Coal phase-out

Source: Wikipedia, the free encyclopedia.

World map which shows which countries made zero-coal pledges, and the year by which they aim to achieve this
Paris Climate Agreement.[2]
In parallel with retirement of some coal plant capacity, other coal plants are still being added, though the annual amount of added capacity has been declining since the 2010s.[3]
Top 5 coal consuming countries to 2017, US EIA data

Coal phase-out is an

Paris Climate Agreement.[4][5] The International Energy Agency (IEA) estimates that coal is responsible for over 30% of the global average temperature increase above pre-industrial levels.[6] Some countries in the Powering Past Coal Alliance have already stopped.[7]

Coasean bargain in which developed countries help finance the coal phase-out of developing countries.[14]

Peak coal

World annual coal consumption 1980–2019

Global coal consumption reached an all-time high in 2023, and is expected to fall in 2024.[15] Consumption declines in the United States and Europe, as well as developed economies in Asia[16] were offset by production increases in China, India and Indonesia.[15]

Coal phase-out by country

Africa

South Africa

As of 2007, South Africa's power sector is the 8th highest global emitter of CO2.[17] In 2005/2006, 77% of South Africa's energy demand was directly met by coal.[18]

Since 2008, South Africa's government started funding solar water heating installations. As of January 2016, there have been 400 000 domestic installations in total, with free-of-charge installation of low-pressure solar water heaters for low-cost homes or low-income households which have access to the electricity grid, while other installations are subsidised.[19]

Americas

Canada

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In November 2016, the Government of Canada announced plans to phase out coal-fired electricity generation by 2030.[20] As of 2020, only four provinces burn coal to generate electricity: Alberta, Nova Scotia, New Brunswick, and Saskatchewan.[21] With Alberta scheduled to have coal phased out of electricity generation by 2024.[22] Canada aims to generate 90% of its electricity from non-emitting sources by 2030.[23] Already, it generates 82% from non-emitting sources.[24]

Beginning in 2005, Ontario planned coal phase-out legislation as a part of the province's electricity policy.[25] The province annually consumed 15 million tonnes of coal in large power plants to supplement nuclear power. Nanticoke Generating Station was a major source of air pollution,[26] and Ontario suffered "smog days" during the summer.[27] In 2007, Ontario's Liberal government committed to phasing out all coal generation in the province by 2014. Premier Dalton McGuinty said, "By 2030 there will be about 1,000 more new coal-fired generating stations built on this planet. There is only one place in the world that is phasing out coal-fired generation and we're doing that right here in Ontario."[28] The Ontario Power Authority projected that in 2014, with no coal generation, the largest sources of electrical power in the province will be nuclear (57 percent), hydroelectricity (25 percent), and natural gas (11 percent).[29] In April 2014, Ontario was the first jurisdiction in North America to eliminate coal in electricity generation.[30] The final coal plant in Ontario, Thunder Bay Generating Station, stopped burning coal in April 2014.[31]

United States

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In 2017,

fossil fuels provided 81 percent of the energy consumed in the United States, down from 86 percent in 2000.[33]

Year Electrical
generation
from coal (TWh)
Total
electrical
generation (TWh)
%
from
coal
Number of
coal
plants
2002 1,933 3,858 50.1% 633
2003 1,974 3,883 50.8% 629
2004 1,978 3,971 49.8% 625
2005 2,013 4,055 49.6% 619
2006 1,991 4,065 49.0% 616
2007 2,016 4,157 48.5% 606
2008 1,986 4,119 48.2% 598
2009 1,756 3,950 44.4% 593
2010 1,847 4,125 44.8% 580
2011 1,733 4,100 42.3% 589
2012 1,514 4,048 37.4% 557
2013 1,581 4,066 38.9% 518
2014 1,582 4,094 38.6% 491
2015 1,352 4,078 33.2% 427
2016 1,239 4,077 30.4% 381
2017 1,206 4,035 29.9% 359
2018 1,149 4,181 27.5% 336
2019 965 4,131 23.4% 308
2020 773 4,010 19.3% 284
2021 898 4,108 21.9% 269
References: [34]

In 2007, 154 new coal-fired plants were on the drawing board in 42 states.[35] By 2012, that had dropped to 15, mostly due to new rules limiting mercury emissions, and limiting carbon emissions to 1,000 pounds of CO2 per megawatt-hour of electricity produced.[36]

