U.S. Coal Shipments Declined 8% in 2023 as Coal Consumption Fell Sharply

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The quantity of coal transported in the US decreased 8% in 2023, persevering with a development during which coal shipments have typically decreased over the previous 20 years as coal’s share of energy era has declined in the US. The quantity of coal transported to energy crops, which are sometimes situated removed from mines, decreased by greater than half, falling from 957 million tons in 2010 to 422 million tons in 2023.

We anticipate the decline in coal consumption to reverse this yr. In our lately printed July replace to the Brief-Time period Power Outlook, we forecast a rise in use of coal to generate electrical energy in the US this yr, with use dropping again to about 2023 quantities in 2025.

Though the quantity of coal being transported intently follows the coal consumption price, the 2 measurements can differ from yr to yr. Throughout 2023, U.S. coal producers shipped 35 million extra tons (9%) than U.S. energy crops consumed. Surplus deliveries final yr boosted stock ranges at energy crops by 48%, decreasing deliveries in early 2024. Conversely, coal shipments to energy crops in 2021 and 2022 have been 59 million tons lower than the quantities consumed throughout these two years, and inventories dropped to lower than 100 million tons.

Railroads dominate coal transportation

4 main modes of transportation transfer coal from the mines to energy crops. Railroads transported almost three-quarters of all U.S. coal in 2023. As a result of many coal-fired energy crops are removed from the coal fields and mines, railroads have confirmed to be probably the most environment friendly transportation mode given the intensive rail community throughout the nation. U.S. coal can also be transported by barges that function on the inland river system, vans, or conveyer belts in a lot smaller portions.

Some coal is transported by two modes, first shipped by railroad after which loaded right into a barge, ship, or truck for ultimate supply. In 2023, 9% of railroad shipments additionally used a secondary mode of transportation to achieve the vacation spot, reminiscent of ships on the Nice Lakes, barge, truck, or conveyor belt.

We publish extra details about coal shipments to energy crops in our abstract of coal transportation charges and in our interactive Coal Information Browser. Our Kind EIA-923 offers extra information on mode of transportation.

Principal contributors: Jonathan Church, Mark Morey. Initially printed on In the present day in Power.