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PARIS - The ongoing blockade of the Strait of Hormuz is driving up global demand for coal, the International Energy Agency (IEA) said on Thursday, reported German Press Agency (dpa).
The blockade, triggered by the war on Iran, was causing a massive decline in liquefied natural gas supplies, pushing prices sharply higher, the Paris-based agency said.
This had prompted countries with gas-fired power plants and available coal-fired capacity to increase their coal-based electricity generation.
As a result, coal consumption in markets including Europe, Japan, Korea and China was running higher than previously expected, the agency said.
Global coal demand, which had been forecast to fall slightly compared with the previous year, was now projected to rise by 1.2 per cent in 2026, pushing world consumption to a record 8.94 billion tonnes.
Whether this trend would continue into 2027 depended on whether the strait remained blocked, the IEA said. Either way, it noted, coal prices had already risen in response to these developments. - BERNAMA
