Full Breakdown
China's Coal Consumption Surges Amid Renewable Expansion
8/26/2025, 12:17:45 AM
Record Coal Use in 2025
In the first half of 2025, China has experienced a significant increase in coal consumption, burning more coal at power plants than at any time since 2016. This surge, documented in a report by the Center for Research on Energy and Clean Air (CREA) and Global Energy Monitor (GEM), highlights a paradox in China's energy policy. Despite the country’s substantial investments in renewable energy, which saw solar capacity increase by 212 gigawatts (GW) in the same period, coal still accounted for approximately 50% of China's energy production. The report indicates that China added 21 GW of coal power capacity in the first six months of 2025, with total projected coal plant output expected to reach between 80-100 GW for the year.
Contradictory Energy Policies
Chinese President Xi Jinping previously pledged to "strictly control" the coal industry and phase down coal usage between 2026 and 2030. However, the CREA report reveals that only 1 GW of coal capacity has been removed from the grid since this commitment was made. The report attributes this slow progress to "powerful coal interests" that continue to secure long-term contracts and maintain high output levels at existing plants, thereby crowding out renewable energy initiatives.
Official Statements & Responses
As China prepares to announce its Nationally Determined Contributions (NDC) for greenhouse gas emissions reductions ahead of the COP30 climate summit in Brazil, the ongoing reliance on coal raises concerns about meeting these commitments. The CREA authors emphasize that the construction of new coal plants shows no signs of abating, which could undermine China's climate goals.
Criticism & Opposition
Critics argue that the continued expansion of coal power contradicts China's stated climate objectives. Environmental advocates express concern that the government's focus on coal, despite the rapid growth of renewable energy, reflects a lack of genuine commitment to reducing greenhouse gas emissions. The tension between coal interests and renewable energy development is a focal point of the ongoing debate about China's energy future.
Conflicting Reports & Gaps
While the CREA/GEM report highlights the increase in coal consumption, it also notes a 1% year-on-year drop in emissions for the first half of 2025, suggesting that the expansion of renewables is having a positive impact. However, the overall effectiveness of these measures remains uncertain, given the simultaneous rise in coal usage.
What's Next
As China approaches the release of its 15th Five-Year Plan for 2026 to 2030, the energy landscape will be closely scrutinized. The upcoming announcements regarding the NDC and the government's strategy for balancing coal and renewable energy will be critical in determining the country's trajectory toward its climate goals. The juxtaposition of expanding coal use against a backdrop of renewable energy growth will likely continue to provoke debate among policymakers and environmentalists alike.
