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Peak Coal Predicted This Year Despite Promises to Quit

 

 

October 18, 2024 - Coal has powered the world's factories, heated homes and fueled economies for more than a century - and usage driven by the power sector continues to rise despite global promises to kick the habit and save the climate.


As the most carbon-intensive fossil fuel and a big emitter of planet-warming carbon dioxide, several countries have pledged to quit coal - including Britain, which closed its last plant in September after 140 years of coal power.


The world has seven years left to rapidly scale down coal power from 36% of electricity generation in 2022, to less than 4% by 2030, in order to limit warming to the 1.5C set by the Paris Agreement, according to research organization World Resources Institute.


Here's what you need to know about burning coal, how it affects climate change and which countries are phasing out coal-fired plants.


Why is Burning Coal So Bad For the Planet?


Coal produces large quantities of polluting emissions when burned, including sulphur dioxide and nitrogen oxides, which contribute to respiratory illnesses.


It also releases carbon dioxide or CO2, which traps heat in the atmosphere, leading to climate change with impacts ranging from drought to wildfires, floods to tropical storms.


The power sector must be completely decarbonized in advanced economies by 2035, and worldwide by 2040, if temperature rises are to stick to the terms laid out in the Paris Agreement, according to the International Energy Agency (IEA).


Yet every year, about 15.5 billion metric tons of carbon dioxide are generated by 2,000 gigawatts of coal power.

 

Which Countries Use the Most Coal Energy and Why?


While coal use has been gradually falling in recent years, the energy crisis sparked by Russia's invasion of Ukraine saw global coal demand spike to a record high in 2022, rising by 4% year-on-year to 8.42 billion tonnes (Bt).


Most of the top 10 "super polluter" power plants, which are responsible for a disproportionate climate impact when compared to the energy they produce, are based in Asia.


A successful coal phase-out hinges on China and India, which together make up two-thirds of global coal power generation.


China is expected to reach peak coal in 2025, and has pledged to wind down coal over 2026-2030, while India has no plans to retire coal plants before 2030.


Shutting an industry that employs hundreds of thousands of workers, in both mines and plants, will be costly and complex.


Solutions for financing such a big transition include the Asian Development Bank's Energy Transition Mechanism and the European Union's Just Transition Fund.


But more money is needed to support developing countries as they transition, say climate finance analysts.



A media reporter uses his camera at an underground coalface where Huawei 5G base stations are deployed to support communication and remote control, at Xiaobaodang Coal Mine in Shenmu of Yulin city, Shaanxi province, China, April 26, 2023.

Photo: REUTERS/Tingshu Wang


Which Countries Have Managed to Quit Coal Power?


From Austria to Belgium, many European countries have phased out coal power completely.


Greece and Britain were the fastest at phasing out coal power, followed by Denmark, Spain, Portugal, Romania and Germany, according to the World Resources Institute.


In Britain, which has relied on coal for over a century, the last coal-fired plant closed on Sept. 30 in the Midlands, a key cog in the Industrial Revolution.


Outside of Europe, the fastest reductions were recorded in the United States, Israel and Chile, which is retiring coal plants early, replacing them with wind and solar.


According to the IEA, ramping up renewables, improving energy efficiency, cutting methane emissions and increasing electrification with new technologies could deliver more than 80% of the drop in emissions needed by 2030.


Overall, countries with the quickest coal exit plans are high income, have small populations, lower electricity demands, and relied on coal imports and ageing power plants.


But even countries with large coal mining sectors, such as  Greece and the United States, were able to reduce coal power.


What is a Just Transition?


A just transition would ensure that workers and affected communities do not pay an excessive price as their nations switch to a future that is free of fossil fuels.


The International Labour Organization defines it as "greening the economy" in a fair and inclusive way, and a switch that spawns decent job opportunities.


One example is via financial support.


For instance, Poland is due to get 3.85 billion euros ($4.31 billion) in EU money - the largest slice of the bloc's 17-billion-euro ($19.05 billion) Just Transition Fund.


It aims to support Europeans most affected by the energy transition with retraining in renewable energy, unemployment compensation, and financial lifelines to coal-rich regions.