The International Energy Agency (IEA) said that global demand for coal is likely to remain virtually unchanged in 2024 and 2025, as increased demand for electricity in some major economies offsets the rapid expansion of solar and wind energy.
According to official data, global coal consumption increased by 2.6% last year, and reached a record high, which was caused by increased demand from China and India, which are the largest consumers of coal.
"Our analysis shows that global demand for coal is likely to remain unchanged until 2025, based on current political attitudes and market trends. The continued rapid adoption of solar and wind energy, combined with the restoration of hydropower in China, is reducing the use of coal. But the electricity sector is the main driver of global coal demand, and electricity consumption is growing very strongly in several large economies," the IEA said, adding that without such strong growth in consumption, there would be a decline in global coal use this year.
The IEA predicts that electricity demand will grow by 6.5% this year, making it unlikely that coal consumption will decrease.