Global Coal Use Declined in 2025 as Renewables Met Rising Energy Demand
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Global coal use for power generation continued to decline in 2025, according to an annual report from Global Energy Monitor. While China and India added significant new coal capacity, more than 90% of China's increased energy demand was met by wind and solar power, and renewables now make up more than half of India's power capacity.
Facts First
- Global coal-fired power generation declined by 0.6% in 2025 according to a Global Energy Monitor report.
- China added 78.1 gigawatts of new coal power capacity in 2025, the most of any country.
- China's actual use of coal power fell by 1.2% as wind and solar met over 90% of its increased energy demand.
- Renewables made up more than half of India's overall power capacity for the first time in 2025.
- The total coal capacity available to power grids globally rose by 3.5% despite the drop in generation.
What Happened
Global Energy Monitor released an annual report stating that coal use across the world continued to drop in 2025. Overall power generation from coal declined by 0.6% last year, however, the amount of coal capacity on call for power grids rose by 3.5% in 2025. China added 78.1 gigawatts of coal power capacity in 2025, but its actual use of coal power fell by 1.2%. More than 90% of the increased energy demand in China was met by wind and solar power rather than coal. India added the second-highest coal power capacity in 2025, but renewables made up more than half of India's overall power capacity for the first time.
Why this Matters to You
This shift in the global energy mix may contribute to long-term stability in electricity prices as reliance on volatile fossil fuel markets decreases. The growth of renewable energy capacity could lead to cleaner air and reduced greenhouse gas emissions over time, which may benefit public health and the global climate. For consumers, this trend suggests that future increases in energy demand are increasingly likely to be met by cleaner sources.
What's Next
The continued addition of coal capacity, particularly in major economies, means these plants could be called upon if renewable generation falters, potentially slowing the pace of emissions reductions. However, the report's data indicates that the existing trend of renewables displacing coal generation is likely to continue. The divergence between new capacity and actual use highlights a global energy transition that is still in progress.