US coal generation falls to record first-quarter low

Posted on: 12 April 2023

It was a “brutal first quarter” of 2023 for US coal-fired power plants| according to the Institute for Energy Economics and Financial Analysis (IEEFA).

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It was a “brutal first quarter” of 2023 for US coal-fired power plants, according to the Institute for Energy Economics and Financial Analysis (IEEFA).

Electricity generation from US coal plants totaled 162.3 million MWh for January, February and March 2023 — a record low and down more than 25% from the same period in 2022, per data from the Energy Information Administration (EIA) and IEEFA analysis.

The decrease pushed coal power’s market share below 17%, versus more than 22% in the same quarter of last year.

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By contrast, renewable generation – wind, utility-scale solar and hydropower – grabbed 22.5% of the overall market, highlighting the different trajectories for the two energy resources.

In the PJM power market, which supplies electricity from New Jersey to Illinois, coal generation tumbled 40%, dropping by more than 20 million MWh, and the fuel’s market share fell to just 15%. Ten years ago, coal’s market share was well above 40% in the region.

Coal also faced challenges in the Electric Reliability Council of Texas (ERCOT), the operator of the grid supplying 90% of electricity in the Lonestar State. There, a massive, ongoing buildout of wind and solar generation has sharply cut demand for coal power. In the first quarter of 2023, wind and solar together supplied 39.3% of total electric demand, taking the top spot from gas-fired generation. In the quarter, coal-fired generation fell 37%, more than 6.5 million MWh, and its market share dropped to less than 12%.

IEEFA noted that as the windy spring season takes over and the days lengthen, renewable generation should increase significantly in what is its strongest quarter. And with the number of new renewable projects coming online, it is likely to continue posting year-over-year increases for the foreseeable future.

Originally published by Kevin Clark on power-eng.com