In July 2013, US Secretary of Energy Ernest Moniz outlined Obama administration policy on fossil fuels:

In the last four years, we’ve more than doubled renewable energy generation from wind and solar power. However, coal and other fossil fuels still provide 80 percent of our energy, 70 percent of our electricity, and will be a major part of our energy future for decades. That’s why any serious effort to protect our kids from the worst effects of climate change must also include developing, demonstrating and deploying the technologies to use our abundant fossil fuel resources as cleanly as possible.[37]

Then-US Energy Secretary Steven Chu and researchers for the US National Renewable Energy Laboratory have noted that greater electrical generation by non-dispatchable renewables, such as wind and solar, will also increase the need for flexible natural gas-powered generators, to supply electricity during those times when solar and wind power are unavailable.[38][39] Gas-powered generators have the ability to ramp up and down quickly to meet changing loads.[40]

In the US, many of the fossil fuel phase-out initiatives have taken place at the state or local levels.[citation needed]

In November 2021, US refused to sign up to coal phaseout agreement at the COP26 climate summit.[41][42]

California

California's SB 1368 created the first governmental moratorium on new coal plants in the United States. The law was signed in September 2006 by Republican Governor Arnold Schwarzenegger,[43] took effect for investor-owned utilities in January 2007, and took effect for publicly owned utilities in August 2007. SB 1368 applied to long-term investments (five years or more) by California utilities, whether in-state or out-of-state. It set the standard for greenhouse gas emissions at 1,100 pounds of carbon dioxide per megawatt-hour, equal to the emissions of a combined-cycle natural gas plant. This standard created a de facto moratorium on new coal, since it could not be met without carbon capture and sequestration.[44]

Maine

On 15 April 2008,

John E. Baldacci signed LD 2126, "An Act To Minimize Carbon Dioxide Emissions from New Coal-Powered Industrial and Electrical Generating Facilities in the State." The law, which was sponsored by Rep. W. Bruce MacDonald (D-Boothbay), requires the Board of Environmental Protection to develop greenhouse gas emission standards for coal gasification facilities. It also puts a moratorium in place on building any new coal gasification facilities until the standards are developed.[45]

Oregon

In early March 2016, Oregon lawmakers approved a plan to stop paying for out-of-state coal plants by 2030 and require a 50 percent renewable energy standard by 2040.[46] Environmental groups such as the American Wind Energy Association and leading Democrats praised the bill.

Texas

In 2006, a coalition of Texas groups organized a campaign in favor of a statewide moratorium on new coal-fired power plants. The campaign culminated in a "Stop the Coal Rush" mobilization, including rallying and lobbying, at the state capital in Austin on 11 and 12 February 2007.[47] Over 40 citizen groups supported the mobilization.[48]

In January 2007, a resolution calling for a 180-day moratorium on new pulverized coal plants was filed in the Texas Legislature by State Rep.

Charles "Doc" Anderson (R-Waco) as House Concurrent Resolution 43.[49] The resolution was left pending in committee.[50] On 4 December 2007, Rep. Anderson announced his support for two proposed integrated gasification combined cycle (IGCC) coal plants proposed by Luminant (formerly TXU).[51]

Washington state

Washington has followed the same approach as California, prohibiting coal plants whose emissions would exceed those of natural gas plants. Substitute Senate Bill 6001 (SSB 6001), signed on 3 May 2007, by Governor Christine Gregoire, enacted the standard.[52] As a result of SSB 6001, the Pacific Mountain Energy Center in Kalama was rejected by the state. However, a new plant proposal, the Wallula Energy Resource Center, shows the limits of the "natural gas equivalency" approach as a means of prohibiting new coal plants. The proposed plant would meet the standard set by SSB 6001 by capturing and sequestering a portion (65 percent, according to a plant spokesman) of its carbon.[52]

Hawaii

Hawaii officially banned the use of coal September 12, 2020 when Governor Ige enacted Act 23
(SB2629). The law prohibited the issuing or renewing permits for coal power plants after December 31, 2022, and prohibited the extension of the power purchase agreement between AES and Hawaiian Electric. The power purchase agreement for the last coal plant, located on Oahu, expired September 1, 2022, this became the effective retirement date for the coal plant. On September 1, 2022, Hawaii will be completely coal free with the coal plant's retirement. Hawaii will transition to renewable energy to replace the energy produced by coal. The projects slated to replace the coal plant include nine solar plus battery projects, as well as a standalone battery storage project.

