Coal on the retreat: Newly commissioned capacity falls to a 20-year low

Global installed coal-fired capacity increased again last year. Although the least new capacity in the past 20 years was commissioned, the total capacity of retired plants was even lower, bringing the net increase to 18.8 GW.  This is according to data published by Global Energy Monitor.

According to the published data, 44 GW of new coal-fired power capacity was commissioned worldwide last year, while 18.8 GW was retired. Global installed capacity of these plants therefore increased by just under one percent.

The decline in newly commissioned capacity reflects a drop in projects under development across most of the world. China and India are exceptions: in China, construction began last year on a record number of new coal-fired power plants, while in India a record number of new projects were announced.

"Last year, coal power set new records, but not the kind the sector would have wanted. It was a harbinger of what lies ahead for coal as clean energy continues to develop. However, more work is still needed to ensure the phase-out of coal power is in line with the Paris Agreement, particularly in the world’s wealthiest countries," said Christine Shearer of Global Energy Monitor.

According to Global Energy Monitor, only 8 countries announced plans to build new coal-fired power plants last year, compared with 12 in 2023. Across the 38 OECD countries, the number of announced new projects fell from 142 in 2015 to just 5.

"Announced new projects are also becoming less common in Southeast Asia, thanks to Indonesia and Malaysia’s commitments to phase out coal, a moratorium on coal-fired power plants in the Philippines, and the development of ‘just planning’ in Vietnam," Global Energy Monitor added.

As for developments in the European Union, Global Energy Monitor recorded a sharp increase in retired capacity, from 2.7 GW in 2023 to 11 GW in 2024. Germany led coal plant retirements, with 6.7 GW. Also worth noting is the closure of the United Kingdom’s last coal-fired power plant, bringing 142 years of coal use in the power sector to an end.