Global coal-fired electricity generation fell by 3 per cent in 2019, leading to a 2 per cent fall in CO2 power sector emissions overall, said climate think tank Ember.

Wind and solar generation also rose by around 15 per cent last year, helping to offset the energy lost from the closure of coal plants.

This trend will need to continue over the next decade for the world to have any hope of meeting climate change obligations as laid out in the Paris Agreement, Ember said. The Paris Agreement states that climate change must be limited to 1.5°C above pre-industrial levels to avoid the worst impacts of climate change.

While the decline of coal in the EU has been dramatic, Asia is faring less well, with China even planning to construct new coal plants.

To meet its climate goals, China will need to reduce its coal power capacity by 40 per cent over the next decade. Currently, it generates roughly 1,000 gigawatts of electricity from coal and an additional 121 gigawatts are under construction, which is greater than that being built in the rest of the world combined.

While the complexities of the Chinese electricity grid mean that some of these plants may end up not being used very often – or even completed – it still demonstrates that the country has a long way to go to meet its obligations.

“Without concerted policy-maker efforts to boost wind and solar, we will fail to meet climate targets,” said Ember electricity analyst Dave Jones.

“China’s growth in coal, and to some extent gas, is alarming but the answers are all there. The EU leaps out with 18 per cent of electricity now coming from wind and solar, but with the US on 11 per cent, China at 9 per cent and India at 8 per cent – the race is on.”

Ember added that the US coal collapse – which is down 16 per cent in 2019 – is undermined in terms of its climate impact by the fact the power sector has mostly switched to gas.

Global oil demand is also expected to contract in 2020 for the first time in more than a decade, due to the slowing of global economic activity in the wake of the coronavirus.

The International Energy Agency (IEA) has sharply revised its estimations downward as oil prices dropped by more than a quarter amid fears of a global recession.

Prices are expected to suffer their biggest one-day fall in 29 years after Saudi Arabia ignited a crude price war in the market.

The energy watchdog said it expected oil demand to be 99.9m barrels per day (bpd) in 2020, lowering its annual forecast by almost 1m bpd and signalling a contraction of 90,000 bpd, the first time demand will have fallen since 2009.

Paris-based IEA said in its medium-term outlook report that in an extreme scenario where governments fail to contain the spread of the coronavirus which has affected over 100,000 people, consumption could drop by up to 730,000 bpd.

The virus has led to a sharp drop in industrial activity particularly in China, other Asian economies, as well as Italy – one of the worst affected countries outside China. The virus has led to a slowdown in demand for ground and air transport.

“The coronavirus crisis is affecting a wide range of energy markets – including coal, gas and renewables – but its impact on oil markets is particularly severe because it is stopping people and goods from moving around,” IEA executive director Fatih Birol said in a statement.

Global coal-fired electricity generation fell by 3 per cent in 2019, leading to a 2 per cent fall in CO2 power sector emissions overall, said climate think tank Ember.

Wind and solar generation also rose by around 15 per cent last year, helping to offset the energy lost from the closure of coal plants.

This trend will need to continue over the next decade for the world to have any hope of meeting climate change obligations as laid out in the Paris Agreement, Ember said. The Paris Agreement states that climate change must be limited to 1.5°C above pre-industrial levels to avoid the worst impacts of climate change.

While the decline of coal in the EU has been dramatic, Asia is faring less well, with China even planning to construct new coal plants.

To meet its climate goals, China will need to reduce its coal power capacity by 40 per cent over the next decade. Currently, it generates roughly 1,000 gigawatts of electricity from coal and an additional 121 gigawatts are under construction, which is greater than that being built in the rest of the world combined.

While the complexities of the Chinese electricity grid mean that some of these plants may end up not being used very often – or even completed – it still demonstrates that the country has a long way to go to meet its obligations.

“Without concerted policy-maker efforts to boost wind and solar, we will fail to meet climate targets,” said Ember electricity analyst Dave Jones.

“China’s growth in coal, and to some extent gas, is alarming but the answers are all there. The EU leaps out with 18 per cent of electricity now coming from wind and solar, but with the US on 11 per cent, China at 9 per cent and India at 8 per cent – the race is on.”

Ember added that the US coal collapse – which is down 16 per cent in 2019 – is undermined in terms of its climate impact by the fact the power sector has mostly switched to gas.

Global oil demand is also expected to contract in 2020 for the first time in more than a decade, due to the slowing of global economic activity in the wake of the coronavirus.

The International Energy Agency (IEA) has sharply revised its estimations downward as oil prices dropped by more than a quarter amid fears of a global recession.

Prices are expected to suffer their biggest one-day fall in 29 years after Saudi Arabia ignited a crude price war in the market.

The energy watchdog said it expected oil demand to be 99.9m barrels per day (bpd) in 2020, lowering its annual forecast by almost 1m bpd and signalling a contraction of 90,000 bpd, the first time demand will have fallen since 2009.

Paris-based IEA said in its medium-term outlook report that in an extreme scenario where governments fail to contain the spread of the coronavirus which has affected over 100,000 people, consumption could drop by up to 730,000 bpd.

The virus has led to a sharp drop in industrial activity particularly in China, other Asian economies, as well as Italy – one of the worst affected countries outside China. The virus has led to a slowdown in demand for ground and air transport.

“The coronavirus crisis is affecting a wide range of energy markets – including coal, gas and renewables – but its impact on oil markets is particularly severe because it is stopping people and goods from moving around,” IEA executive director Fatih Birol said in a statement.