Coal demand in India, the world’s second largest consumer of the critical commodity, is expected to rise by 3.5 per cent annually till 2026 topping 1,397 million tonnes (mt), the International Energy Agency (IEA) said on Friday.

“India becomes the driving force behind the upward pressure on global coal demand through to 2026, even if the global trend is decided in China.

For the forecast period until 2026, we estimate Indian coal demand to rise by 3.5 per cent annually to 1,397 mt, with growth in every coal grade,” IEA said in its latest coal report. 

Coal demand in India, which accounted for 14 per cent of the global demand, increased by 9 per cent Y-o-Y, or 97 mt, totalling 1,162 mt. In 2023, the demand is expected to have increased by 8 per cent, or 98 mt.