Coal
Overview
Global thermal coal prices surged to record levels in 2022, experiencing unprecedented volatility. Prices have since come off as risks associated with Europe’s supply recede. At a global level, coal demand remains robust with security of supply shifting higher up the agenda of many governments in light of geopolitical upheaval.
In Europe, sanctions have shifted the region’s coal import mix away from Russia and towards other suppliers. The pace of coal plant phase-outs in the region is set to increase in the years ahead, with the role of coal in the electricity mix shifting further towards peak-load usage, making forward planning more challenging.
In Asia-Pacific, thermal coal remains a pillar of the power and industrial sectors. Global coal trade flows and price spreads are shifting, with flows from key suppliers Russia, Indonesia, Australia, South Africa, Colombia, and the US penetrating new markets, in response to price dynamics and trade barriers.
Keeping on top of prices and flows, and how coal markets intersect with other energy and commodity benchmarks, will be critical in the coming years.
Latest coal news
Browse the latest market moving news on the global coal industry.
Kazakhstan announces new coal-fired energy, AI plans
Kazakhstan announces new coal-fired energy, AI plans
London, 1 July (Argus) — Kazakhstan has announced a new energy security plan that includes adding coal-fired capacity through 2035 and modernising its coal-fired fleet to help achieve artificial intelligence (AI) goals. The central Asian country plans to add 26.3GW of generation capacity by 2035, of which 13.3GW is targeted for commissioning by 2029, energy minister Yerlan Akkenzhenov said today. Kazakhstan aims to commission 7.4GW of coal-fired capacity and 5.9GW of renewables to meet its 2029 target. An infrastructure overhaul could meet Kazakhstan's power needs as early as 2027, and create a sustainable surplus going forward, according to the ministry. New coal-fired capacity by 2029 will allow Kazakhstan to build energy-intensive AI infrastructure and large data centres, the ministry said. This builds on a broader $15.5bn project to boost coal-fired power approved in March. The ministry of AI and digital development — established in September — will work with the energy ministry and state-owned Kazakhtelecom to develop AI data centres. The energy ministry confirmed today that 19 projects were expected to be part of the broader plan — eight newbuild coal-fired plants and 11 overhauls. Kazakhstan has 27.1GW of power capacity — 13.7GW coal-fired, 7.1GW gas-fired, 2.5GW hydro and 3.8GW other renewables. Total power generation is expected to reach at least 126.5TWh this year, the energy ministry said. Generation totalled 123.1TWh last year, and consumption 124.6TWh. By Shreyashi Sanyal Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Japan to introduce new energy plan in August
Japan to introduce new energy plan in August
Osaka, 29 June (Argus) — The Japanese government plans to introduce an improved energy strategy in August, tapping on lessons from unexpected disruptions to fuel shipments through the strait of Hormuz following the US-Iran conflict, it said. The resource-poor country seeks to improve energy resilience, meet rising electricity demand and accelerate decarbonisation. Japanese prime minister Sanae Takaichi tasked the country's trade and industry Meti minister Ryosei Akazawa late last week to recommend policies by the end of August that aim to improve Japan's energy supply-demand structure by expanding its energy options through crisis management investment. Easing crude oil prices offer a timely opportunity to further improve Japan's energy security in co-ordination with Asia and the G7, she added. Details of the policy package remain unclear. But the new plan may place greater emphasis on oil security and its diversification, given that Takaichi has been promoting the recently introduced Power Asia framework , which aims to ensure stable oil supply across Asia, as well as the well-established green transformation (GX) strategy, which is focused on energy security, economic growth and decarbonisation. This would build on the existing Strategic Energy Plan (SEP), which is in line with the country's green transformation plan, emphasising gas security and expanding the use of non-fossil domestic energy such as nuclear and renewables. The plan aims to consolidate measures that can be implemented without waiting for the next review of the SEP, which will likely take place in the April 2027-March 2028 fiscal year. Tokyo typically reviews the SEP every three years and updates it as needed, with the current plan last revised in February 2025 . The plan to compile the package by August is also broadly aligned with the usual timing of Japan's initial budget requests. Under the current SEP, Japan aims to have renewable energy making up 40-50pc of the country's power generation in 2040-41, up from 22.9pc in 2023-24. The share of nuclear power will increase to around 20pc from 8.5pc, and thermal power will fall to around 30-40pc from 68.6pc during the same period. Japan will need to replace its nuclear capacity to maintain nuclear power's 20pc share in the power mix because a few of its reactors are expected to be decommissioned. It will need to replace around 2.2-5.5GW of nuclear capacity — equivalent to 2-5 reactors — by the 2040s. It will then need to replace a total of 12.7-16GW — or 11-14 reactors — by the 2050s, with this figure inclusive of the capacity that it replaced in the 2040s. By Motoko Hasegawa Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Indonesia rules out coal export curbs
