BAKU, Azerbaijan, December 12. U.S. coal consumption is projected to remain steady in 2025, with a slight increase of 1% to 409 million short tons (MMst) compared to 2024, according to the U.S. Energy Information Administration (EIA), Trend reports.
This follows a 5% decline in 2024 consumption, driven largely by a reduction in coal-fired power generation and a continued shift toward cleaner energy sources.
The expected increase in coal consumption in 2025 is largely due to a 1% rise in electric power consumption. The electric power sector, which accounts for about 90% of domestic coal use, is expected to see steady demand driven by higher natural gas prices and increased electricity needs. This comes after a slowdown in coal plant retirements, with only 3 GW of coal-fired capacity being retired in 2024 compared to 11 GW in 2023.
Despite the uptick in consumption, coal production is expected to decline by 7% to 472 MMst in 2025 as power plants reduce their coal inventories. The forecast also anticipates a rise in coal plant retirements to 11 GW in 2025, with renewable energy sources such as wind and solar continuing to grow. New wind capacity of 9 GW and solar generation of 25 GW will come online during the same period.
As a result of reduced production and steady consumption, coal inventories held by power plants are projected to drop from 131 MMst at the end of 2024 to 100 MMst by the end of 2025. This shift reflects a continued transition in the U.S. energy mix as renewable energy capacity expands and coal use gradually declines.