GlobalData has released a report which states that the Netherlands is on course to phase out the use of coal for power generation by 2030. The report, Netherlands Power Market Outlook to 2030, Update 2021 – Market Trends, Regulations, and Competitive Landscape, states that it expects the country’s coal-fired power capacity to decline from 3.31 GW in 2020 to 3.18 GW in 2025, before being phased out entirely in 2030.
Rohit Ravetkar, Power Analyst at GlobalData said: “The Dutch Government’s ban on coal power generation follows its efforts to reduce greenhouse emissions by 49 per cent by the end of 2030, as compared to 1990 levels. The minimum carbon price floor announced by the government will discourage the use of fossil fuels for power generation. By heavily penalising the greenhouse gas emitters, the carbon price floor will result in increased adoption of renewables. The carbon price floor was introduced in the UK in 2013 and resulted in significant growth for the renewable sector.”
One requirement of the government’s ban is that coal-fired power plants have to switch to alternate fuels such as sustainable biopower.