
Coal is the most carbon-intensive fossil fuel and is responsible for a significant proportion of global electricity generation. In 2022, coal accounted for about 19.5% of US electricity generation, while globally, coal supplied just over a third of electricity generation. Coal is also used as a source of fuel, with coal-derived synthetic fuels being used for electricity generation and hydrogen production. While coal use is gradually decreasing in advanced economies, it is still crucial for iron and steel production, and emerging economies continue to rely on coal to meet their electricity demands.
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What You'll Learn

Coal-fired power plants generate electricity
Coal-fired power plants are a type of thermal power station that uses coal as their fuel source. The coal is typically pulverized into a fine powder before being burned in a boiler. This process releases heat, which converts water to steam. The high-pressure steam is then used to spin the blades of a turbine, which is connected to a generator. This spinning motion generates electricity.
Coal-fired power plants are one of the leading sources of electricity production worldwide, with about 2500 coal-fired power stations globally, each capable of generating a gigawatt of power on average. In 2020, coal-fired power plants generated two-thirds of the electricity produced globally, with China being the largest contributor, consuming 30% more coal than the rest of the world combined. However, coal use for electricity generation has been declining in advanced economies and is expected to continue decreasing through 2027.
The use of coal for electricity generation has several drawbacks. Coal-fired power plants are the largest single contributor to climate change, releasing approximately 12 billion tonnes of carbon dioxide annually. They also emit other harmful greenhouse gases such as methane and contribute to air pollution, leading to illnesses and early deaths. As a result, there is a growing trend towards decarbonising electricity systems and phasing out coal-fired power plants in favour of less polluting and more efficient energy sources.
The amount of coal used for electricity generation varies depending on the efficiency of the power plant and the heat content of the coal. In 2022, the United States consumed about 513 million short tons of coal for electricity generation, contributing to about 9.8% of total US energy consumption. However, coal consumption in the US has been declining, with electricity generation from coal accounting for only 19.5% in 2022.
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Coal is the most carbon-intensive fossil fuel
Coal is a carbon-heavy rock that comes in four main varieties: lignite, sub-bituminous, bituminous, and anthracite. Nearly all of the coal burned in the United States is sub-bituminous or bituminous. Coal is a fossil fuel formed from the fossilized, buried remains of plants and animals that lived millions of years ago. Because of their origins, fossil fuels have a high carbon content.
Coal-fired power plants burn coal to make steam, and the steam turns turbines to generate electricity. In 2022, coal accounted for about 19.5% of US electricity generation. Coal supplies over one-third of global electricity generation and plays a crucial role in industries such as iron and steel. In 2022, global coal-fired power generation rose by nearly 2%, pushing CO2 emissions from coal-fired power plants to record levels.
Coal can be turned into gases and liquids that can be used as fuels or processed into chemicals to make other products. Synthetic fuels are made by heating coal in large vessels. Coal is also used in the concrete and paper industries, where large amounts are burned to produce heat.
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Coal is used to produce synthetic natural gas
Coal is a fossil fuel that is used to generate electricity and for industrial purposes. In 2022, coal accounted for about 19.5% of US electricity generation and 9.8% of total US energy consumption. Coal is also used in industries such as steel, concrete, and paper.
Coal is also used to produce synthetic natural gas (SNG) through a process called coal gasification. This process involves heating coal with oxygen and steam (water vapour) in a high-temperature, pressurised container to produce syngas, which is primarily a mixture of carbon monoxide and hydrogen. Syngas can be further processed to produce synthetic methane or left as hydrogen.
The production of synthetic natural gas from coal offers several advantages. It can be used as a substitute for natural gas in regions where there is a shortage of natural gas. It also has similar combustion characteristics to natural gas, which means that minimal changes are needed to use it. Additionally, the process of coal gasification reduces local air pollution as the gas is purified before use, and it facilitates the capture and utilisation of carbon dioxide and other greenhouse gases.
Synthetic natural gas produced from coal can be utilised for various purposes such as power generation, heating, and chemical production. In Indonesia, a $2.3 billion coal gasification plant was initiated in 2022 to reduce the country's liquefied petroleum gas (LPG) imports and optimise its coal resources. In Japan, the Nakoso IGCC plant began commercial operations in April 2021, achieving a substantial enhancement in efficiency and a reduction in CO2 emissions compared to conventional coal-fired power plants.
