Never before has so much coal been consumed and produced in the world.
At a time when the fight against climate change forces us to reconsider the energy supply towards less polluting sources, the facts say that one of the resources responsible for the most emissions not only refuses to die, but is booming and in top form .
This is stated in the report published yesterday by the International Energy Agency (IEA). High gas prices after Russia’s invasion of Ukraine and consequent supply disruptions (particularly from Russia) have led some countries to turn to relatively cheaper coal this year, albeit the biggest source of carbon dioxide emissions. of the world energy system.
world coal consumption
Data in million tons
SOURCE: International Energy Agency
world coal consumption
Data in million tons
SOURCE: International Energy Agency
world coal consumption
Data in million tons
SOURCE: International Energy Agency
Global consumption will rise 1.2% this year, surpassing 8 billion tons per year for the first time, above the previous record set in 2013, and will remain around this level until 2025. In particular, the The largest increase in demand for coal is expected to take place in India, with 7%, followed by the European Union, with 6%, and China, with 0.4%. In terms of production, the three largest coal producers — China, India and Indonesia — will also break records this year.
“The world is about to reach a peak in the use of fossil fuels, and coal will be the first to decline, but we are not there yet,” admitted Keisuke Sadamori, director of Energy Markets and Security at the IEA. Sadamori stressed that, at the same time, “there are many signs that the current crisis is accelerating the deployment of renewable energy, energy efficiency and heat pumps, which will moderate demand for coal in the coming years.”
China and India continue to burn coal because renewables alone do not cover needs
The IEA confirms that renewables will cover 90% of the additional demand for electricity in the next three years. But in the meantime, the world will continue to burn coal. In many countries, the mines are state-owned, so conversion attempts, via incentives or taxes, are not always very effective. Another aspect to consider is that the useful life of the plants can reach 40 years, with which their premature dismantling, after the investment, usually has a cost.
In Europe there is a plan for a phased closure of the mines and the current upturn should be temporary. Without being able to count on coal from Russia because of the sanctions, it has been forced to increase purchases from Colombia and South Africa, given the evidence -says the IEA- that “solar and wind energy have been insufficient to compensate the lower production of nuclear and hydroelectric energy”.
For example, coal is being the biggest energy source these days in Germany. More than a third (36.3%) of the electricity produced and fed into the grid in the third quarter of 2022 comes from coal-fired power plants. With an additional 10 gigawatts, Germany has reversed the trend that had been observed for years to abandon this fuel.
China and India are not only the largest consumers, but also the largest producers and importers worldwide. Beijing absorbs more than half of the world’s coal (53% of the total). The drought and heat waves this summer have accelerated the burning of this fossil fuel to meet the electrical demand for air conditioning. Curiously, the Asian giant is at the same time the world leader in renewables. In the 2022-2025 period, it is expected to add some 1,000 TWh of emission-free generation, the equivalent of all the current electricity production of a country like Japan. As for India, it has doubled its coal consumption since 2007 with annual growth of 6% “and is set to continue to be the engine of global demand.”
Jorge Morales de Labra, director of Próxima Energía and an expert in the electricity market, explains the current situation. “Today if a country had to start from scratch, it would invest in renewables and coal. This fossil energy source has now become more competitive than gas for generating electricity and serves as a bridging technology, ”he summarizes by way of context.
India and the European Union lead the largest increases in demand
“China and India are burning coal for their development, which increases emissions, but just as we Europeans did decades ago. Although it may seem contradictory, China is also a leader in renewables: it is so voracious in energy that it needs all the resources to sustain its economic growth”.
