Coal use globally is showing signs of slowing, but economic growth in India and Southeast Asia could drive demand for the fuel in areas where climate pollution is rising.
The International Energy Agency’s latest coal market analysis reveals a world in which the high-carbon fuel continues to expand in some of the fastest-growing economies. India is expected to see the most substantial growth, and Indonesia is commissioning new coal-fired power plants. Uncertainties persist in China, a major consumer of coal despite soaring renewable energy additions.
Just a few years ago, Indonesia, Vietnam and India were at the center of conversations about transitioning from coal to clean energy.
But rising energy demand and the challenges of retiring coal plants early have led some countries to reconsider the pace of their transitions. Coal demand in India and Southeast Asia is expected to rise 3 percent and 4 percent, respectively, each year until 2030, according to the IEA.