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Coal is the most abundant energy source in the US
Coal is one of the primary energy sources in the US, along with petroleum, natural gas, nuclear energy, and renewable energy sources. In 2023, fossil fuels—petroleum, natural gas, and coal—accounted for about 84% of total US primary energy production. In 2022, coal accounted for about 19.5% of US electricity generation, down from 38.6% in 2014 and 51% in 2001. In 2021, coal supplied 9.5 quadrillion British thermal units (2,800 TWh) of primary energy to electric power plants, which made up 90% of coal's contribution to US energy supply.
The US has seen a "Growing Trend Against Coal-Fired Power Plants" since the 2000s due to cheaper and cleaner natural gas and renewables. Coal plants have been closing since the 2010s, and utilities buy more than 90% of the coal consumed in the US. In 2023, the US experienced a notable decrease in coal capacity, with 9.7 gigawatts (GW) of coal power being retired. This represents a reduction in the rate of coal plant retirements compared to previous years, suggesting a deceleration in the phasing out of coal infrastructure in the country.
Coal-fired power plants burn coal to produce steam, which turns turbines to generate electricity. In 2006, US electrical generation consumed 1,027 million short tons (932 million metric tons) or 92.3% of the coal mined in the US. Due to the emergence of shale gas, coal consumption declined from 2009. In the first quarter of 2012, the use of coal for electricity generation declined by 21% from 2011 levels. According to the US Energy Information Administration, 27 gigawatts of capacity from coal-fired generators was retired from 175 coal-fired power plants between 2012 and 2016.
In the US, many fossil fuel phase-out initiatives have taken place at the state or local levels. For example, California's SB 1368 created the first governmental moratorium on new coal plants in the US. This law set a standard for greenhouse gas emissions that effectively created a moratorium on new coal plants, as it could not be met without carbon capture and sequestration. While coal and other fossil fuels still provide 80% of US energy, 70% of electricity, and will be a major part of the energy future for decades, there is a growing trend towards renewable energy sources.
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Coal is used to generate electricity in the US
Coal is the most abundant source of electricity worldwide, currently providing more than a third of global electricity. In the United States, coal is the most abundant energy source, constituting nearly 90% of all fossil fuel reserves. In 2022, coal accounted for about 19.5% of US electricity generation, or 23.4% according to another source. This is a decline from previous years, with coal consumption having decreased in most years since 2005. The primary use of coal in the US is to generate electricity, with the electric power sector accounting for the majority of coal consumption since 1961.
Coal-fired power plants burn coal to produce steam, which turns turbines to generate electricity. Many industries and businesses have their own power plants, and some use coal to generate electricity for their own use, mostly in combined heat and power plants. The affordability and abundance of coal in the US have resulted in electricity costs that are generally 30% lower in states that rely on coal for more than half of their electricity generation.
Coal is also used in the US beyond electricity generation. The concrete and paper industries burn large amounts of coal to produce heat, while the steel industry uses coal as coal coke to smelt iron ore into iron for steel production. Coal can also be turned into gases and liquids that can be used as synthetic fuels or processed into chemicals to make other products.
While coal is being gradually replaced in most countries for power generation, it continues to play a crucial role in iron and steel production. The IEA's Net Zero Emissions by 2050 Scenario aims for all unabated coal generation to end by 2040. To achieve this, governments and the coal industry need to develop and deploy less polluting and more efficient technologies.
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Frequently asked questions
In 2022, about 513 million short tons (MMst) of coal were consumed in the United States. This was equal to about 9.8% of the total US energy consumption in 2022. This is the lowest percentage share since 1949. Coal-powered plants account for nearly a quarter of the electricity in the US.
Coal is the most abundant source of electricity worldwide, currently providing more than 36% of global electricity. In 2022, global coal-fired generation reached an all-time high, pushing CO2 emissions from coal-fired power plants to record levels.
Two formulas can be used to calculate the amount of coal used to generate electricity:
Amount of coal used per kWh = Heat rate (in British thermal units [Btu] per kWh) / Fuel heat content (in Btu per physical unit)
Kilowatt-hour generated per unit of coal used = Fuel heat content (in Btu per physical unit) / Heat rate (in Btu per kWh)
Coal is also used as a fuel in the form of coal coke in the steel industry. The concrete and paper industries burn large amounts of coal to produce heat. Coal can also be turned into gases and liquids that can be used as synthetic fuels or synfuels.











































