G7 To Phase Out Coal By 2035, Leaves Door Open For Carbon Capture

G7 To Phase Out Coal By 2035, Leaves Door Open For Carbon Capture - Carbon Herald
Photo by Adriano on Unsplash

Tuesday saw ministers from the G7 economies agree for the first time on phasing out unabated coal power plants and have set a fixed target for that – 2035. The key phrase here is “unabated” and it is the one that provides the option of utilizing carbon capture to prevent emissions from coal.

Provisions were made for two of the largest economy in the club. Germany still relies on coal for over a quarter of its energy, while Japan uses it for a third of its needs.

Similar to the language in the agreement at the end of climate summit COP28 – where the phrase “transition away” from fossil fuesl was used – this can be considered a step forward for decarbonizing the global economy and one that confirms future demand for carbon capture in the G7.

The announcement comes less than a week after the U.S. Environmental Agency (EPA) unveiled plans to enact strict requirements for coal and new natural gas plants. These would force all existing coal-fired power plants and all new natural-gas power plants that are active over 40% of the time to slash 90% of their CO2 emissions.

U.S. coal plants will have until 2032 to comply with the new standard, according to the EPA, or they will no longer be able to operate after 2039.

Relevant: EPA Issues Coal Plants Ultimatum: Capture CO2 Or Shut Down

The coal industry has been showing mixed signals in the last few years. Production is at an all-time high, primarily fueling the growth of countries in Asia. But according to the International Energy Agency global coal demand will peak in 2023.

As it stands China, India and Indonesia continue developing new capacity. In late 2022 Indonesia announced it will continue to build new coal plants despite a $20 billion clean energy transition deal it signed with the G7 group.

Read more: Indonesia To Go Ahead With Coal Plants Despite $20B Clean Deal

Leave a Reply

Your email address will not be published. Required fields are marked *

Related Posts
Translate »