Dutch coal-fired power plants have produced more electricity in 2026 than in the entirety of 2024, according to data from the Netherlands National Energy Dashboard reported by the Financieele Dagblad on Monday.
Production through August 14 already surpassed full-year 2024 totals and is on track to exceed 2025 levels as well. Analysts say the surge is driven by soaring natural gas prices caused by the ongoing Iran war, which has disrupted supply through the Strait of Hormuz and made coal generation economically viable again despite a higher CO2 levy.
Iran War Gas Shock Reshapes European Power Mix
The last time Dutch coal plants ran at comparable levels was during the 2022 gas crisis triggered by Russia invasion of Ukraine. The pattern is repeating: with European gas benchmarks hovering around 54 euros per megawatt-hour, coal has become the cheaper generation option. The London Stock Exchange Group has estimated that European countries could generate roughly 20 percent more electricity from coal this summer than last under current price conditions.
Martien Visser, emeritus professor of energy transition at Hanze University in Groningen, told the newspaper the increase is partly driven by export demand. Belgium two large nuclear plants are undergoing maintenance, forcing the country to source electricity from neighboring nations. Germany, meanwhile, has considered reactivating mothballed coal plants to curb electricity prices.
The coal plants are saving about 60 million cubic meters of gas per week, which the Netherlands can use to replenish its gas reserves.
Climate Goals Under Pressure
The surge creates a paradox for European climate policy. Dutch coal plants must close by 2030 at the latest under existing legislation, yet they are now operating at their highest utilization rate in years. Coal remains the most carbon-intensive way to generate electricity, and the Netherlands already saw emissions rise in 2025, pushing climate targets further out of reach.
However, Visser argued the situation is not necessarily catastrophic under the EU overall emissions framework. The Netherlands may emit more from coal while other countries emit less, keeping bloc-wide totals on track. He added that Dutch coal generation displaces more polluting lignite plants in Germany, resulting in a net environmental benefit across borders.
The IEA August short-term energy outlook projects U.S. LNG exports rising to 19 billion cubic feet per day in 2027, which could eventually ease European gas prices. But with the Hormuz crisis unresolved and Iran 60-day ceasefire deadline expiring Monday, energy analysts see little near-term relief for gas-dependent European grids.
Sources: Financieele Dagblad; NL Times; IEA Short-Term Energy Outlook August 2026; London Stock Exchange Group
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