China has announced plans to increase its already world-leading coal production, setting a target to add 300 million tons of annual mining capacity by the end of the decade, as reported by Bloomberg. The news comes less than 5 months after China joined nearly 200 countries in signing a pledge to "transition away" from fossil fuels at COP28.

Complicated airflow

Despite much discussion about clean energy, global coal power capacity rose to record levels last year. Per data from Global Energy Monitor, China accounted for the majority of that increase, building 47 gigawatts of new coal capacity, while the retirement of coal plants in Western economies also slowed, seeing the lowest number taken offline in a decade.

Transitioning away from coal — the dirtiest fossil fuel by emissions — is easier said than done. This is particularly true for nations with large coal reserves that have come to rely on its relatively low and stable pricing. Last year, coal accounted for nearly 59% of China’s power generation.

Carbon debt: To incentivize the transition, certain wealthier countries, accountable for the majority of historical emissions, have pledged billions to support decarbonization efforts in developing nations.