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Coal still supplied 34% of global electricity generation in 2025, according to the International Energy Agency (IEA). It stays in the power mix for a practical reason: power systems are built around existing plants, and coal is often the fuel that can be dispatched when demand is high, gas is expensive, or weather cuts back hydropower and wind. Policy and energy-security concerns keep some plants running in some countries. Its share is falling, but the change is gradual and uneven, and in some countries coal generation rose in 2025.
How large coal’s role still is
The headline figures come from the IEA’s Global Energy Review 2026, electricity supply chapter and its Coal 2025 report. They describe the global picture, and the averages hide wide differences between countries.
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| Measure | Value | Period and source |
|---|---|---|
| Coal’s share of global electricity generation | 34% | 2025 actual, IEA Global Energy Review 2026 |
| Renewables’ share of global electricity generation | 34% | 2025 actual, IEA Global Energy Review 2026 |
| Low-emissions share (renewables and nuclear) | 43% | 2025 actual, IEA Global Energy Review 2026 |
| Change in global coal-fired generation | Down about 0.5% | 2025 actual; the first decline outside crisis-related disruption since 2015, per the IEA |
| Change in global coal demand | Up 0.4% | 2025 actual, IEA Global Energy Review 2026, coal chapter |
| Share of global coal consumption used for power generation | About two-thirds | IEA Coal 2025 |
Two measures are easy to confuse. Coal-fired generation (electricity produced from coal) fell slightly in 2025, while total coal demand rose slightly. The difference comes from coal used outside power plants, such as steel, cement, and chemicals, so the power-sector figures should not be read as the total for coal.
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Why coal stays in the power mix
No single cause explains coal’s persistence. The IEA ties it to several factors that vary by country and year.
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- Realistic Industrial Coal Texture:Features irregular matte-black coal pieces designed for realistic model train scenery in O scale, G scale, and select HO railroad scenes, especially for HO coal yards, mining areas, weathered hopper loads, locomotive service zones, freight terminals, and industrial background scenery where larger coal texture creates a rugged heavy-load appearance
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- Multi-Purpose Railroad Diorama Scenery:Suitable for model train scenery, O scale layouts, G scale railroads, select HO industrial applications, tabletop terrain, mining dioramas, miniature freight environments, industrial modeling projects, and weathered railroad scenery builds
Existing plants and the cost of replacing them
Coal is a cornerstone of generation in many countries. The IEA’s wording is that it is “a cornerstone of electricity generation in many countries.” Plants already built, connected to the grid, and paid for are usually cheaper to keep running than to replace on short notice. Replacing them requires new generation, transmission, and grid balancing, and those take years to build. This is why coal shares fall over decades rather than in a single year.
Rising electricity demand
When demand grows faster than clean supply, existing coal plants can produce more. The IEA treats demand growth as central to the market outlook. Coal can keep a role even when wind, solar, and nuclear expand, because those sources add output while total demand is rising. In 2025, renewables and nuclear together supplied more new electricity than the total increase in global generation, yet coal output did not fall as fast as its share.
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- Medium size simulated coal
- Approximately 24 ounces
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Gas prices and fuel competition
In some power markets, coal is the main alternative to natural gas. When gas prices rise, coal becomes more competitive for dispatch, meaning grid operators call on coal plants more often. The IEA identifies higher gas prices as one factor supporting coal demand in the 2026 market context. Coal’s competitiveness depends on local fuel costs, carbon prices, and plant efficiency, so the effect is not the same everywhere.
Domestic supply and energy security
Some governments and industries value coal that they can produce at home. The IEA’s Coal Mid-Year Update 2026, published 10 September 2026, reports that some countries and industries are reassessing energy strategies and turning to domestically produced coal to reduce exposure to gas-market volatility. The IEA describes this as happening in selected markets and circumstances, not in every country.
Weather and variable generation
Electricity supply depends on weather. A weak monsoon, low wind, or poor rainfall can reduce hydropower and wind output, and coal plants fill the gap. The IEA’s Global Energy Review 2026 coal chapter reports that weaker wind and hydropower output contributed to coal use in parts of Europe in 2025. In India, a strong early monsoon increased hydropower and reduced some demand, including cooling and agricultural pumping, which lowered coal use that year.
