US increases coal use - the only major economy with significant consumption growth in 2025
The world built and commissioned more coal-fired power plants but reduced its use of the highly polluting fossil fuel, with the United States the only major economy to significantly increase consumption, according to an analysis. Coal is among the fuels with the highest emissions of greenhouse gases that cause global warming, and phasing it out is seen as key in the fight to slow climate change.
Thanks to falling costs and increasing availability, solar and wind power can now meet the growing demand for electricity in much of the world. This development contributed to a 0.6% reduction in global coal power generation in 2025 compared to the previous year, according to a report from the Global Energy Monitor, which has been tracking the evolution of coal use for more than a decade.
However, despite the decline in consumption, coal-fired electricity generation capacity, or the commissioning of units that operate with this fuel, increased by 3.5% last year. This increase is attributed, 95%, to China and India.
China increased capacity by 6% in 2025, but coal consumption fell by 1.2%, partly due to large capacity increases thanks to renewable energy sources. The development was similar in India, where capacity increased by almost 4%, but consumption by 3%.
China ranks first globally in terms of CO2 emissions, while India ranks third, after the US. Beijing sees coal as a last resort, but a reliable solution compared to the more erratic supply from renewable sources, especially after the shortages observed a few years ago.
India, the world's most populous country, relies heavily on coal to meet its rapidly growing demand, but its insistence on it is also due to a lack of infrastructure. Installed non-fossil fuel generation capacity has now reached 50%, but, largely due to infrastructure problems, the country still generates almost three-quarters of the electricity it consumes by burning coal.
Globally, coal-fired power plant closures slowed last year, with nearly 70% of power plants scheduled to close ultimately continuing operations.
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