IEA: Global energy demand to drop the most on record this year amid coronavirus

The International Energy Agency (IEA) said on Thursday that it expects global energy demand to tumble this year amid the coronavirus pandemic, the biggest shock since World War II.

With nearly 4.2 billion people across the world subject to some form of lockdown in a bid to slow down the spread of the coronavirus, the IEA is forecasting a 6 percent plunge in energy demand for the year.

In absolute terms, IEA said this is the largest on record. Percentage-wise, it’s the steepest plunge in 70 years, it added.

The demand hit from the pandemic is forecast to be seven times greater than the plunge in the aftermath of the 2008 financial crisis.

“In absolute terms, the decline is unprecedented – the equivalent of losing the entire energy demand of India, the world’s third largest energy consumer,” IEA’s Global Energy Report read.