Global coal demand is expected to reach a record high in 2025, according to the International Energy Agency (IEA). The surge is driven by rising energy needs in Asia and persistent challenges in shifting to renewable sources, raising concerns worldwide including in Pakistan.
Record Global Coal Demand Forecast for 2025
The IEA’s latest report outlines that global coal consumption will hit unprecedented levels by 2025. This growth is primarily attributed to expanding industrial activity and power generation in emerging markets, particularly in Asia. Despite environmental concerns, coal remains a key energy source due to its affordability and availability.
Context and Driving Factors
Coal has long been a backbone for many economies, including Pakistan, where it supports energy security amid fluctuating fuel import costs. The demand spike worldwide contrasts with global efforts to reduce carbon emissions. The IEA highlights that while renewables and natural gas are growing, coal’s role is not diminishing fast enough to meet climate goals.
Impact on Pakistan’s Economy and Energy Sector
For Pakistan’s economy, rising coal consumption globally has mixed implications. On one hand, higher coal demand can stabilize prices and supply chains. On the other, Pakistan faces challenges in balancing energy policy, NEPRA decisions, and environmental commitments. The country’s energy mix relies heavily on imported fuels and domestic coal, underscoring the importance of sustainable strategies.
Official Perspectives and Regional Implications
An energy expert in Islamabad remarked, “Pakistan’s industrial growth and KP security efforts depend on a stable energy supply. While global coal trends offer supply insights, Pakistan must accelerate tax reforms and clean energy adoption to minimize economic risks.” The recent NEPRA decision on power tariffs reflects ongoing efforts to address energy affordability amidst these global shifts.
Latest Updates and Related Developments
With ongoing global diplomacy focusing on climate change, coal demand projections create pressure on countries to upgrade policies. In Pakistan, aviation news and travel policy updates also reveal how energy costs impact transportation sectors. Meanwhile, social media trends show increasing public awareness about environmental issues linked to coal usage.
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