China's coal power on the rise again in '26, reversing first-in-a-decade decline
China's coal-fired power generation is projected to increase in 2026, reversing the first decline in a decade seen the previous year. The rebound is driven by rising electricity demand and a slowdown in renewable energy capacity additions, highlighting the continued reliance on coal for energy security.
Background
- China is the world's largest coal consumer and greenhouse gas emitter — so its coal-use decisions have massive global climate implications. For the first time in a decade, Chinese coal-fired power generation actually fell in 2025, driven by a surge in wind and solar capacity.
- But this decline is set to reverse in 2026, with coal power projected to rise again. The reason: rapid growth in electricity-hungry AI data centers and EV manufacturing is outpacing the grid's ability to add enough renewable energy. Coal is being called on to fill the gap.
- The Chinese government, while pushing a massive clean-energy buildout, has also been approving new coal plants at a rate that alarms climate scientists. This story illustrates the tension between its climate pledges and the real-world demand for reliable, 24/7 power from a booming industrial economy.