Which Paris Settlement? Coal consumption reached a document eight billion tons in 2022 – watts with that?
Essay by Eric Worrall
According to the IEA, coal consumption will fall as soon as European renewables start displacing coal.
Global coal consumption is set to hit a new high in 2022 as the energy crisis rocks markets
December 16, 2022
The increase in coal consumption in Europe is expected to be temporary, with demand falling in advanced economies over the coming years but remaining resilient in emerging Asia
Global coal demand will increase only marginally in 2022, but enough to push it to an all-time high amid the energy crisis, according to a new IEA report that forecasts global coal consumption to remain at similar levels in the years to come Lack of stronger efforts to accelerate the clean energy transition.
According to Coal 2022, the IEA’s latest annual market report on the sector, global coal consumption is projected to grow by 1.2% in 2022, exceeding 8 billion tonnes in a single year for the first time and eclipsing the previous record set in 2013 put. Based on current market trends, the report forecasts that coal consumption will then remain at these levels into 2025 as declines in mature markets are offset by continued robust demand in emerging Asian economies. As a result, coal will continue to be by far the single largest source of carbon dioxide emissions in the global energy system.
“The world is nearing a peak in fossil fuel consumption, with coal being the first to decline, but we’re not there yet,” said Keisuke Sadamori, director of energy markets and security at the IEA. “Demand for coal is stubborn and likely to reach an all-time high this year, driving up global emissions. At the same time, there are many signs that today’s crisis is accelerating the deployment of renewable energy, energy efficiency and heat pumps – and this will dampen coal demand for years to come. Government policy will be key to ensure a safe and sustainable way forward.”
The international coal market remained tight in 2022, and coal demand for power generation is likely to set a new record. Coal prices rose to unprecedented levels in March and then again in June, buoyed by the drag of the global energy crisis, particularly spikes in natural gas prices, as well as unfavorable weather conditions in Australia, a key international supplier. Europe, hit hard by the sharp cut in Russian natural gas supplies, is on track to increase its coal consumption for a second straight year. However, European coal demand is expected to fall below 2020 levels by 2025.
Read more: https://www.iea.org/news/the-world-s-coal-consumption-is-set-to-reach-a-new-high-in-2022-as-the-energy- crisis -shakes markets
I also expect that coal consumption will decrease in the next few years, my crystal ball tells me that the world is about to enter a severe global recession. But I don’t expect renewable energy to significantly supplant coal use by 2025 because, unlike coal, renewable energy cannot be produced on demand. Renewable energy is only available when the sun is shining or the wind is blowing.