
Fossil fuels are the leading non-renewable energy sources worldwide, with coal, petroleum, and natural gas being the three main types. The world's most abundant fossil fuel is coal, which has been a significant source of energy for many centuries. Coal is formed from the remains of ancient plants that have undergone heat and pressure over millions of years, and it is primarily used for electricity generation and some industrial applications. Despite its affordability and abundance, burning coal releases significant amounts of carbon dioxide, contributing to climate change.
| Characteristics | Values |
|---|---|
| World's most abundant non-renewable fossil fuel | Coal |
| Percentage of world's energy consumption | 37% |
| Percentage of US energy consumption | 43% |
| Percentage of electricity generated from coal in the US in 2020 | 19% |
| Percentage of carbon dioxide emissions from coal in the US from 2007 to 2019 | Decreased by 50% |
| Percentage of electricity generated from coal in the US | 44% |
| Percentage of electricity generated from gas in the US | 23% |
| Percentage of electricity generated from petroleum in the US | 1% |
| Percentage of world energy needs met by natural gas | 20% |
| Percentage of US energy needs met by natural gas | 25% |
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What You'll Learn

Coal is the most abundant fossil fuel
Fossil fuels, including coal, oil, and natural gas, have been powering economies for over 150 years, currently supplying about 80% of the world's energy. While the consumption of fossil fuels has increased significantly over the past half-century, the types of fuel we rely on have shifted from solely coal towards a combination of oil and gas.
Coal's share of energy production has been steadily decreasing as the costs of natural gas and renewable energy have dropped, making coal less competitive. As coal usage has dropped in the United States, carbon dioxide emissions from coal have decreased by 50% from 2007 to 2019. However, in 2022, global coal-fired generation reached an all-time high, pushing CO2 emissions from coal-fired power plants to record levels. This increase was partly due to high natural gas prices caused by Russia's invasion of Ukraine.
Despite the declining use of coal in most advanced economies, it remains crucial for electricity generation and industrial processes in emerging economies. To transition to a cleaner energy source, governments and the coal industry need to develop and deploy less polluting and more efficient technologies, such as carbon capture, utilisation, and storage (CCUS).
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Oil and gas are widely used but less abundant
Oil and natural gas are two of the three types of fossil fuels, the third being coal. Fossil fuels are formed from the carbon-rich remains of plants, algae, and cyanobacteria that decomposed and were compressed and heated underground over millions of years. Oil and gas are widely used, especially in the United States, and support millions of jobs. However, they are finite resources, and their abundance is uncertain.
Oil and gas are used for a variety of purposes. Crude oil is refined into petroleum products, which are used as fuel for transportation, to heat buildings, and to produce electricity. Petroleum is also used as a raw material in the petrochemical industry to create plastics, polyurethane, solvents, and other intermediate and end-user goods. Natural gas, composed mainly of methane, is used to meet 20% of the world's and 25% of the United States' energy needs.
The United States is heavily dependent on oil, with two-thirds of its consumption devoted to transportation. In 2022, the total petroleum consumption in the US averaged about 20.28 million barrels per day, including about 1.17 million barrels of biofuels per day. Gasoline is the most-consumed petroleum product in the US, with finished motor gasoline consumption averaging about 8.78 million barrels per day in 2022. Distillate fuel oil, which includes diesel fuel and heating oil, is the second-most-consumed petroleum product.
The abundance of oil and gas is a matter of debate. While current world reserves are estimated at 1.3 trillion barrels, or 45 years of supply at the current level of production, the question of when the world will reach peak oil production is a subject of discussion among scientists and policymakers. It is generally believed that peak oil production will be reached by the middle of the 21st century. However, making such estimates is challenging due to the numerous variables involved.
The future of oil and gas is uncertain as economies transition towards sustainable renewable energy sources. Oil production and consumption declined in 2020 due to the COVID-19 pandemic, and it remains to be seen if they will return to pre-pandemic levels. The US has been reducing its coal usage, which has resulted in a decrease in carbon dioxide emissions. As public and regulatory concerns about carbon emissions increase, the development of oil and gas may be impacted, especially with the growing popularity of renewable energy sources such as hydropower, biomass, wind, geothermal, and solar energy.
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Coal is a critical resource for some nations
Coal is one of the three types of fossil fuels, alongside oil and natural gas. It is formed from the carbon-rich remains of plants and other organic matter, which have been compressed and heated over millions of years. Coal is the world's most abundant non-renewable fossil fuel, with large reserves in the United States, Russia, China, Australia, and India.
Secondly, coal is essential to the steel industry, which uses coke, a coal derivative, for almost all steel production. Coal byproducts are also used to make transportation fuels. Thirdly, the coal industry provides economic stability and employment for millions of people worldwide. In the U.S., the coal industry directly employs nearly 150,000 people, and each job in coal mining creates 3.3 additional jobs, for a total of over 500,000 jobs. Coal mining is especially important in rural economies.
