Coal Loses Ground as Natural Gas and Renewables Gain Momentum

The hot summer has led to increased electricity demand, but new federal data from the Energy Information Administration shows that natural gas and renewables are leading coal as a source of power. This is despite efforts by the Trump administration to boost coal and de-emphasize renewables.

According to Mike O'Boyle, senior director of policy and strategy with the think tank Energy Innovation, coal's decline is due to its economic disadvantage compared to newer technologies like renewable energy and natural gas. 'It's really about economics,' he said.

Natural gas surpassed coal in energy production 11 years ago, while wind and solar followed suit in 2024. Stanley Reynolds, an economics professor at the University of Arizona, noted that even as subsidies for solar are being phased out, it remains a competitive option due to its relatively low price point.

Rob Godby, an economics professor at the University of Wyoming, pointed out that coal power plants have infrastructure problems, including age and unreliability. He said that utilities prefer to invest in technology that is affordable, flexible, and future-proof, which coal does not meet on any of those fronts.