Asia

China

As of 2020, over half of the world's coal-generated electricity was produced in China.[53] In 2020 alone, China added 38 gigawatts of coal-fired power generation, over three times what the rest of the world built that year.[54]

China is confident of achieving a rich zero carbon economy by 2050.[55] In 2021, the government ordered all coal mines to operate at full capacity at all times, including holidays; approved new mines, and eliminated restrictions on coal imports.[56] In November 2021, China reached record coal production levels, breaking the previous historic record, established in October 2021.[57]

China's exceedingly high energy demand has pushed the demand for relatively cheap coal-fired power. Serious air quality deterioration has resulted from the massive use of coal and many Chinese cities suffer severe smog events.[58] [needs update]

As a consequence the region of Beijing has decided to phase out all its coal-fired power generation by the end of 2015.[59] [needs update]

In 2009, China had 172 GW of installed hydro capacity, the largest in the world, producing 16% of China's electricity, the Eleventh Five-Year Plan has set a 300 GW target for 2020. China built the world's largest power plant of any kind, the Three Gorges Dam.

In addition to the huge investments in coal power, China has 32[60] nuclear reactors under construction, the highest number in the world.

Analysis in 2016, showed that China's coal consumption appears to have peaked in 2014.[61][62] In 2014, China consumed 2050 MTOE of coal; in 2020, 2060 MTOE; and the IEA projected 2021 China coal consumption at 2150 MTOE, or an increase of 5% vs. 2014.[63]

India

Coal Production in India, with a 1950–2020 axis (appears to end at 2012)

India is the third largest consumer of coal in the world. India's federal energy minister is planning to stop importing thermal coal by 2018.[64] The annual report of India's Power Ministry has a plan to grow power by about 80 GW as part of their 11th 5-year plan, and 79% of that growth will be in fossil fuel–fired power plants, primarily coal.[65] India plans four new "ultra mega" coal-fired power plants as part of that growth, each 4000 MW in capacity. As of 2015, there are six nuclear reactors under construction. In the first half of 2016, the amount of coal-fired generating capacity in pre-construction planning in India fell by 40,000 MW, according to results released by the Global Coal Plant Tracker.[66] In June 2016, India's Ministry of Power stated that no further power plants would be required in the next three years, and "any thermal power plant that has yet to begin construction should back off."[67]

In cement production, carbon neutral biomass is being used to replace coal for reducing carbon foot print drastically.[68][69]

Indonesia

The Indonesia Just Energy Transition Partnership is a 20 billion dollar agreement to decarbonise Indonesia's coal-powered economy, launched on 15 November 2022 at the G20 summit.[70][71][72] This Just Energy Transition Partnership comes after the first such agreement, the South Africa JET-IP was announced in 2021 as a partnership with Germany, France, the UK and US.[73][74] The agreement with Indonesia involves all G7 countries as partners, including Canada, Italy and Japan. It also includes Denmark and Norway.[75][76] The JETP aims to develop a comprehensive investment plan (the JETP Investment and Policy Plan) to achieve Indonesia's decarbonisation goals.[77]

Under the JETP, Indonesia aims to reach net-zero emissions of greenhouse gases from electricity production by 2050, bringing forward its target by a decade, and reach a peak in those emissions by 2030. According to two think tanks, the $20bn allocated under the programme are insufficient for these goals.[78]

On the sideline of the same conference, the Asian Development Bank signed an agreement with Cirebon Electric Power to open discussions on accelerated retirement of the Cirebon Steam Power Plant.[79]

Japan

Japan, the world's third-largest economy, made a major move to use more fossil fuels in 2012, when the nation shut down nuclear reactors following the

Fukushima accident. Nuclear, which had supplied 30 percent of Japanese electricity from 1987 to 2011, supplied only 2 percent in 2012 (hydropower supplied 8 percent). Nuclear electricity was replaced with electricity from petroleum, coal, and liquified natural gas. As a result, electricity generation from fossil fuels rose to 90 percent in 2012.[80] By 2021, Japan generated 30% of its electricity from coal.[81]

In January 2017, the Japanese government announced plans to build 45 new coal-fired power plants in the next ten years, largely to replace expensive electricity from petroleum power plants.[82] Japan has 140 coal plants of which 114 are classified as inefficient and as a result the government intends to shut these down by 2050 to meet its climate commitments.[83]

