INTERNATIONAL COAL NEWS

Coal production and consumption dives

World coal production fell 6.2%, the largest decline on record.

Lou Caruana

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World coal production fell 6.2%, or 231Mtoe, the largest decline on record.

The largest declines in coal consumption were in the US, which fell by 8.8% or 33Mtoe and China, which was down by 1.6% or 26Mtoe.

Coal consumption in the UK more than halved, dropping 12Mtoe to its lowest level in BP records.

Coal’s share of global primary energy consumption fell to 28.1%, the lowest share since 2004.

China’s production fell 7.9% or 140Mtoe, also a record decline. US production fell by 19% or 85Mtoe.

BP group chief economist Spencer Dale said the fortunes of coal appeared to have taken a decisive break from the past. 

“This shift largely reflects structural factors: the increasing availability and competitiveness of natural gas and renewables, combined with government and societal pressure to shift towards cleaner, lower carbon fuels,” he said.

“These long-term forces in turn have given rise to near-term tensions and dynamics. 

“This was particularly the case in China, which at the beginning of the year introduced a series of measures to reduce the scale of excess capacity in the domestic coal sector and improve the productivity and profitability of the remaining mines.”

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