January 7, 2024 - A report released recently casts a dark outlook on coal.

The Institute for Energy Economics and Financial Analysis, using data from the Energy Information Administration, says that coal production and use have been sliding in the United States and predicts that both figures are expected to decline even more in 2024.

The IEEFA report says coal use at U.S. power plants has been down in 2023 and fallen below 20% market share for the year, with low levels of usage expected into the new year. Until 2020, coal’s market share for power plants had never been less than 20% in any month. Results of the study were reported last month in the weekly newsletter compiled by the Center for Energy Policy & Management at Washington & Jefferson College.

The IEEFA report said a “temporary reprieve” in declining production had ended, as natural gas prices that were high in 2022 have fallen, causing operators to use that fuel, resulting in lower domestic demand for gas.

U.S. coal use, according to IEEFA, plummeted from about 2.8 million tons a day in 2008 to about 1.1 million tons a day this year – a 62% decrease.