percent with over 100 gigawatts of new storage capacity added.Regarding investment, the report projected that total global energy investment would reach approximately $3.4 trillion in 2026, marking a 5 percent increase from 2025. Around $2.2 trillion is expected to be directed toward renewable energy, nuclear power, electricity grids, energy storage, low-emission fuels, and energy efficiency, compared to about $1.2 trillion allocated to oil, natural gas, and coal.Investment in electricity supply and infrastructure is forecast to reach $1.6 trillion in 2026, rising to approximately $2 trillion when spending on end- use electrification is included.The report also highlighted the rapid expansion of the clean energy technology market, which posted an average annual growth rate of nearly 20 percent between 2015 and 2024, driven primarily by the electric vehicle market. The sector is expected to grow by about 25 percent in 2025, reaching an estimated value of $1.2 trillion, surpassing the coal market and approaching the size of the natural gas market.Despite this progress, energy-related carbon dioxide emissions continued to rise modestly in 2025 by 0.4 percent. However, the increased deployment of renewable energy, nuclear power, electric vehicles, and heat pumps helped avoid nearly 3 gigatons of CO2 emissions, equivalent to approximately 8 percent of total global energy-related emissions.The report concluded that current policies remain insufficient to achieve international climate goals. It warned that existing national commitments would result in only a limited decline in emissions by 2035, stressing that accelerat ing the global energy transition requires broader international cooperation and stronger coordination among governments, the private sector, and value chains to translate the current momentum in investment and technological innovation into more impactful and sustainable outcomes.