Indonesia rules out coal export curbs
Singapore, 26 June (Argus) — Indonesia does not plan to introduce additional restrictions on coal exports, with the government focused on enforcing existing regulations to meet supply requirements of state-owned utility PT Perusahaan Listrik Negara (PLN), the energy ministry (ESDM) said. "There is no new proposal to introduce additional restrictions, as the necessary regulatory framework is already in place," the ministry told Argus on 26 June. Authorities will instead ensure "effective implementation" of provisions under the domestic market obligation (DMO). The response comes after energy minister Bahlil Lahadalia said on 25 June that some coal shipments earmarked for export were being held back on the direct order of President Prabowo Subianto to prioritise domestic supply to PLN's power plants to address shortages at state-owned utility PLN that have triggered blackouts across Java. The minister's comments revived memories of late 2021 , when a similar supply crunch prompted a full export ban in January 2022, jolting global coal markets. The Directorate General of Mineral and Coal (Minerba) had temporarily withheld certain export shipments to ensure the availability of coal with the required calorific value for PLN's primary energy needs. "The volume of exports temporarily withheld was adjusted based on PLN's operational requirements," the ministry said, adding that with domestic supply conditions now improving, coal exports are proceeding normally. The temporary export diversion took place as part of the regulatory oversight function, ESDM said, rather than as a punitive or market-wide measure. The move to hold back some coal exports in favour of domestic supply has injected fresh uncertainty into the seaborne market with lingering concerns on more shipments making way to meet PLN's growing demand, especially during the peak summer season with the El Nino weather pattern aggravating the temperatures and power consumption. Supply contracts totalling about 141mn t has already been secured against PLN's total annual requirement of 154mn t, leaving a 13mn t gap, ESDM said, reiterating a shortfall acknowledged by the minister on 25 June. PLN's primary energy procurement would be subject to enhanced scrutiny to ensure its fuel requirements are met, ESDM said. The oversight would be undertaken by authorities including representatives from the Financial and Development Supervisory Agency (BPKP), ESDM, the Directorate General of Mineral and Coal, and PLN. "Such oversight is a normal and necessary regulatory function to ensure that the DMO policy is effectively implemented, particularly in securing coal supply for PLN's primary energy requirements," the ministry said. The enhanced scrutiny comes as Jakarta scrambles to address shortages at PLN that have triggered blackouts across Java. It would add to a series of measures taken by the government to boost its oversight of the sector including coal producer's DMO performance. Indonesia might also review this year's production quotas, or RKABs, in July, according to market participants. The regulatory steps extend beyond domestic supply. Indonesia has set up a state-owned entity, Danantara Sumberdaya Indonesia, to centralise coal exports, although authorities later clarified that the company would mainly focus on monitoring trades to prevent under-invoicing. All exports are expected to be channelled through the new entity, in line with the original plan announced last month. Quality vs quantity The current shortage stems less from an absolute lack of supply than from a mismatch in coal quality. The gap lies specifically in medium-calorific value (CV) coal above GAR 5,000 kcal/kg, which PLN uses to blend with lower-grade supply to maintain boiler performance, Bahlil said. While DMO volumes appear sufficient on paper — with 180mn–190mn t allocated and 160mn–170mn t committed — domestic deliveries have been skewed toward lower-CV coal, with mid-CV material likely being absorbed by the export market. Indonesia's 2026 production quotas, or RKABs, were cut to around 600mn t from 817mn t in 2025, tightening overall supply headroom and adding pressure on availability of specific grades for the