China is the largest producer and consumer of coal and coal power in the world. The share of coal in the Chinese energy mix declined to 55% in 2021 according to the US Energy Information Agency.[1]
The Chinese central government has clamped down on the pace of new construction of coal plants and shifted to renewable, nuclear and natural gas sources.[2] At the same time, coal consumption reached new heights in China with carbon dioxide emissions from coal-fired electricity production estimated to top 4.5 billion tonnes in 2022. Reuters noted in 2022, "China is set to delight and depress climate trackers in equal measure in 2022 by setting new global records in both clean power utilisation and coal-fired electricity emissions." Solar and wind generated electricity surged by over 30% and 25% respectively during the period from January to October 2022 compared to the same period in 2021.[3] Despite central government attempts to clamp down on construction and shifting demand in the market to renewable, nuclear and natural gas sources,[2] 43 coal power units were announced in the first half of 2021 according to the Centre for Research on Energy and Clean Air in August 2021.[4]
In September 2021, China pledged to end financing of coal power plants abroad.[5] A study by Centre for Research on Energy and Clean Air in April 2022 stated at least 15 overseas coal power plants had been cancelled since the announcement, while 18 projects which had secured financing and necessary permits could enter into construction.[6]
During the 2021 energy crisis in China, this dependency on coal units, depletion of reserves, increasing import prices, and slowdowns of shipment and production lead to widespread shutdowns of industrial energy use.[7][8]
In 2022, global coal phase-out efforts advanced, excluding China, which increased coal capacity, offsetting global reductions.[9]
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