Philippines

The Philippines has stop issuing permits for the construction of new greenfield coal power plants in 2020.[84] Six provinces have passed ordinance banning coal power plants in their jurisdiction as of 2019 namely: Bohol, Guimaras, Ilocos Norte, Masbate, Negros Oriental, Occidental Mindoro, and Sorsogon[85]

The Department of Energy in December 2023 has urged for the voluntary early and orderly decommissioning or repurposing of existing coal-fired power plants in line of the Philippines' goal to have a 50 percent renewable energy share by 2040.[86][87]

Turkey

In 2019, the OECD said that energy and climate policies that are not aligned in future may prevent some assets from providing an economic return due to the transition to a low-carbon economy.[88] The average Turkish coal-fired power station is predicted to have higher long-run operating costs than renewables by 2030.[89] The insurance industry is slowly withdrawing from fossil fuels.[90]

In 2021 the

Istanbul Stock Exchange was at risk of stranding, including $300 m for EÜAŞ.[95]: 12  Turkey has $3.2 billion in loans for its energy transition.[96] Small modular reactors have been suggested to replace coal power.[97] A 2023 study suggests the early 2030s and at the latest 2035 as a practical target for phase-out.[98] A 2024 study says that, although some plants would shutdown due to technological or economic obsolescence, a complete phase out by 2035 would require additional capital expenditure on electricity storage: however the study did not consider demand response or electricity trading with the EU.[99]

Some energy analysts say old plants should be shut down.
[100] Three coal-fired power plants, which are in Muğla Province, Yatağan, Yeniköy and Kemerköy, are becoming outdated. However, if the plants and associated lignite mines were shut down, about 5000 workers would need funding for early retirement or retraining.[101] There would also be health[102] and environmental benefits,[103] but these are difficult to quantify as very little data is publicly available in Turkey on the local pollution by the plants and mines.[104][105] Away from Zonguldak mining and the coal-fired power plant employ most working people in Soma district.[106] According to Dr. Coşku Çelik "coal investments in the countryside have been regarded as an employment opportunity by the rural population".[107]

Vietnam

At the COP 26 in 2021, Vietnam pledged to phase out unabated coal power by the 2040s or soon thereafter.[108] This is part of the country's announcement to achieve net zero emissions by 2050. In December 2022, Vietnam joined the Just Energy Transition Partnership. Under this partnership, the country will receive $15.5 billion in the next 3–5 years to accelerate decarbonising its electricity sector, including shifting coal power use peak by 2030 instead of 2035. With coal contributing to about 50% of the electricity generation, Vietnam is facing numerous challenges to phase out coal while electricity demand is increasing around 10%/year. It could, however, ramp up the penetration of solar and wind power, particularly offshore wind, to replace coal power [109]

Europe

In July 2014, CAN Europe, WWF European Policy Office, HEAL, EEB and Climate-Alliance Germany published a report calling for the decommissioning of the thirty most polluting coal-fired power plants in Europe.[110]

Austria

Austria closed its last coal power plant in 2020.[111]

Bulgaria

Closure is planned for 2038 but it is thought market forces will force it well before that.[112]

Belgium

After the government denied a 2009 application to build a new power plant in Antwerp, the Langerlo power station burned its last ton of coal in March 2016, ending the use of coal fired power plants in Belgium.[113]

Denmark

As part of their Climate Policy Plan, Denmark stated that it will phase out oil for heating purposes and coal by 2030. Additionally, their goal is to supply 100% of their electricity and heating needs with renewable energy five years later (i.e. 2035).[114]

Finland

In 2019, Finland enacted a ban of coal use for energy purposes starting on 1 May 2029, ahead of the 2030 schedule discussed earlier.[115][116] As of 2020, coal represented only 4.4% of electricity generated in the country.[117] Finland is a founding member of the Powering Past Coal Alliance along 18 other countries.[118][119]

France

On 30 December 2017, Emmanuel Macron signed a law planning the end of fossil-fuel extraction in French territories.

The French government intends to close or convert the nation's last four coal plants by 2022.[120][121] In April 2021 the Le Havre coal plant unit was shuttered.[122]

In December 2017, to fight against

global warming, France adopted a law banning new fossil fuel exploitation projects and closing current ones by 2040 in all of its territories. France thus became the first country to programme the end of fossil fuel exploitation.[123][124]

Germany