The UK is set to close a historic chapter in its energy policy with the shutdown of the last coal plant, Ratcliffe-on-Soar, scheduled for midnight on September 30, 2024. This event will mark the beginning of the coal-free era in the country, consolidating a remarkable reduction in carbon emissions in the electricity sector, which have fallen by 74% over the past 12 years, according to the report "The UK’s Journey to a Coal Power Phase-Out" by Ember. 2b6167

In 2012, coal ed for nearly 40% of the UK's electricity generation, but its share has drastically decreased to just 2% by 2020, and finally to zero in October 2024. In absolute , the UK generated 143 TWh of electricity from coal in 2012, equivalent to the total electricity demand of Sweden in 2023.

The report highlights that wind and solar power have quadrupled their contributions to the energy mix, increasing from 6% in 2012 to 34% in 2023. Wind generation has grown by 315%, adding 62 TWh, while solar energy has played a crucial role in displacing approximately 28 million tonnes of coal.

Source: EMBER

Frankie Mayo, Energy and Climate Analyst at Ember, emphasizes: "The UK has achieved something monumental by transforming its energy system from a major polluter to one where renewables thrive in an astonishingly short period." However, she notes that the work to build a clean energy system must continue, and it is vital to learn from this experience.

Lessons from the ember report

The report "The UK’s Journey to a Coal Power Phase-Out" identifies five key lessons that have facilitated this transition:

1. Tightening decarbonisation targets: The UK’s Climate Change Act, updated in 2019, established clear goals for phasing out coal. The phase-out date was moved up from 2025 to 2024.

Though in 2012 coal generated 39% of UK electricity generation, it fell more rapidly than expected to just 2% in 2019, and in 2021 the phase-out date was brought forward to 2024.

2. Raising the cost of coal: In 2013, the UK government established a rising minimum carbon price, which, combined with the EU carbon price, significantly impacted coal power prices starting in 2015. For the first time since 2010, coal power became more expensive than gas and renewable energy.

In 2016, an Industrial Emissions Directive introduced stricter air pollution limits for large power plants, requiring costly upgrades to the aging coal fleet, making it uneconomic for older plants to operate.

Additionally, in 2013, the UK set CO2 emission limits at 450g/KWh for new fossil fuel power plants built after February 18, 2014, effectively requiring expensive carbon capture and storage for new coal plants, which deterred investment in them.

3. for offshore wind: The 2019 Offshore Wind Sector Deal identified offshore wind as one of the UK’s leading industries and provided a roap for how government action would coordinate with and further industry growth. Government commitments to the sector included assurances of long-term funding through the Contracts for Difference scheme and investment into research and development.

4. Market reforms for renewables: Reforms have incentivized investment in clean energy, ensuring electricity supply security while coal plants were being shut down.

Since 2013, the UK Capacity Market has funded new fossil gas capacity, interconnectors, demand response, and storage, ensuring power supply as coal plants shut down and renewables grew. The 2014 Contracts for Difference scheme boosted investor confidence, cutting prices through competitive auctions. Six auction rounds have ed 35 GW of wind and solar projects, with nearly 8 GW already developed.

5. Electricity grid investment: In 2010, a new transmission upgrade method shortened lead times for new power plants, accelerating clean energy deployment to replace coal and gas, though grid challenges persist. Since 2015, the UK's National Grid Electricity System Operator (ESO) has reviewed grid upgrades annually. In 2022, ESO proposed a holistic planning process for long-term grid upgrades. In 2024, it published an interim report recommending upgrades to 21 GW of new clean power capacity. Flexible, whole-system planning aims to expedite new development, helping phase out coal and eventually fossil gas.

The UK's energy future

The UK’s coal phase-out provides valuable lessons on reducing fossil fuel dependence, but fully decarbonizing the power system brings new challenges. With the closure of its final coal plant, the UK aims for a clean power system by 2030. This target includes plans to double onshore wind, triple solar, and quadruple offshore wind capacity, gradually displacing gas from the energy mix, which will only be kept for critical reserve capacity.

By 2030, gas could make up just 2% of the UK electricity mix, improving energy security by reducing gas imports. Learning from the coal phase-out and addressing new challenges, such as grid delays, will be crucial. Batteries and other clean technologies will help balance supply and demand, replacing gas peaking plants and moving towards a near-zero carbon grid. Government strategies, like for battery storage, will further reduce fossil fuel reliance.

To the rapid growth of renewables, investing in grid expansion and interconnectors is key, as these reduce delays and consumer costs. Electrification of sectors like transport and heating will also displace oil and gas, further cutting fossil fuel use. The transition away from coal and gas will enhance energy resilience, helping the UK rely less on imports while preparing for the future of clean power.