domestic market. Indonesia exported 151.1mn t of all types of coal in January-April , down by 6.9pc from a year earlier, while output in the first four months of 2026 is estimated at 230mn–235mn t, down from a revised 250.5mn t in the same period of 2025. Industry bodies point to the DMO pricing regime as a root cause of the supply crunch. The government caps coal sold to power utilities at $70/t for GAR 6,322 kcal/kg — a level unchanged since 2018 — while the benchmark HBA price for the same grade currently stands near $124/t. For medium-grade coal, the effective DMO price falls to around $35–40/t against an HBA benchmark of roughly $60/t, leaving producers with negligible or negative margins on compliant supply. The Indonesian mining professionals' body, Perhimpunan Ahli Pertambangan Indonesia (Perhapi), has proposed raising the DMO price to $80–90/t, while the Indonesian Coal Mining Association (APBI) has called for a periodic adjustment mechanism linking DMO prices to a percentage of the HBA. By Saurabh Chaturvedi Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
House committee advances data center power bill: Update
House committee advances data center power bill: Update
Updates with statement from Data Center Coalition in the fifth paragraph Houston, 25 June (Argus) — A US House of Representatives subcommittee advanced a bill to make large-load power users such as data centers pay their own way when it comes to powering their projects, an effort to protect regular consumers from higher utility bills. The House Energy and Commerce Subcommittee on Energy approved the measure by voice vote Wednesday as part of a package of electricity bills, sending it to the full committee for further consideration. The bill would require developers of projects requiring 100MW of power or greater to cover the full cost of new power plants, transmission lines or other grid upgrades needed to serve their facilities. The legislation, HR 9340, known as the Ratepayer Protection Act, was introduced by Rep. Gabe Evans (R-Colorado) and co-sponsored by Rep. Kathy Castor (D-Florida). The bipartisan bill largely mirrors President Donald Trump's ratepayer protection pledge, under which major technology companies, including Amazon, Google, Microsoft and Meta, agreed in March to ensure that the costs of powering new data centers, including grid upgrades, are not passed on to residential consumers. Rep. Frank Pallone (D-New Jersey), the panel's top Democrat, noted the suite of bills — which also included measures to improve load forecasting, speed up generator interconnection, and expand transmission capacity — was a "useful first step", but he said more aggressive action was needed to "ensure that data center developers are held accountable and that consumers aren't left holding the bill." An industry group representing data center developers endorsed the House measure. "We are committed to paying the full cost of the energy we use," Data Center Coalition (DCC) chief executive Josh Levi said in a statement. "DCC supports the approach taken by the Ratepayer Protection Act to achieve this goal and ensure the industry's energy costs are not shouldered by residents and businesses." Manufacturing groups are pressing lawmakers to narrow the bill's scope, warning that its broad definition of "large-load customers" could sweep in energy-intensive industries well beyond data centers. In a letter to the committee, the Industrial Energy Consumers of America urged legislators to instead target "large computational load" users, arguing the current language risks raising costs and creating regulatory uncertainty for manufacturers that compete globally and are not driving recent spikes in electricity demand. The measure now heads to the full Energy and Commerce Committee for consideration, where it could face further amendments before any potential consideration by entire House. By Jasmina Kelemen Send comments and request more information at feedback@argusmedia.com Copyright © 2026. Argus Media group . All rights reserved.
Spotlight content
Browse the latest thought leadership produced by our global team of experts.
East Asia’s Energy Act: Argus Coal Prices Now
Video - 27/05/26Power Generation Fuels Market Update - May 2026
Impact of the Iran War on global commodity markets - part 2
Second edition - A brief analysis of the Iran war’s market impacts, outlining disruption levels and the commodities most exposed to shifting global conditions.
Spotlight content
Browse the latest thought leadership produced by our global team of experts.
Explore our coal products
Real time access to trusted price assessments, indexes, global market intelligence, analytics and outlooks for European, Asia-Pacific, Americas and African coal markets.
Key price assessments
Argus prices are recognised by the market as trusted and reliable indicators of the real market value. Explore some of our most widely used and relevant price assessments.
