India To Lead Global Coal Demand Growth Till 2030

 India is set to play a pivotal role in shaping global coal consumption trends over the next decade. According to the International Energy Agency’s Coal 2025 report, while global coal demand is expected to plateau and edge downward around 2030 due to renewable energy expansion, India’s reliance on coal will continue to grow significantly.  

Key highlights from the announcement include  

• India’s coal demand is projected to rise by 3% annually till 2030, adding more than 200 million tonnes.  
• Industrial growth and electricity generation remain the primary drivers of India’s coal consumption.  
• Global coal demand is expected to decline around 2030 as renewables, natural gas, and nuclear power gain ground.  
• Southeast Asia will also see strong growth, with demand forecast to rise by over 4% annually.  
• In 2025, India’s coal production dipped due to a mild summer and heavy monsoon rains, which boosted hydropower output.  
• Despite short-term declines, India’s long-term trajectory points to sustained coal reliance for industrial and power needs.  
• The IEA notes that India’s energy transition will be complex, balancing economic growth with climate commitments.  

Experts highlight that India’s coal demand growth reflects the country’s dual challenge: meeting rising energy needs for industrialization and urbanization while addressing environmental concerns. Although renewable energy capacity is expanding rapidly, coal remains a backbone of India’s power sector, especially for base-load electricity generation.  

The report underscores that India’s trajectory will significantly influence global energy markets and climate goals. As the world moves toward cleaner energy, India’s continued reliance on coal presents both economic opportunities and environmental challenges. Policymakers face the task of accelerating renewable adoption while ensuring energy security for a growing population.  

Sources: Hindustan Times, International Energy Agency, Greentech Lead