Despite significant progress in renewable energy deployment worldwide, millions of people continue to live without reliable access to electricity, highlighting a growing challenge for global energy security, affordability, and sustainable development.
According to the latest Tracking SDG 7: The Energy Progress Report, around 655 million people globally still lack access to electricity, while nearly 2 billion people continue to rely on polluting fuels and technologies for cooking, exposing them to serious health risks. The situation is particularly severe in Sub-Saharan Africa, where more than 560 million people live without electricity and 970 million lack access to clean cooking solutions.
The report warns that global electrification progress has slowed dramatically. In 2024, the worldwide electricity access rate remained stagnant at 92 percent, while annual growth in electricity access fell to roughly half the pace recorded during the previous decade. To achieve universal electricity access by 2030, the rate of progress must triple to 1.3 percent annually.
Funding Shortfalls Threaten Energy Access Expansion
A major obstacle to closing the electricity gap is the lack of adequate financing. While international public financial flows supporting clean energy in developing countries rose slightly from $24.4 billion in 2023 to $24.6 billion in 2024, the increase remains far below what is needed to achieve Sustainable Development Goal 7.
More concerning is the decline in funding directed toward the world’s poorest nations. International clean energy financing for least developed countries dropped by 11 percent, falling to $3.7 billion in 2024. The report highlights that financing constraints are slowing efforts to expand electricity access, particularly in rural and underserved regions.
Debt-based financing continues to dominate clean energy funding, accounting for approximately 80 percent of total international public financial flows in 2024. Grants represented only 13 percent, while equity financing and risk guarantees contributed just 2 percent and 5 percent, respectively.
Electricity Affordability Remains a Key Barrier
Beyond infrastructure challenges, affordability is preventing millions of households from accessing electricity. Many families cannot afford connection charges, internal wiring costs, or basic energy services even when electricity networks are available nearby.
Experts emphasize that targeted subsidies, innovative financing mechanisms, and least-cost electrification strategies will be essential to connect the remaining unelectrified populations. Distributed renewable energy solutions such as off-grid solar systems and mini-grids are increasingly viewed as cost-effective options for expanding electricity access in remote communities.
Rural Africa Faces Growing Energy Divide
The report reveals a widening rural electricity gap in Sub-Saharan Africa. The number of people without electricity in rural areas increased from 376 million in 2010 to 447 million in 2024, demonstrating how population growth continues to outpace electrification efforts.
Clean cooking remains an even larger challenge. Approximately 2 billion people, representing about one-quarter of the global population, still lack access to clean cooking fuels and technologies. While 89 percent of urban residents have access to clean cooking, only 56 percent of rural populations benefit from such solutions.
Without stronger intervention, an estimated 1.8 billion people could still depend on charcoal, wood, kerosene, and coal for cooking by 2030. Household air pollution linked to these fuels is responsible for approximately 3 million deaths annually.
Renewable Energy Growth Offers Hope
Renewable energy continues to expand globally, supplying more than 30 percent of global electricity consumption. Renewable energy-generating capacity reached a record 544 watts per person worldwide.
However, major disparities remain. Low-income countries possess only 33.6 watts of renewable energy capacity per person, compared with 1,224 watts per person in high-income countries, highlighting the unequal distribution of clean energy investments.
Stronger Political Action Needed
Energy experts stress that strengthening domestic renewable energy deployment is essential for improving energy security, reducing dependence on fossil fuel imports, and increasing economic resilience. Clear policy frameworks, stronger political leadership, and greater international financial support will be critical to ensuring vulnerable communities are not left behind.
With only a few years remaining until the 2030 deadline for achieving SDG 7, the report concludes that significantly higher investment levels and accelerated electrification programs are urgently needed to provide affordable, reliable, and sustainable energy access for all.
BABURAJAN KIZHAKEDATH
