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IEA’s ‘Age of Electricity’ Report Puts Grid Bottleneck at Center of Power Boom

The IEA identifies the grid as the binding constraint, pointing to near-term fixes that could unlock stalled projects.

Overview

  • Global electricity demand is forecast to grow about 3.6% annually through 2030, outpacing GDP and overall energy demand, according to the IEA’s Electricity 2026 report.
  • More than 2,500 GW of renewables, storage and large-load projects are stuck in interconnection queues worldwide, underscoring mounting congestion and curtailment.
  • The IEA estimates up to roughly 1,600 GW of queued projects could be connected in the near term with grid‑enhancing technologies and flexible connection reforms.
  • Meeting projected demand requires raising annual grid investment by about 50% by 2030, as renewables and nuclear move toward supplying roughly half of global generation.
  • Storage markets are maturing and concentrating: Enel now leads operational ownership in Europe, while the U.S. set new residential installation records in 2025 and sodium‑ion production lines began ramping in January 2026.