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IEA forecasts sharp drop in EU coal demand as renewables take over

Economy Materials 19 December 2024 11:50 (UTC +04:00)
IEA forecasts sharp drop in EU coal demand as renewables take over
Maryana Ahmadova
Maryana Ahmadova
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BAKU, Azerbaijan, December 19. Following a brief surge in 2022 due to the energy crisis triggered by Russia's invasion of Ukraine, coal demand in the EU fell sharply in 2023, particularly in electricity generation, Trend reports.

The International Energy Agency (IEA) projects that EU coal consumption will continue to decline, reaching 244 million tons (Mt) by 2027, down from 312 Mt in 2024. This decrease is primarily driven by developments in the power market, with renewable energy increasingly replacing coal in the EU's energy mix.

Non-power coal consumption in the EU is expected to drop to 81 Mt by 2027, down from 88 Mt in 2024. The steepest reductions are expected in coal use for electricity generation, as many EU nations continue to prioritize clean energy.

Meanwhile, Türkiye has become the largest coal consumer in Europe, surpassing Germany and Poland in 2023. The country’s coal consumption is forecast to rise by 2.8% in 2024, reaching 129 Mt. However, the country's demand is expected to decline in the coming years, with a forecasted decrease to 110 Mt by 2027. This shift is driven by an increasing share of renewable energy in Türkiye's power mix, alongside the commissioning of the Akkuyu nuclear power plant, the country's first.

The UK’s coal consumption is also on a downward trajectory. The closure of Ratcliffe-on-Soar, the country’s last coal-fired power plant, in September 2024 marks a significant milestone in the UK’s shift away from coal. Although the plant's closure has minimal impact on coal markets due to the relatively small volumes consumed by the UK’s power sector, it symbolizes the end of 142 years of coal-fired power production. By 2027, the UK’s coal consumption is projected to fall to just 2 Mt, with the remaining coal used exclusively for non-power purposes.

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