Policy and plant retirements
Government decisions can keep coal in the mix. Support for coal and slower retirement of existing plants raise generation. The IEA points to federal policy support for slowing plant retirements as a factor in the United States in 2025. In China, new coal plants commissioned in 2025 were described by the IEA as intended primarily to meet peak demand and support energy-security goals.
Regional differences
The global share is an average of very different systems. The table below summarises the IEA’s 2025 findings by region.
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Repair Windows errors before they cause bigger problemsFix Now →Fix the driver behind crashes, sound loss and screen glitchesFind Drivers →Clear out junk files and repair common Windows errorsFree Scan →| Region | 2025 development | What it shows |
|---|---|---|
| China | Coal-fired generation fell about 1.5%. Rapid solar and wind growth, higher hydropower, and nuclear growth met strong demand growth. Nearly 80 GW of coal plants were commissioned. | Coal capacity added is not the same as coal generation. New plants are intended mainly for peak demand and energy security, so they may run only part of the year. |
| India | Coal-fired generation fell about 3%. An early, intense monsoon lifted hydropower and reduced some electricity demand, while wind and solar kept growing. | Weather can move annual coal output. One unusual year does not show a permanent trend. |
| United States | Coal demand rose 10%. The electricity sector accounts for almost 90% of US coal use. The IEA cites strong electricity demand, higher gas prices, and federal policy support for slowing plant retirements. | Coal use can rebound when market and policy conditions change, even after a long decline. |
| European Union | Coal demand fell 5%, a slower decline than in 2023 and 2024. Weak wind and hydropower output supported coal-fired generation in parts of 2025. The IEA says EU coal use halved over the previous decade. | A weather-driven slowdown does not reverse a structural decline driven by plant closures, renewables growth, and high carbon prices. |
| Southeast Asia | Coal supplied 48% of electricity in 2025, close to its 2024 share and above 37% a decade earlier, as the IEA groups the region. | Regional pathways differ, so the EU or US trend should not be treated as universal. |
To compare regions fairly, look at six things: coal’s share of electricity generation; the direction of demand and generation; the competing sources that are actually available, including gas, renewables, hydropower, and nuclear; electricity-demand growth and peak-load needs; whether fuel is domestic or imported; and retirement, construction, and dispatch policy. Keep installed capacity and annual generation separate, because they answer different questions.
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Where coal is heading
The IEA’s Coal 2025 analysis and forecast to 2030, published 17 December 2025, projects coal’s share of electricity generation falling from 35% in 2024 to 27% in 2030. This is a forecast, not a measured outcome. The IEA’s September 2026 update describes changed market conditions, including higher gas prices and energy-security concerns, that can shift near-term demand. A declining share does not mean coal plants disappear quickly: many will still run for years, particularly where demand is growing or policy favours them.
The environmental cost
The IEA describes coal as the single largest source of carbon dioxide emissions globally. In its Coal 2025 report it states that coal is “a cornerstone of electricity generation in many countries as well as the single largest source of carbon dioxide emissions globally.” That is an institutional statement from the IEA, not a quotation from an individual.
The IEA sources used here do not compare cost per megawatt-hour or emissions per kilowatt-hour across fuels. Claims that coal is always the cheapest, most reliable, or most polluting per unit of electricity are not supported by this evidence. Claims about local air quality, health effects, or full lifecycle emissions need topic-specific sources.
What to watch
- Annual generation data for China, India, the United States, and the EU, which show whether 2025 shifts continue.
- Gas prices and carbon prices, which decide whether coal is dispatched more or less in gas-competitive markets.
- Hydropower and wind output in dry or calm years, which can reverse a coal decline for a season.
- Retirement and construction decisions, which set how long coal stays in each country’s mix.
The short answer is that coal remains because existing systems depend on it, demand and weather still call on it, and in some places it is the most available alternative to gas. Its share is falling, but unevenly, and the IEA’s 2030 figure is a projection to track rather than a settled result.
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