Coal's Share in China's Electricity Generation Falls Below 50% for the First Time

China's coal share in electricity generation has fallen below 50% for the first time. In the first half of 2026, this indicator reached 49.7%, linked to the rapid growth of renewable energy.

According to data from the country's National Energy Administration, in 2016, coal accounted for 65.5% of China's electricity generation. During the same period, renewable energy's share grew to 41.2% and exceeded 40% for the first time.

Wind and solar energy accounted for 24.6% of electricity generation, whereas in 2020 their share was only 9.7%. The remaining electricity is generated mainly from natural gas and nuclear energy.

Despite this, it is expected that total coal consumption this year may still increase. The reason is growing demand for electricity, driven by the spread of electric vehicles, construction of artificial intelligence data centers, and expansion of exports.

China remains significantly dependent on coal. For comparison, in 2025, coal accounted for 17% of electricity generation in the United States, while natural gas accounted for 41%. In India, the share of coal and lignite was 69% last year.

Last year, China's coal imports reached almost 500 million tons, while domestic production reached 4.83 billion tons. The reduced demand for imports may have an impact on China's major suppliers, including Indonesia, Mongolia, Australia, and Russia.

Source: Investing.com