Finally, coal is a valuable resource due to its reliability and affordability. Unlike renewable resources such as solar or wind power, coal production is not dependent on weather conditions. It can be produced 24 hours a day, 7 days a week, providing a consistent source of energy. In countries where alternatives are not readily available or are more expensive, coal is often the most economically viable option. This is particularly true in Central and Eastern European countries, such as Poland, where energy security concerns have led to a continued reliance on coal despite pressure from the European Union to reduce its use.
While coal has been critical to the development of many nations, there is a growing recognition of the need to transition to cleaner energy sources. Coal is a significant contributor to global climate change and air pollution. However, the shift away from coal is complex and influenced by various factors, including policy, market, and energy security considerations.
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Coal's environmental impact is driving the search for cleaner energy
Coal is the world's most abundant non-renewable fossil fuel, and it has been powering the global economy for over 150 years. It is relatively inexpensive to produce and convert into energy, which has made it a popular energy source. However, coal's environmental impact is significant and is driving the search for cleaner energy alternatives.
Coal mining, for instance, can lead to erosion, loss of habitat, and pollution. The process of mountaintop removal and valley fill mining has already affected large areas of the Appalachian Mountains in West Virginia and Kentucky. This method involves removing mountain tops with explosives, which changes the landscape and can lead to streams being covered with rock and dirt. The water draining from these valleys may contain pollutants that harm aquatic wildlife. Additionally, coal mining causes acid mine drainage, which allows heavy metals to dissolve and seep into groundwater and surface water. Coal miners also face serious health issues, including lung disease, from prolonged exposure to coal dust.
The burning of coal also has severe environmental consequences. Coal combustion emits fly ash particles, contributing to air pollution and leading to millions of premature deaths each year. When burned, coal releases carbon dioxide, nitrogen oxide, sulfur dioxide, and methane gas—all of which contribute to global climate change. In 2022, coal-fired energy production accounted for about 19% of total US energy-related CO2 emissions and 55% of total CO2 emissions from the electric power sector.
The environmental impact of coal has led to a growing transition towards cleaner energy sources. Renewable energy sources such as hydropower, biomass, wind, geothermal, and solar energy are increasingly being adopted. While nuclear energy is another zero-carbon alternative, it is expensive and produces long-lasting radioactive waste. Improving energy efficiency in buildings, vehicles, and industrial processes is also crucial in reducing energy demand and cutting emissions. As countries move away from coal, carbon dioxide emissions have decreased, demonstrating the positive impact of adopting cleaner energy alternatives.
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Coal is being phased out in electricity systems
Coal is the world's most abundant non-renewable fossil fuel. Fossil fuels, including coal, have powered economies for over 150 years and currently supply 80% of the world's energy. However, the burning of these fuels releases carbon dioxide and other greenhouse gases, making them the largest driver of global climate change. As a result, there is a growing transition towards renewable and nuclear energy sources.
Coal is primarily used to generate electricity, and in 2020, it supplied 19% of US energy consumption. However, coal usage has been steadily decreasing due to the declining costs of natural gas and renewable energy, making coal less competitive. As a result, carbon dioxide emissions from coal have also decreased by 50% from 2007 to 2019.
The phase-out of coal in electricity systems is well underway in many countries. Ontario, Canada, was the first jurisdiction in North America to eliminate coal in electricity generation in 2014. In 2016, the Canadian government announced plans to phase out coal-fired electricity generation by 2030, and Alberta followed suit in 2024. Similarly, the UK, Germany, and 18 other countries are part of the Powering Past Coal Alliance, with France aiming to close its last four coal plants by 2022.
The transition away from coal is not without its challenges. When coal plants and mines close, communities lose jobs and revenue, so workers need compensation and reskilling, and capital needs to be redeployed. Additionally, ensuring the security of electricity supply during the transition is crucial. This can be achieved by combining supply, demand, and storage technologies with interconnections to reliable sources.
To accelerate the phase-out of coal, several strategies can be implemented. Firstly, establishing a CO2 price or a carbon tax can encourage power plant operators to reduce their emissions. Secondly, converting coal-fired plants to low-carbon uses, such as retrofitting them for carbon capture or utilising biomass or ammonia, can help phase out coal while reducing the need for new transmission investments. Finally, scaling up efforts on power transmission, distribution, and storage will require new policies to mobilise capital for infrastructure development.
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Frequently asked questions
Coal is the world's most abundant fossil fuel, with an estimated reserve of one trillion metric tons. It accounts for approximately 40% of the world's energy production.
Coal is a fossil fuel formed from the remains of ancient plants that have undergone heat and pressure over millions of years. This process typically occurs in environments such as swamps, where plant material accumulates and is buried.
The largest reserves of coal are found in countries like the United States, China, India, and Russia, making it a critical resource for these nations.
Burning coal releases significant amounts of carbon dioxide (CO2), contributing to climate change. As a result, there is a growing need to transition to more sustainable and eco-friendly sources of energy.
































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