IEA sees global electricity demand accelerating - 23 Jul 2026

As of July 23, today’s news features significant shifts in global energy markets and geopolitical tensions affecting oil prices, as well as developments within major companies involved in the energy and technology sectors. In a noteworthy development, STMicroelectronics experienced a dramatic decline in its share price, plummeting by up to 16% following a disappointing third-quarter sales forecast that fell short of lofty investor expectations. The dip signifies concerns about the company's performance outside of AI and data center sectors, overshadowing earlier gains. Comparatively, other semiconductor firms such as Infineon and Melexis also saw their shares drop, emphasizing a broader trend impacting the industry. Turning to market updates, the International Energy Agency (IEA) projects that global electricity demand will accelerate significantly in 2026 and 2027, driven primarily by industrial expansion and the rise of electric vehicles. According to the IEA's Electricity Mid-Year Update, a notable growth rate of 3.6% in 2026 and 3.8% in 2027 is anticipated, with China and India leading this demand surge. In the broader context of geopolitical issues, TotalEnergies reported strong second-quarter earnings, marking its highest profit in nearly three years, thanks to rising oil prices amidst ongoing supply disruptions from the Iran conflict. This aligns with global oil prices, which surged over 100 dollars per barrel following aggressive Houthi attacks on Saudi oil tankers, further complicating shipping routes in the region. Additionally, there were significant changes regarding resource management in large-scale infrastructure projects. OpenAI's proposal for a massive data center in Australia faced setbacks as plans to use recycled water for cooling were dropped, pivoting instead to methods that increase resource consumption, drawing criticism regarding sustainability practices. Moreover, PG&E Corp announced a better-than-expected quarterly profit driven by higher customer rates and demand from AI data centers, reinforcing expectations for increased U.S. power demand linked to AI and electrification initiatives. On the geopolitical stage, President Donald Trump has tied a new civil nuclear agreement between the U.S. and Saudi Arabia to the Kingdom's cooperation in the Abraham Accords, emphasizing its implications for regional stability and nuclear proliferation concerns.