The world saw the lowest amount of new coal mine capacity brought online for at least 10 years in 2025, according to a new report, as clean energy displaces coal for electricity generation in East Asia. A report by Global Energy Monitor (GEM) found that new coal mine capacity declined by nearly 40% from 2024, the second consecutive year new mine capacity has hit a decade low. This represents an acceleration of a steady decline that began in 2019. The slowdown in new coal mine openings was driven by China and Australia, where new additions fell by 44% and 96%, respectively. In China, the report said this was partly due to solar and wind displacing coal for electricity generation – although coal rebounded in the first half of 2026 – and the National Energy Administration implementing new rules to curb new mine openings. In Australia, a 96% reduction in new coal mine capacity was driven by shrinking demand from the countries that import Australian coal for electricity, like Japan, South Korea and Taiwan, the report said. This trend is likely to continue, according to GEM, as the Australian state of New South Wales recently banned new coal mines on undeveloped greenfield land. South Korea has promised to stop building coal-fired power plants that cannot capture and store the emissions produced. Meanwhile, Japan is pushing for a post-Fukushima nuclear revival to displace coal. This Australian coal community is co-designing its own green future Globally, growth in coal demand has slowed over the last few years and the International Energy Agency expects it to plateau through to 2030 because of the growth of renewable energy, nuclear and fossil gas. Openings down, pipeline up But while new coal mine openings fell, the amount of global coal mine capacity proposed increased by 11%. This was almost entirely driven by a spate of projects in the eastern Indian states of Jharkhand and Odisha. ‘If built,’ the GEM report says, ‘the projects would commit India – a country with no formal coal phaseout timeline – to years of coal expansion and would put a 1.5C-aligned transition away from fossil fuels farther out of reach’. The Indian government says it needs to increase coal production to meet growing electricity demand from economic growth and from dealing with heatwaves. It plans to open more than 20 new coal mines to meet its coal production targets. Because of energy security concerns, India is also aiming to produce chemicals with Indian coal rather than imported gas. China is also pursuing this strategy, although the Global Energy Monitor report said that Indian coal’s high ash content means the South Asian nation will find it harder to make chemicals from coal. Jun 22, 2026 Comment China’s coal-chemicals boom risks repeating the mistakes of the past By reviving the problematic industry in the name of energy security, China runs the risk of higher emissions, stranded assets and setting back its ambitions as a clean energy leader Read more Aug 11, 2026 Oceans South Africa’s offshore oil push meets grassroots resistance in court Two court cases against oil majors TotalEnergies and Shell could derail South Africa’s plan to expand offshore fossil fuels Read more Aug 6, 2026 News Quarter of countries still missing UN climate plans 18 months after deadline Egypt, Vietnam, Argentina and the Philippines are among the 45 nations that have breached the Paris Agreement by not submitting a new NDC to the UN Read more Nations agreed at COP26 five years ago to ‘phase down’ coal power – a commitment that China and India successfully pushed to weaken from ‘phase out’. At COP28 in 2023, governments agreed to transition away from all fossil fuels in energy systems. Since then, wealthy nations have partnered with coal-producing countries like South Africa, Vietnam and Indonesia on plans to transition from coal to clean energy. But, after preliminary talks, India and these governments did not agree a JETP. The post New coal mine openings slow as East Asian demand plateaus appeared first on Climate Home News.